Illumina and Sequenom Pool Noninvasive Prenatal Testing Intellectual Property and End Outstanding Patent Disputes
"Under the agreement, Illumina will have exclusive worldwide rights to utilize the pooled intellectual property to develop and sell in-vitro diagnostic kits for NIPT and to license third-party laboratories wishing to develop and sell their own laboratory-developed NIPT tests under the collection of pooled patents. In addition, Sequenom and Illumina will each have rights to utilize all pooled patents to develop and sell their own respective laboratory-developed NIPT tests. The parties will share the revenue from the patent pool and Illumina will pay Sequenom a royalty on sales of in-vitro diagnostic kits for NIPT.
Illumina will make a $50 million upfront payment to Sequenom as part of the overall agreement, as well as certain ongoing commitments for payments to Sequenom from the patent pool structure through 2020."