Avid Bioservices and Oncologie Enter Into Asset Assignment and Purchase Agreement for Avid’s PS-Targeting Program Including...
February 12 2018 - 8:05AM
Avid Bioservices, Inc. (NASDAQ:CDMO) (NASDAQ:CDMOP) (“Avid”) and
Oncologie, Inc. today announced that the companies have entered
into an Asset Assignment and Purchase Agreement for Avid’s
phosphatidylserine (PS)-targeting program including bavituximab.
Bavituximab is an investigational immune-modulatory monoclonal
antibody that targets PS, a phospholipid that inhibits the ability
of immune cells to recognize and fight tumors. In addition to
bavituximab, the deal includes Avid’s other PS-targeting
antibodies, including betabodies, as well as certain other assets
and licenses useful and/or necessary for the potential
commercialization of bavituximab.
Under terms of the agreement, Avid will receive
an aggregate of $8 million in upfront payments from Oncologie paid
over a period of six months from the execution date of the
agreement and will be eligible to receive up to $95 million in
development, regulatory and commercialization milestones.
Oncologie will be responsible for all future research, development
and commercialization of bavituximab, and related intellectual
property costs, with Avid receiving royalties on net sales that are
upward tiering into the mid-teens. As part of the deal, Oncologie
will also enter into an agreement with Avid for future contract
development and manufacturing activities in support of bavituximab.
Roth Capital Partners acted as financial advisor to Avid in this
transaction, rendering a Fairness Opinion to its board of
directors.
“Partnering our PS-targeting program including
bavituximab with a biopharmaceutical company focused on
therapeutics in oncology has long been a key corporate objective
and we have engaged in discussions with a broad range of potential
collaborators throughout the course of the development
program. Oncologie is a company with a deep understanding of
cancer biomarkers that might be particularly relevant to
bavituximab and we believe they have the resources and expertise to
maximize the potential of the program,” said Roger J. Lias, Ph.D.,
president and chief executive officer of Avid. “Importantly, this
deal marks the completion of our transition to a dedicated CDMO,
while providing additional capital, both upfront and potentially
downstream, to support our CDMO business.”
“We are pleased to add bavituximab as our new
lead development program through this agreement with Avid,” said
Laura E. Benjamin, Ph.D., chief executive officer of Oncologie. “We
believe that PS targeting possesses significant promise in the
treatment of cancer and look forward to highlighting the
therapeutic potential of the approach through innovative clinical
trials. To this end, we intend to continue ongoing
collaborations with the current investigators who are overseeing
investigator-initiated trials, as well as NCCN-sponsored studies,
designed to evaluate the immune modulating potential of
bavituximab.”
Bavituximab is believed to reverse PS-mediated
immunosuppression by blocking the engagement of PS with its
receptors, as well as by sending an alternate immune activating
signal. PS-targeting antibodies have been shown to shift the
functions of immune cells in tumors, resulting in multiple signs of
immune activation and anti-tumor immune responses. This
mechanism may play an important role in allowing other cancer
therapies to more effectively attack tumors by reversing the
immunosuppression that limits the impact of those treatments.
Importantly, bavituximab has also demonstrated a favorable safety
and tolerability profile across several clinical trials conducted
to date, which may offer the compound a key advantage as the
evolving cancer treatment landscape continues to shift to a
combination therapy approach. The ability to be added to a
range of other cancer therapies without causing added safety
concerns may position bavituximab favorably as a component of
combination treatments.
About Oncologie, Inc.Oncologie
is an oncology therapeutics company committed to delivering
improved outcomes for cancer patients by leveraging innovative
compounds and biomarker-driven clinical development. The
current pipeline is focused on mid-stage clinical programs that
modify the tumor microenvironment. Headquartered in Boston,
Massachusetts with operations also in Shanghai, China, Oncologie is
working with global partners to acquire and develop innovative
drugs for cancer patients around the world.
www.oncologie.international
About Avid Bioservices,
Inc.Avid Bioservices is a dedicated contract development
and manufacturing organization (CDMO) focused on development and
cGMP manufacturing of biopharmaceutical products derived from
mammalian cell culture. The company provides a comprehensive
range of process development, high quality cGMP clinical and
commercial manufacturing services for the biotechnology and
biopharmaceutical industries. With nearly 25 years of
experience producing monoclonal antibodies and recombinant proteins
in batch, fed-batch and perfusion modes, Avid's services include
cGMP clinical and commercial product manufacturing, purification,
bulk packaging, stability testing and regulatory strategy,
submission and support. The company also provides a variety
of process development activities, including cell line development
and optimization, cell culture and feed optimization, analytical
methods development and product characterization.
www.avidbio.com
Safe Harbor Statement:
Statements in this press release which are not purely historical,
including statements regarding Avid Bioservices’s intentions,
hopes, beliefs, expectations, representations, projections, plans
or predictions of the future are forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. The forward-looking statements involve risks and
uncertainties including, but not limited to, the risk the company
may not receive any of the up to $95 million in development,
regulatory and commercial milestones under the agreement with
Oncologie, nor any future royalty payments. Our business could be
affected by a number of other factors, including the risk factors
listed from time to time in our reports filed with the Securities
and Exchange Commission including, but not limited to, our annual
report on Form 10-K for the fiscal year ended April 30, 2017 as
well as any updates to these risk factors filed from time to time
in the company's other filings with the Securities and Exchange
Commission. The company cautions investors not to place undue
reliance on the forward-looking statements contained in this press
release. Avid Bioservices, Inc. disclaims any obligation, and does
not undertake to update or revise any forward-looking statements in
this press release.
Contacts:
Kelly Pisarev Lord
Avid Bioservices, Inc.
(800) 987-8256
Stephanie Diaz (Investors)
Vida Strategic Partners
415-675-7401
sdiaz@vidasp.com
Tim Brons (Media)
Vida Strategic Partners
415-675-7402
tbrons@vidasp.com
Laura E. Benjamin
Oncologie, Inc.
info@oncologie.international
Avid Bioservices (NASDAQ:CDMO)
Historical Stock Chart
From Aug 2024 to Sep 2024
Avid Bioservices (NASDAQ:CDMO)
Historical Stock Chart
From Sep 2023 to Sep 2024