ProMetic Increases Its Ownership Stake in NantPro BioSciences, LLC ("NantPro")
May 09 2014 - 8:01AM
Marketwired
ProMetic Increases Its Ownership Stake in NantPro BioSciences, LLC
("NantPro")
ROCKVILLE, MARYLAND and LAVAL, QUEBEC--(Marketwired - May 9,
2014) -
- NantPro's product to target $4 billion Intravenous
Immunoglobulin ("IVIG") US market
- ProMetic regains majority equity stake and board control of
NantPro
- ProMetic to drive the IVIG development program; IND filing in
2014
- Rights in connection with other plasma-derived product under
development with NantPharma, LLC assigned to ProMetic; financial
consideration to be rolled into NantPro
ProMetic Life Sciences Inc. (TSX:PLI)(OTCQX:PFSCF), ("ProMetic"
or the "Corporation") announced today that it has increased its
ownership in NantPro following the amendment of its related
corporate and commercial agreements with NantPharma, LLC
("NantPharma"). The amended agreements provide ProMetic back with
the effective control of NantPro and a greater portion of the
future value and revenues associated with the development and sales
of IVIG in the US market.
Pursuant to the original agreements and NantPharma's expected
additional capital contribution, ProMetic's equity ownership
position in NantPro LLC would have been diluted down to 10% upon
filing of the Investigational New Drug ("IND") application for IVIG
expected to take place in the second half of 2014. As a result of
the revised and amended agreements, ProMetic's equity position in
NantPro now exceeds 60%, and said position shall further increase
by the time this milestone is achieved.
This follows the recent announcement of the successful
Pre-Investigational New Drug ("Pre-IND) meeting with the US Food
and Drug Administration ("FDA") focusing on ProMetic's proprietary
Plasma Protein Purification System ("PPPS™") manufacturing process
as well as the clinical and regulatory pathway for IVIG.
"Regaining control of NantPro and its IVIG development program
is representative of our transition towards becoming a vertically
integrated specialty biopharmaceutical company. As we step up our
manufacturing and development activities, we anticipate advancing
ourselves more of our high value plasma-derived therapeutics",
stated Pierre Laurin, President and Chief Executive Officer of
ProMetic.
"While NantPharma will remain a significant partner in this
venture, the NantPro related development programs and operations
are now being driven by ProMetic. We strongly believe that the
decision to forego some short term development revenues for this
product in order to take a majority share of equity in NantPro will
translate into significant gains in future revenues and value for
all our shareholders", mentioned Mr. Bruce Prichard, Chief
Financial Officer of ProMetic. "This initiative is in line with the
previously disclosed use of proceeds of our recent financings and
strategy to continue partnering some of our products but at greater
value following the strengthening of our market capitalization and
balance sheet", added Mr. Pritchard.
The production of GMP bioequivalence clinical trial material is
currently underway in ProMetic's plasma purification facility and
the Corporation expects to commence enrolling patients for the
clinical trial in the fourth quarter of 2014. Following its Pre-IND
meeting, Prometic is targeting market approval in the US for IVIG
in the second half of 2017.
As part of the NantPro restructuring, NantPharma has assigned to
ProMetic all of its intellectual property rights in connection with
another plasma derived biopharmaceutical product under development
with ProMetic. The parties have agreed that some financial
considerations related to said product will be rolled into NantPro.
ProMetic remains responsible for the development and manufacturing
of this second plasma derived biopharmaceutical product, for which
the current global market is estimated to be worth $500M per
year.
About IVIG
Intravenous immunoglobulin (IVIG) is a blood product
administered intravenously. It contains the pooled, polyvalent, IgG
antibodies extracted from the plasma of over one thousand blood
donors. IVIG's effects last between 2 weeks and 3 months. It is
mainly used as treatment in immune deficiencies, autoimmune
diseases and acute infections. The current global market for IVIG
is estimated to be worth in excess of $8 billion per year; with the
US market representing an estimated $4 billion per year.
About PPPS™
The Plasma Protein Purification System (PPPS™) allows for the
targeting and removal of multiple high-value proteins from a single
plasma sample at unprecedented activity levels using ProMetic's
Mimetic Ligand™ adsorbent technology. This system also provides for
the recovery of new biotherapeutics as they are discovered and
identified. The effect of this process is to reduce the significant
losses incurred when using the more conventional Cohn precipitation
process.
About ProMetic Life Sciences Inc.
ProMetic Life Sciences Inc. (www.prometic.com) is a long
established biopharmaceutical company with globally recognized
expertise in bioseparations, plasma-derived therapeutics and
small-molecule drug development. ProMetic offers its state of the
art technologies for large-scale purification of biologics, drug
development, proteomics and the elimination of pathogens to a
growing base of industry leaders and uses its own affinity
technology that provides for highly efficient extraction and
purification of therapeutic proteins from human plasma in order to
develop best-in-class therapeutics and orphan drugs. ProMetic is
also active in developing its own novel small-molecule therapeutic
products targeting unmet medical needs in the field of fibrosis,
cancer and autoimmune diseases/inflammation. Headquartered in Laval
(Canada), ProMetic has R&D facilities in the UK, the U.S. and
Canada, manufacturing facilities in the UK and business development
activities in the U.S., Europe and Asia.
Forward Looking Statements
This press release contains forward-looking statements about
ProMetic's objectives, strategies and businesses that involve risks
and uncertainties. These statements are "forward-looking" because
they are based on our current expectations about the markets we
operate in and on various estimates and assumptions. Actual events
or results may differ materially from those anticipated in these
forward-looking statements if known or unknown risks affect our
business, or if our estimates or assumptions turn out to be
inaccurate. Such risks and assumptions include, but are not limited
to, ProMetic's ability to develop, manufacture, and successfully
commercialize value-added pharmaceutical products, the availability
of funds and resources to pursue R&D projects, the successful
and timely completion of clinical studies, the ability of ProMetic
to take advantage of business opportunities in the pharmaceutical
industry, uncertainties related to the regulatory process and
general changes in economic conditions. You will find a more
detailed assessment of the risks that could cause actual events or
results to materially differ from our current expectations in
ProMetic's Annual Information Form for the year ended December 31,
2013, under the heading "Risk and Uncertainties related to
ProMetic's business". As a result, we cannot guarantee that any
forward-looking statement will materialize. We assume no obligation
to update any forward-looking statement even if new information
becomes available, as a result of future events or for any other
reason, unless required by applicable securities laws and
regulations. All amounts are in Canadian dollars unless indicated
otherwise.
Pierre LaurinPresident and CEOProMetic Life Sciences
Inc.p.laurin@prometic.com+1.450.781.0115Frederic DumaisDirector,
Communications andInvestor RelationsProMetic Life
Sciencesf.dumais@prometic.com+1.450.781.0115