TEL AVIV, Israel and
RALEIGH, NC, Nov. 8, 2021 /PRNewswire/ -- RedHill
Biopharma Ltd. (Nasdaq: RDHL) ("RedHill" or the "Company"), a
specialty biopharmaceutical company, today announced that it has
entered into a strategic agreement with Kukbo Co. Ltd. (Kospi:
001140) ("Kukbo"), a South Korean corporation, for the sale of
RedHill's American Depositary Shares ("ADSs") in a private
placement of up to $10 million at a
20% premium to the prior 30 trading days' volume weighted average
price ("VWAP").
Kukbo's strategic investment in RedHill is to be made in two
tranches, with the first tranche of $5
million already paid and the second tranche of $5 million to follow within six months, subject
to satisfaction of certain conditions. As part of the first
tranche, RedHill is to issue 827,586 ADSs at a purchase price of
$6.04, representing a 20% premium
based on the VWAP of RedHill's ADS on NASDAQ over the 30 trading
days ending on the effective date. All ADSs are to be issued with a
180-day transfer restriction.
In addition, under the terms of the agreement, RedHill has
agreed to grant Kukbo a right of first offer, for a period of six
months, for a license with respect to one or more of RedHill's
late-stage clinical assets, opaganib, RHB-107 (upamostat)[1] and
Talicia®, for one or more of the territories of
South Korea, Japan, Indonesia, Vietnam, Thailand and Malaysia. Kukbo has the right to elect not to
purchase the ADSs in the second tranche if no such license
agreement is executed within six months of the closing of the first
tranche.
Dror Ben-Asher, RedHill's
CEO said: "We are rapidly advancing with opaganib's
COVID-19 data package submissions to regulators in several
territories including the U.S., EU and others, ahead of planned
regulatory advice. We are pleased with the addition of Kukbo as a
committed strategic investor and look forward to evaluating
opportunities for opaganib, RHB-107 and Talicia in South Korea and other territories in
Asia where large unmet medical
needs exist."
"As Kukbo proceeds in its planned strategic expansion into
healthcare, we believe that RedHill's opaganib, RHB-107 and
Talicia, if approved, hold substantial promise in South Korea and other Asian countries and are
eager to leverage our local expertise and network in those
territories," said Hyun Ha,
Kukbo's CEO.
Nexpedia Holdings Co., Ltd. and Network 1 Financial Securities,
Inc. facilitated the introduction between the parties.
The securities to be sold in the private placement have not been
registered under the Securities Act of 1933, as amended (the
"Securities Act"), or any state or other applicable jurisdiction's
securities laws, and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements of the
Securities Act and applicable state or other jurisdictions'
securities laws.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy these securities, nor shall there
be any offer, solicitation, or sale of these securities in any
jurisdiction in which such offer, solicitation or sale would be
unlawful.
About RedHill Biopharma
RedHill Biopharma
Ltd. (Nasdaq: RDHL) is a specialty biopharmaceutical company
primarily focused on gastrointestinal and infectious diseases.
RedHill promotes the gastrointestinal drugs,
Movantik® for opioid-induced constipation in
adults[2], Talicia® for the treatment of
Helicobacter pylori (H. pylori) infection in adults[3], and
Aemcolo® for the treatment of travelers' diarrhea
in adults[4]. RedHill's key clinical late-stage development
programs include: (i) RHB-204, with an ongoing Phase 3
study for pulmonary nontuberculous mycobacteria (NTM) disease; (ii)
opaganib (ABC294640), a first-in-class oral
SK2 selective inhibitor targeting multiple indications with a Phase
2/3 program for COVID-19 and Phase 2 studies for prostate cancer
and cholangiocarcinoma ongoing; (iii) RHB-107
(upamostat), an oral serine protease inhibitor in a U.S.
Phase 2/3 study as treatment for symptomatic COVID-19, and
targeting multiple other cancer and inflammatory gastrointestinal
diseases; (iv) RHB-104, with positive results from a first
Phase 3 study for Crohn's disease; (v) RHB-102 , with
positive results from a Phase 3 study for acute gastroenteritis and
gastritis and positive results from a Phase 2 study for IBS-D; and
(vi) RHB-106, an encapsulated bowel preparation. More
information about the
Company is available at https://www.redhillbio.com
https://twitter.com/RedHillBio.
About Kukbo Co. Ltd.
