Sangamo Therapeutics Files Chapter 11; Agrees to Sell ST-920 to PTC

What Happened

• Sangamo Therapeutics, Inc. filed a voluntary Chapter 11 petition on June 23, 2026 in the U.S. Bankruptcy Court for the District of Delaware (Case No. 26-10989).
• On August 25, 2026 Sangamo entered an Asset Purchase Agreement (PTC APA) with PTC Therapeutics, Inc. to sell assets primarily related to ST-920 (isaralgagene civaparvovec), an AAV gene therapy candidate for Fabry disease. The sale follows PTC’s designation as the winning bidder after a court‑supervised auction concluded August 12, 2026. A Bankruptcy Court hearing to consider approval is scheduled for September 10, 2026.

Key Details

• Cash at closing: $111,000,000.
• Contingent milestone payments: up to $100,000,000 total — $80,000,000 upon FDA accelerated approval based on Sangamo’s Phase 1/2 STAAR studies and related follow-up, and $20,000,000 upon full FDA approval.
• PTC will assume specified liabilities; the sale is subject to Bankruptcy Court approval (Sale Order), HSR clearance, satisfaction of employee retention conditions and other customary closing conditions.
• The APA may be terminated by either party in specified circumstances and automatically terminates on consummation of a competing transaction; the agreement includes an outside closing date on or before October 15, 2026 (subject to exceptions).

Why It Matters

• For investors, this is a material step in Sangamo’s Chapter 11 process: the company is selling a key clinical-stage asset (ST-920) which could provide immediate cash ($111M) and possible future payments tied to regulatory milestones, but future milestone receipts are uncertain and contingent on FDA approvals.
• The transaction requires court and regulatory approvals and includes employee retention conditions, so completion is not guaranteed; Sangamo’s disclosures also note that representations and warranties do not survive closing and there is no post‑closing indemnification, which limits Sangamo’s remedies after sale.
• These developments may materially affect Sangamo’s operations, liquidity and the interests of shareholders and creditors; retail investors should monitor Bankruptcy Court filings, the September 10 hearing, and any competing bids or objections.