Navidea Biopharmaceuticals Enters into Letter of Intent with Cardinal Health for the Sale of Lymphoseek® in North America
September 06 2016 - 6:59AM
Business Wire
- Navidea retains rights to non-competitive
diagnostic indications and all therapeutic applications -
Navidea Biopharmaceuticals, Inc. (NYSE MKT:NAVB) today announced
that it has executed a Letter of Intent (“LOI”) with Cardinal
Health, Inc. (NYSE:CAH) for the sale of all rights, title and
interest to Navidea’s Lymphoseek product for all FDA-approved,
pending and future oncology diagnostic indications in North
America, subject to certain limitations, as well as certain other
related assets. Under the terms of the LOI, Navidea would receive
$80 million at closing, with future consideration tied to annual
sales of the Lymphoseek product and certain sales-based milestones.
Total consideration to Navidea would be capped at $310 million.
As part of the transaction, Cardinal Health would license back
to Navidea a portion of the acquired intellectual property such
that Navidea will be able to develop, manufacture, market, sell and
distribute new products that do not in any way compete with the
current Lymphoseek product, and to continue to manufacture, market,
sell and distribute Lymphoseek outside of North America.
Michael M. Goldberg, M.D., Chairman of the Board of Directors,
Navidea Biopharmaceuticals, said “This is a significant
announcement for all of us at Navidea. This agreement with Cardinal
Health will provide significant financial resources for us to repay
all outstanding debt to CRG and accelerate the development of our
robust pipeline of diagnostic products, which are notably focused
on Rheumatoid Arthritis and Cardiovascular disease, as well as our
Macrophage Therapeutics pipeline. We have enjoyed a longstanding
and successful relationship with Cardinal Health, and we are
looking forward to continuing our collaboration.”
“Lymphoseek has been an important diagnostic tool for physicians
and their patients who are looking for additional clarity when
facing potentially life-changing diagnoses,” said Tiffany Olson,
President of Nuclear Pharmacy Services for Cardinal Health. “We
have been Navidea’s exclusive US distributor of Lymphoseek for many
years. That relationship has set the groundwork for this new
agreement, and the Cardinal Health team will continue to market,
sell and provide Lymphoseek to those who need it.”
The closing of this transaction is subject to the completion of
due diligence and the negotiation of definitive documents, among
other things, and is dependent upon customary approvals.
Navidea will hold a webcast conference call with investors on
Wednesday, September 7, 2016 at 8:30 am ET. Details of the call
will be issued later today and will be posted on the Company’s
Investor website.
About Navidea
Navidea Biopharmaceuticals, Inc. (NYSE MKT:NAVB) is a
biopharmaceutical company focused on the development and
commercialization of precision immunodiagnostic agents and
immunotherapeutics. Navidea is developing multiple
precision-targeted products and platforms including Manocept™ and
NAV4694 to help identify the sites and pathways of undetected
disease and enable better diagnostic accuracy, clinical
decision-making, targeted treatment and, ultimately, patient care.
Lymphoseek® (technetium Tc 99m tilmanocept) injection, Navidea’s
first commercial product from the Manocept platform, was approved
by the FDA in March 2013 and in Europe in November 2014. The
development activities of the Manocept immunotherapeutic platform
will be conducted by Navidea in conjunction with its subsidiary,
Macrophage Therapeutics. Navidea’s strategy is to deliver superior
growth and shareholder return by bringing to market novel products
and advancing the Company’s pipeline through global partnering and
commercialization efforts. For more information, please visit
www.navidea.com.
About Cardinal Health
Cardinal Health, Inc. (NYSE:CAH), is a global integrated
healthcare services and products company, providing customized
solutions for hospital systems, pharmacies, ambulatory surgery
centers, clinical laboratories and physician offices worldwide. The
company provides clinically-proven medical products and
pharmaceuticals and cost-effective solutions that enhance supply
chain efficiency from hospital to home. Cardinal
Health connects patients, providers, payers, pharmacists and
manufacturers for integrated care coordination and better patient
management. Backed by nearly 100 years of experience, with more
than 37,000 employees in nearly 60 countries, Cardinal Health ranks
among the top 25 on the Fortune 500. For more
information, visitcardinalhealth.com, follow @CardinalHealth
on Twitter and connect on LinkedIn at
linkedin.com/company/cardinal-health.
The Private Securities Litigation Reform Act of 1995 (the Act)
provides a safe harbor for forward-looking statements made by or on
behalf of the Company. Statements in this news release, which
relate to other than strictly historical facts, such as statements
about the Company’s plans and strategies, expectations for future
financial performance, new and existing products and technologies,
anticipated clinical and regulatory pathways, and markets for the
Company’s products are forward-looking statements within the
meaning of the Act. The words “believe,” “expect,” “anticipate,”
“estimate,” “project,” and similar expressions identify
forward-looking statements that speak only as of the date hereof.
Investors are cautioned that such statements involve risks and
uncertainties that could cause actual results to differ materially
from historical or anticipated results due to many factors
including, but not limited to, the Company’s continuing operating
losses, uncertainty of market acceptance of its products, our
ability to repay our debt, the outcome of the CRG litigation,
reliance on third party manufacturers, accumulated deficit, future
capital needs, uncertainty of capital funding, dependence on
limited product line and distribution channels, competition,
limited marketing and manufacturing experience, risks of
development of new products, regulatory risks and other risks
detailed in the Company’s most recent Annual Report on Form 10-K
and other Securities and Exchange Commission filings. The Company
undertakes no obligation to publicly update or revise any
forward-looking The Company undertakes no obligation to publicly
update or revise any forward-looking statements.
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Navidea BiopharmaceuticalsInvestors &
Media:Sharon Correia, 978-655-2686Senior Director, Corporate
CommunicationsorFor Cardinal Health,
Inc.Investors:Sally Curley,
614-757-7115Sally.Curley@cardinalhealth.comorMedia:Brett
Ludwig, 614-757-1852Brett.Ludwig@cardinalhealth.com
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