CAMBRIDGE, Mass.,
Sept. 20, 2018 /PRNewswire/ -- Merrimack Pharmaceuticals,
Inc. (Nasdaq: MACK), a clinical-stage oncology company focused
on biomarker-defined cancers, today announced that it has received
a $5 million milestone payment from
Shire, triggered by the sale of ONIVYDE in the first major
non-European, non-Asian country, pursuant to the terms of
Merrimack's asset sale to Ipsen in 2017.
"Since the start of the third quarter, Merrimack has received
$38 million in non-dilutive capital,
including two milestone payments from Shire totaling $23 million," said Richard Peters, M.D., Ph.D., President and Chief
Executive Officer of Merrimack. "We are pleased to further
strengthen the Company's cash position as we continue advancing our
wholly-owned clinical and preclinical pipeline."
The terms of the Company's asset sale to Ipsen in 2017 entitled
Merrimack to receive up to an aggregate of $33.0 million in net milestone payments from
Shire, of which Merrimack has now received $23.0 million, including this milestone and the
$18.0 million payment in August 2018 resulting from the sale of ONIVYDE in
two additional major European countries. Merrimack remains eligible
to receive up to an additional $10.0
million in milestone payments for the first patient dosed in
a pivotal clinical trial of ONIVYDE in an indication other than
pancreatic cancer.
Furthermore, Merrimack is entitled to receive up to an aggregate
of $450 million in regulatory-based
milestones from Ipsen. Merrimack has stated it expects to pass
these proceeds through to stockholders, net of any taxes owed and
subject to there being a sufficient surplus at that time,
consisting of:
- $225.0 million upon approval by
the FDA of ONIVYDE for the first-line treatment of metastatic
adenocarcinoma of the pancreas, subject to certain conditions;
- $150.0 million upon approval by
the FDA of ONIVYDE for the treatment of small cell lung cancer
after failure of first-line chemotherapy; and
- $75.0 million upon approval by
the FDA of ONIVYDE for an additional indication unrelated to those
described above.
About Merrimack
Merrimack is a biopharmaceutical company based
in Cambridge, Massachusetts that is outthinking cancer to
ensure that patients and their families live fulfilling lives. Its
mission is to transform cancer care through the smart design and
development of targeted solutions based on a deep understanding of
cancer pathways and biological markers. All of Merrimack's
development programs, including three clinical studies and six
candidates in preclinical development, fit into its strategy of 1)
understanding the biological problems it is trying to solve, 2)
designing specific solutions and 3) developing those solutions for
biomarker-selected patients. This three-pronged strategy seeks to
ensure optimal patient outcomes. For more information, please visit
Merrimack's website at www.merrimack.com.
Forward Looking Statements
To the extent that statements contained in this press release
are not descriptions of historical facts, they are forward-looking
statements reflecting the current beliefs and expectations of
management made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995, as amended.
Forward-looking statements include any statements about Merrimack's
strategy, future operations, future financial position, future
revenues and future expectations and plans and prospects for
Merrimack, and any other statements containing the words
"anticipate," "believe," "estimate," "expect," "intend," "may,"
"plan," "predict," "project," "target," "potential," "will,"
"would," "could," "should," "continue" and similar expressions. In
this press release, Merrimack's forward-looking statements include,
among others, statements about the anticipated achievement and
receipt of milestones and the availability of funding sufficient to
fund Merrimack's operations. Such forward-looking statements
involve substantial risks and uncertainties that could cause
Merrimack's clinical development programs, future results,
performance or achievements to differ significantly from those
expressed or implied by the forward-looking statements. Such risks
and uncertainties include, among others, the uncertainties inherent
in the availability of data from ongoing clinical trials,
expectations for regulatory approvals, development progress of
Merrimack's companion diagnostics, availability of funding
sufficient for Merrimack's foreseeable and unforeseeable operating
expenses and capital expenditure requirements, and other matters
that could affect the availability or commercial potential of
Merrimack's product candidates or companion diagnostics. Merrimack
undertakes no obligation to update or revise any forward-looking
statements. Forward-looking statements should not be relied upon as
representing Merrimack's views as of any date subsequent to the
date hereof. For a further description of the risks and
uncertainties that could cause actual results to differ from those
expressed in these forward-looking statements, as well as risks
relating to Merrimack's business in general, see the "Risk Factors"
section of Merrimack's Quarterly Report on Form 10-Q filed with the
SEC on August 7, 2018 and the other
reports Merrimack files with the SEC.
Contact:
Geoffrey
Grande, CFA
617-441-7602
ggrande@merrimack.com
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SOURCE Merrimack Pharmaceuticals, Inc.