Kukbo Co., Ltd. is a KOSPI-listed company in South Korea with a 68-years of history. Kukbo
Co., Ltd. provides comprehensive logistic services, equipped
with a distribution management system for running a
state-of-the-art integrated logistic centers, as well as
infrastructure such as transportation, storage and warehousing.
In addition, Kukbo Co., Ltd. is developing a system designed
to locate optimal routes through real-time traffic information and
vehicle location tracking to strengthen its logistic business
capabilities by building a cutting-edge system. As Kukbo Co., Ltd.
expands into new business areas, it is on the way to become a
global company while pursuing a variety of business areas such as
golf-wear, masks and pharmaceuticals. Kukbo's website is available
at http://www.kukbo.com.
This press release contains "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Such statements may be preceded by the words "intends,"
"may," "will," "plans," "expects," "anticipates," "projects,"
"predicts," "estimates," "aims," "believes," "hopes," "potential"
or similar words. Forward-looking statements are based on certain
assumptions and are subject to various known and unknown risks and
uncertainties, many of which are beyond the Company's control and
cannot be predicted or quantified, and consequently, actual results
may differ materially from those expressed or implied by such
forward-looking statements. Such risks and uncertainties include
the risk that the tranches of the subscription agreement described
in this press release will not close, the risk that the Company
will not enter into a license agreement with Kukbo Co. Ltd. and
risks and uncertainties associated with (i) the initiation, timing,
progress and results of the Company's research, manufacturing,
preclinical studies, clinical trials, and other therapeutic
candidate development efforts, and the timing of the commercial
launch of its commercial products and ones it may acquire or
develop in the future; (ii) the Company's ability to advance its
therapeutic candidates into clinical trials or to successfully
complete its preclinical studies or clinical trials (iii) the
extent and number and type of additional studies that the Company
may be required to conduct and the Company's receipt of regulatory
approvals for its therapeutic candidates, and the timing of other
regulatory filings, approvals and feedback; (iv) the manufacturing,
clinical development, commercialization, and market acceptance of
the Company's therapeutic candidates and Talicia®; (v)
the Company's ability to successfully commercialize and promote
Movantik®, Talicia® and Aemcolo®;
(vi) the Company's ability to establish and maintain corporate
collaborations; (vii) the Company's ability to acquire products
approved for marketing in the U.S. that achieve commercial success
and build and sustain its own marketing and commercialization
capabilities; (viii) the interpretation of the properties and
characteristics of the Company's therapeutic candidates and the
results obtained with its therapeutic candidates in research,
preclinical studies or clinical trials; (ix) the implementation of
the Company's business model, strategic plans for its business and
therapeutic candidates; (x) the scope of protection the Company is
able to establish and maintain for intellectual property rights
covering its therapeutic candidates and commercial products and its
ability to operate its business without infringing the intellectual
property rights of others; (xi) parties from whom the Company
licenses its intellectual property defaulting in their obligations
to the Company; (xii) estimates of the Company's expenses, future
revenues, capital requirements and needs for additional financing;
(xiii) the effect of patients suffering adverse events using
investigative drugs under the Company's Expanded Access Program;
and (xiv) competition from other companies and technologies within
the Company's industry. More detailed information about the Company
and the risk factors that may affect the realization of
forward-looking statements is set forth in the Company's filings
with the Securities and Exchange Commission (SEC), including the
Company's Annual Report on Form 20-F filed with the SEC on
March 18, 2021. All forward-looking
statements included in this press release are made only as of the
date of this press release. The Company assumes no obligation to
update any written or oral forward-looking statement, whether as a
result of new information, future events or otherwise unless
required by law.
Company
contact:
Adi Frish
Chief Corporate &
Business Development Officer
RedHill
Biopharma
+972-54-6543-112
adi@redhillbio.com
|
Media
contacts:
U.S.: Bryan
Gibbs, Finn Partners
+1 212 529
2236
bryan.gibbs@finnpartners.com
UK: Amber
Fennell, Consilium
+44 (0) 7739 658 783
fennell@consilium-comms.com
|
[1] Opaganib and RHB-107 (upamostat) are investigational new
drugs, not available for commercial distribution.
[2] Full prescribing information for Movantik®
(naloxegol) is available at: www.Movantik.com.
[3] Full prescribing information for Talicia®
(omeprazole magnesium, amoxicillin and rifabutin) is available at:
www.Talicia.com.
[4] Full prescribing information for Aemcolo®
(rifamycin) is available at: www.Aemcolo.com.
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SOURCE RedHill Biopharma Ltd.