Shield Therapeutics (STX) Status update summary

Strategic milestone and transaction overview

• Agreement reached to assume full U.S. commercial control of ACCRUFER from Viatris, with anticipated closing by September 30, 2026.

• Transaction is immediately accretive, enhancing net sales retention, margins, and cash generation, with no upfront payment required.

• Shield will pay royalties to Viatris on U.S. net sales over five years, ranging from high single digits to mid-teens.

• Shield gains direct control of U.S. sales force and commercial activities, consolidating decision-making and integrating about 40 people.

• Transition ensures uninterrupted patient access and support for healthcare professionals.

Operational and financial impact

• Full control enhances economics, expands gross profit by 75%-80%, and nearly doubles EBIT over five years.

• Operating expenses expected to increase by about 30% year-over-year due to the expanded sales force.

• Gross margin on U.S. ACCRUFER sales projected to rise to 75%-80% post-deal.

• Lower royalty rates and increased costs are offset by improved cash generation, sales retention, and profitability.

• Anticipated to achieve operating profitability in 2026, with H1 already EBIT profitable.

Commercial platform and growth opportunities

• Shield has had sole ownership of launch strategy, marketing, operations, and pricing; now assumes full sales infrastructure and market access responsibilities.

• Commercial model continuity ensures no overlap or duplication in sales territories.

• Expanded platform enables potential addition of new products without needing a separate sales force.

• Ongoing efforts to expand GPO contracts and explore new channel opportunities for ACCRUFER.

• Commercial infrastructure now wholly owned in the US, supporting future expansion.