DRI Healthcare Trust reached a $316 million deal to buy certain royalty participation rights in U.S. net sales of tavapadon, an investigational Parkinson's disease drug candidate.

The Toronto-based pharmaceutical royalty company on Monday said it entered into purchase agreements to acquire the royalty participation rights from funds managed by Bain Capital and NovaQuest Capital Management, subject to approval of tavapadon by the U.S. Food and Drug Administration.

The acquisition will entitle DRI Healthcare to receive tiered royalty payments on annual U.S. net sales of tavapadon, at combined tiered, mid-single digit to low-double digit royalty rates. DRI Healthcare will also be entitled to receive certain sales milestone payments on first reaching certain cumulative U.S. net sales thresholds and four annual fixed payments of $23.4 million on the first four anniversaries of FDA approval of tavapadon. Aggregate receipts are subject to a contractual hard cap of $437.5 million.

In August, DRI Healthcare received about $178 million for its royalty investment in the drug Ekterly.