Company: IPHYF
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001598599-25-000042
Chunk: 176

Company: Innate Pharma SA
Filing Date: 2025-04-30
Form: 20-F
Item: Item 5
Chunk 176
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 IPH67 itself, and an ongoing royalty fee in the low-single digits.

Under the terms of the agreement, Sanofi still retains a license option for a third preclinical molecule.

Proceeds related to Takeda agreement

On April 3, 2023, the Company announced that it has entered into an exclusive license agreement with Takeda under which Innate granted Takeda exclusive worldwide rights to research and develop ADCs using a panel of selected Innate antibodies against an undisclosed target, with a primary focus in Celiac disease. Takeda would have beeen responsible for the future development, manufacture and commercialization of any potential products developed using the licensed antibodies. As such, the Company considered that the license granted was a right to use the relevant intellectual property, which was granted fully and perpetually to Takeda. The agreement did not stipulate that Innate's activities would significantly affect the intellectual property granted during the life of the agreement. Consequently, the $5.0 million (or €4.6 million) initial payment, received by the Company in May 2023, was fully recognized in revenue since June 30, 2023. Given Takeda’s strategic decision in July 2024 to terminate the license agreement executed in March 2023 for use of selected Innate antibodies in antibody drug-conjugates, no further revenue is recognized under this agreement with Takeda. The Company does not intend at this stage to continue the development of these antibodies.

Government financing for research expenditures

Government funding for research expenditures decreased by €2.2 million, or (23.03)%, to €7.5 million for the year ended December 31, 2024, as compared to €9.7 million for the year ended December 31, 2023. As a reminder, the 2023 research tax credit included a reduction of €0.1 million related to a provision following the tax inspection carried out in 2022 by the French tax authorities. The provision estimated in 2022 was adjusted after the reception of final tax authority decision.

The table below details government funding for research expenditures for the years ended December 31, 2023 and 2024.

                                                      Year ended December 31,               
                                                      2023                         2024     
 ────────────────────────────────────────────────────────────────────────────────────────────
  Research Tax Credit(1)                              € 9,729                      € 7,463  
  Grant and other tax credit (2)