On February 2, 2022, Brickell Biotech, Inc. entered into an Exclusive License Agreement with Carna Biosciences, Inc., pursuant to which the Company acquired exclusive, worldwide rights to research, develop and commercialize Carna's portfolio of novel Stimulator of Interferon Genes (“STING”) antagonists. In accordance with the terms of the License Agreement, in exchange for the license rights, the Company will make a one-time payment of $2.0 million in cash to Carna. In addition, the License Agreement provides that the Company will make success-based payments to Carna of up to $258.0 million in the aggregate contingent upon achievement of specified development, regulatory and commercial milestones.

Further, the License Agreement provides that the Company will pay Carna tiered royalty payments ranging from mid-single digits up to 10% of net sales of products arising from the STING antagonists. All of the contingent payments and royalties are payable in cash. Under the terms of the License Agreement, the Company will be responsible for, and bear the future costs of, worldwide development and commercialization of all the licensed compounds.