ContraFect Corporation Announces Private Placement of Common Stock and Warrants to Pfizer Inc.
May 26 2020 - 7:30AM
ContraFect Corporation (Nasdaq: CFRX), a
clinical-stage biotechnology company focused on discovering and
developing direct lytic agents for the treatment of
life-threatening infectious diseases, today announced that Pfizer
Inc. (NYSE: PFE) has entered into a stock purchase agreement with
ContraFect pursuant to which Pfizer Inc. has agreed to purchase
674,156 shares of ContraFect’s common stock and a warrant to
purchase 505,617 shares of ContraFect’s common stock, for
approximately $3.0 million in a private placement transaction that
is expected to close on May 27, 2020. The private placement is
contingent upon the closing of ContraFect’s public offering
previously announced on May 21, 2020, and there can be no assurance
as to whether or when the private placement may be completed. All
shares in the private placement are to be sold by ContraFect.
“Our mission at ContraFect is to develop new
treatment modalities, to bring superior outcomes, including
meaningful reductions in mortality, to patients who suffer from
potentially lethal infections,” said Roger J. Pomerantz, M.D.,
Chairman and Chief Executive Officer of ContraFect. “We are pleased
to announce this investment by Pfizer, particularly in the midst of
their rapid and collaborative response to the current COVID-19
pandemic. This investment further demonstrates our shared
commitment to innovation and to patients in need of new medical
modalities to fight virulent infectious diseases,” Dr. Pomerantz
continued.
ContraFect intends to use the net proceeds of
the private placement to continue funding its Phase 3 DISRUPT trial
of exebacase (CF-301) in Staph aureus bacteremia, including
right-sided endocarditis. Exebacase has been granted Breakthrough
Therapy designation by the FDA. Proceeds will also be used to fund
advancement of the company’s portfolio, including IND-enabling
activities for CF-370, an engineered gram-negative lysin directly
targeting highly-resistant Pseudomonas aeruginosa, and for working
capital and other general corporate purposes.
The shares being sold in the private placement
have not been and will not be registered under the Securities Act
of 1933, as amended, or any state securities laws and may not be
offered or sold in the United States absent registration with the
SEC or an applicable exemption from such registration
requirements.
This press release shall not constitute an offer
to sell or a solicitation of an offer to buy the securities in the
private placement or the public offering, nor shall there be any
sale of these securities, in any state or other jurisdiction in
which such offer, solicitation or sale would be unlawful prior to
the registration or qualification under the securities laws of any
such state or other jurisdiction.
About ContraFect
ContraFect is a biotechnology company focused on
the discovery and development of direct lytic agents (DLAs),
including lysins and amurin peptides, as new medical modalities for
the treatment of life-threatening, antibiotic-resistant infections.
An estimated 700,000 deaths worldwide each year are attributed to
antimicrobial-resistant infections. We intend to address life
threatening infections using our therapeutic product candidates
from our platform of DLAs, which include lysins and amurin
peptides. Lysins are a new class of DLAs which are recombinantly
produced antimicrobial proteins with a novel mechanism of action
associated with the rapid killing of target bacteria, eradication
of biofilms and synergy with conventional antibiotics. Amurin
peptides are a novel class of DLAs which exhibit broad-spectrum
activity against a wide range of antibiotic-resistant Gram-negative
pathogens, including Pseudomonas aeruginosa (P. aeruginosa),
Acinetobacter baumannii, and Enterobacter species. We believe that
the properties of our lysins and amurin peptides will make them
suitable for targeting antibiotic-resistant organisms, such as
methicillin-resistant Staph aureus (MRSA) and P. aeruginosa, which
can cause serious infections such as bacteremia, pneumonia and
osteomyelitis. We have completed a Phase 2 clinical trial for the
treatment of Staph aureus bacteremia, including endocarditis, with
our lead lysin candidate, exebacase, which is the first lysin to
enter clinical studies in the U.S. Exebacase, currently being
studied in a pivotal Phase 3 clinical study, was granted
Breakthrough Therapy designation by the FDA for the treatment of
MRSA bloodstream infections (bacteremia), including right-sided
endocarditis, when used in addition to standard-of-care (SOC)
anti-staphylococcal antibiotics in adult patients.
Follow ContraFect on Twitter @ContraFectCorp and LinkedIn.
Forward-Looking Statements
This press release contains, and ContraFect’s
officers and representatives may make from time to time,
“forward-looking statements” within the meaning of the U.S. federal
securities laws. Forward-looking statements can be identified by
words such as “projects,” “may,” “will,” “could,” “would,”
“should,” “believes,” “expects,” “anticipates,” “estimates,”
“intends,” “plans,” “potential,” “promise” or similar references to
future periods. Examples of forward-looking statements in this
release include, without limitation, statements regarding the
private placement or the public offering of ContraFect’s common
stock and warrants. Forward-looking statements are statements that
are not historical facts, nor assurances of future performance.
Instead, they are based on ContraFect’s current beliefs,
expectations and assumptions regarding the future of its business,
future plans, strategies, projections, anticipated events and
trends, the economy and other future conditions. Because
forward-looking statements relate to the future, they are subject
to inherent risks, uncertainties and changes in circumstances that
are difficult to predict and many of which are beyond ContraFect’s
control, including those detailed in ContraFect's filings with the
SEC. Actual results may differ from those set forth in the
forward-looking statements. Important factors that could cause
actual results to differ include, among others, the uncertainties
related to market conditions and the completion of the public
offering on the anticipated terms or at all, and ContraFect’s
ability to develop treatments for drug-resistant infectious
diseases. Any forward-looking statement made by ContraFect in this
press release is based only on information currently available and
speaks only as of the date on which it is made. Except as required
by applicable law, ContraFect expressly disclaims any obligations
to publicly update any forward-looking statements, whether written
or oral, that may be made from time to time, whether as a result of
new information, future developments or otherwise.
Investor Relations Contact
Michael MessingerContraFect CorporationTel: 914-207-2300Email:
mmessinger@contrafect.com
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