On August 1, 2023, EQRx, Inc. (EQRx) provided written notice to G1 Therapeutics (G1) of its termination of the Exclusive License Agreement dated July 22, 2020 between EQRx and G1 (the G1 Agreement), which termination will be effective in accordance with the terms of such agreement. The parties are in discussions regarding any transition activities. Under the G1 Agreement, EQRx acquired an exclusive license for the research, development, and commercialization of lerociclib for the treatment, using an oral-only dosage administration by continuous administration for any and all indications in humans through the inhibition of CDK4/6 worldwide, with the exception of certain territories (such excluded territories, collectively, the G1 Territory).

The license agreement also provided EQRx with a non-exclusive license in the G1 Territory to manufacture lerociclib for purposes of obtaining regulatory approval for, and commercialization of lerociclib for the treatment, using an oral-only dosage administration by continuous administration for any and all indications in humans through the inhibition of CDK4/6 outside of the G1 Territory. EQRx also received an exclusive license to develop lerociclib using an oral-only dosage administration by continuous administration for any and all indications in humans through the inhibition of CDK4/6 at its own cost and expense in its territory. EQRx made an upfront non-refundable, non-creditable payment of $20.0 million to G1.

Additionally, if EQRx had achieved all of the development and commercialization milestone events under the G1 Agreement, G1 would have been eligible to receive (i) up to $40.0 million in development and regulatory milestone payments, and (ii) up to $250.0 million in sales milestone payments. G1 would have also been entitled to royalty payments under the G1 Agreement.