Ocugen and Kwangdong Partner for OCU400 Gene Therapy, Aiming for Up to $7.5 Million in Milestone Payments

Ocugen's stock is up 16.5% after licensing OCU400 gene therapy rights to Kwangdong Pharmaceutical for commercialization in Korea. Ocugen will receive up to $7.5 million in upfront and milestone payments, additional sales milestones, and a 25% royalty on net sales. The agreement allows Ocugen to expand OCU400's international reach and monetize its gene therapy platform, addressing rare retinal diseases. The deal does not alter the immediate catalyst of late-stage clinical trial progress and approval, and Ocugen's long-term financial sustainability depends on successful trial outcomes, regulatory approvals, and commercialization milestones.

Ocugen Inc.'s stock surged by 16.5% following the announcement of a licensing agreement with Kwangdong Pharmaceutical for the commercialization of OCU400 gene therapy in Korea. The agreement, signed on September 15, 2025, grants Ocugen significant financial incentives and marks a strategic move to expand the reach of its gene therapy platform Ocugen and Kwangdong complete licensing agreement for OCU400 gene therapy in Korea^[1].

Under the terms of the agreement, Ocugen will receive upfront license fees and near-term development milestones totaling up to $7.5 million. Additionally, the company will be entitled to sales milestones of $1.5 million for every $15 million of sales in Korea, along with a 25% royalty on net sales of OCU400 generated by Kwangdong Ocugen and Kwangdong complete licensing agreement for OCU400 gene therapy in Korea^[1]. This licensing deal allows Ocugen to monetize its gene therapy platform and address rare retinal diseases, such as retinitis pigmentosa (RP), which affects approximately 1.5 million people worldwide NUBURU Hits First Milestone in Tekne Acquisition with Initial Stake and Tekne US JV Launch^[2].

The agreement does not alter Ocugen's immediate catalyst of late-stage clinical trial progress and approval. The company is currently advancing OCU400 through phase 3 clinical development, with a Biologics License Application (BLA) filing targeted for mid-2026. Successful trial outcomes, regulatory approvals, and commercialization milestones remain critical for Ocugen's long-term financial sustainability Ocugen and Kwangdong complete licensing agreement for OCU400 gene therapy in Korea^[1].

Kwangdong Pharmaceutical, a top 5 pharmaceutical and healthcare company in Korea, is actively involved in research and development innovation, including "transformational late-stage, high-impact technologies." The company's CEO, SungWon Choi, and Ocugen's CEO, Shankar Musunuri, expressed their enthusiasm for the partnership, highlighting the potential of OCU400 to provide a new treatment option for Korean patients suffering from RP Ocugen and Kwangdong complete licensing agreement for OCU400 gene therapy in Korea^[1].

This licensing agreement not only strengthens Ocugen's financial position but also positions the company to leverage its gene therapy platform for broader international market penetration. The success of OCU400 in Korea could pave the way for further licensing agreements in other markets, potentially accelerating Ocugen's growth trajectory.