Prothena Announces Global Neuroscience Research & Development Collaboration with Celgene for Novel Therapies for Patients wit...
March 20 2018 - 4:05PM
Prothena Corporation plc (NASDAQ:PRTA), a late-stage clinical
biotechnology company focused on the discovery, development and
commercialization of novel therapies in the neuroscience and orphan
categories, today announced a global collaboration with Celgene
Corporation (NASDAQ:CELG) through a subsidiary, to develop new
therapies for a broad range of neurodegenerative diseases. The
multi-year research and development collaboration is focused on
three proteins implicated in the pathogenesis of several
neurodegenerative diseases, including tau, TDP-43 and an
undisclosed target. For each of the programs, Celgene has an
exclusive right to license clinical candidates in the U.S. at the
investigational new drug (IND) filing and if exercised, would also
have a right to expand the license to global rights at the
completion of Phase 1. Following the exercise of global
rights, Celgene will be responsible for funding all further
global clinical development and commercialization. Under the terms
of the collaboration, Prothena will receive a $100 million upfront
payment and a $50 million equity investment by Celgene, plus future
potential exercise payments and regulatory and commercial
milestones for each licensed program. Prothena will also receive
additional royalties on net sales of any resulting marketed
products.
“Prothena has a legacy of innovation in
neuroscience and a team with a deep understanding of biological
approaches that target protein misfolding disorders. Our
collaboration leverages each company’s core expertise in protein
homeostasis and protein clearance to target proteins that are the
underlying cause of many neurodegenerative and orphan diseases. The
programs we have chosen to collaborate on have the potential to
provide foundational assets from which we can build new therapeutic
approaches to these currently untreatable neurological disorders”
said Richard Hargreaves, PhD, Corporate Vice President Neuroscience
and Imaging for Celgene.
“We are excited to be working with Celgene, a
leading global biopharmaceutical company with deep expertise in
targeting critical biological pathways involved in protein
homeostasis and an extensive track record of successfully bringing
forward innovative new therapies based on this biology,” said Gene
Kinney, PhD, President and Chief Executive Officer of Prothena. “As
we build our pipeline of novel therapies across the neuroscience
and orphan disease categories, this collaboration provides Prothena
the opportunity to work with a premier scientific partner and the
resources and flexibility to advance these programs while
continuing to expand our proprietary discovery activities and
further supports our efforts to deliver a diversified pipeline of
therapies to alter the course of devastating diseases.”
Collaboration Agreement
Overview
Prothena will receive an upfront payment and equity investment,
and is eligible to receive exercise payments and regulatory and
commercial milestones, plus additional royalties on net sales based
on the following collaboration deal terms:
- Prothena will receive an upfront payment of $100 million
- Celgene will make a $50 million equity investment in Prothena
by subscribing to approximately 1.2 million of Prothena’s ordinary
shares at $42.57 per share
- For programs reaching commercialization, Prothena will receive
tiered royalties on net sales
The targets encompassed in this collaboration
are implicated in the pathogenesis of several neurodegenerative
diseases for which there are no current disease modifying
therapies, including the following:
- Tau, a protein implicated in diseases
including Alzheimer's disease (AD), progressive supranuclear palsy
(PSP), frontotemporal dementia (FTD), chronic traumatic
encephalopathy (CTE) and other tauopathies. Prothena has identified
antibodies targeting novel epitopes on the tau protein with the
ability to block misfolded tau from binding to cells and to inhibit
cell-to-cell transmission, preventing downstream functional toxic
effects.
- TDP-43, a protein implicated in diseases
including amytrophic lateral sclerosis (ALS) and the most common
subtype of FTD, behavioral variant FTD (bvFTD), a proportion of AD
and other TDP-43 proteinopathies. Prothena has generated antibodies
that target multiple epitopes on the TDP-43 protein and is using
proprietary in vitro screening methodology to select those that may
be the most potent and efficacious in inhibiting toxicity and
cell-to-cell transmission of misfolded TDP-43 species.
Citi is acting as financial advisor to Prothena and Latham &
Watkins LLP is acting as legal counsel to Prothena. Morgan Lewis is
acting as legal counsel to Celgene.
Investor Conference Call and Webcast
Details
Prothena management will host a conference call
and webcast to discuss the collaboration today, March 20, at 5:00
PM ET. The conference call and webcast will be made available on
the Company's website at www.prothena.com under the Investors tab
in the Events and Presentations section. Following the conference
call and webcast, a replay will be available on the Company's
website for at least 90 days.
To access the conference call via dial-in,
please dial (877) 887-5215 (U.S./Canada toll free) or (315)
625-3069 (international) five minutes prior to the start time and
refer to conference ID number 8469456. A replay of the call will be
available until March 27 via dial-in at (855) 859-2056 (U.S./Canada
toll free) or (404) 537-3406 (international), Conference ID Number
8469456.
About Prothena
Prothena Corporation plc is a global, late-stage
clinical biotechnology company establishing fully integrated
research, development and commercial capabilities and focused on
advancing new therapies in the neuroscience and orphan categories.
Fueled by its deep scientific understanding built over decades of
research in protein misfolding, Prothena seeks to fundamentally
change the course of grave or currently untreatable diseases
associated with this biology. Prothena’s pipeline of antibody
therapeutic candidates targets a number of indications including AL
amyloidosis (NEOD001), Parkinson’s disease and other related
synucleinopathies (PRX002/RG7935) and ATTR amyloidosis (PRX004).
The Company continues discovery of additional novel therapeutic
approaches against targets such as tau, Aβ (Amyloid beta) and
ALECT2 where its deep scientific understanding of disease pathology
can be leveraged. For more information, please visit the Company's
website at www.prothena.com.
Forward-looking Statements by
Prothena
This press release contains forward-looking
statements by Prothena. These statements relate to, among other
things, potential future payments and royalties we might receive
under the collaboration with Celgene; our ability to advance a
growing pipeline of novel therapies in the neuroscience and orphan
disease categories; our ability to advance any of the programs that
are the subject of the collaboration with Celgene; the potential of
those programs to lead to new therapeutic approaches to currently
untreatable neurological disorders; the potential targeting of
novel epitopes on misfolded forms of tau protein and LECT2 protein;
and the capabilities of our proprietary in vitro screening
methodology for TDP-43. These statements are based on estimates,
projections and assumptions that may prove not to be accurate, and
actual results could differ materially from those anticipated due
to known and unknown risks, uncertainties and other factors,
including but not limited to the risks, uncertainties and other
factors described in the “Risk Factors” sections of Prothena’s
Annual Report on Form 10-K filed with the Securities and Exchange
Commission (SEC) on February 26, 2018 and Prothena’s subsequent
Quarterly Reports on Form 10-Q filed with the SEC. Prothena
undertakes no obligation to update publicly any forward-looking
statements contained in this press release as a result of new
information, future events or changes in Prothena’s
expectations.
Contact:
Ellen Rose, Head of Communications
650-922-2405ellen.rose@prothena.com
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