A premier syndicate of life sciences investors including Perceptive
Advisors, Bain Capital Life Sciences (“Bain Capital”), and RA
Capital Management (“RA Capital”) (collectively the “Investor
Group”) together with Sarepta Therapeutics, Inc. (“Sarepta”)
(NASDAQ: SRPT), a leader in precision genetic medicine for rare
diseases, today announced a $107 million Series A financing to
create AavantiBio, a gene therapy company focused on transforming
the lives of patients with rare genetic diseases. The private
financing round includes a $15 million equity investment from
Sarepta.
Alexander “Bo” Cumbo, a seasoned
biopharmaceutical executive, has been appointed AavantiBio’s Chief
Executive Officer and President, effective immediately. Mr. Cumbo
joins the Company after eight years at Sarepta, where he served as
Chief Commercial Officer and Executive Vice President. He will
continue to serve as an advisor to Sarepta through December 31,
2020.
Headquartered in the greater Boston area,
AavantiBio is co-founded by renowned gene therapy researchers Barry
Byrne, M.D., Ph.D., and Manuela Corti, P.T., Ph.D., who together
bring thirty years of experience to the Company. AavantiBio’s lead
program is in Friedreich’s Ataxia (FA), a rare inherited genetic
disease that causes cardiac and central nervous system dysfunction.
AavantiBio’s research efforts expand on foundational research
conducted by Drs. Byrne and Corti in Friedreich’s Ataxia, among
other rare genetic disorders. AavantiBio will benefit from
strategic partnerships with the University of Florida’s renowned
Powell Gene Therapy Center and the MDA Care Center at UF Health
where Drs. Byrne and Corti maintain their research and clinical
practices. Initial funding in AavantiBio was provided by GoFAR, an
Italian patient advocacy group, and the Muscular Dystrophy
Association Venture Philanthropy Fund.
“The past eight years have been some of the most
rewarding of my career as Sarepta has emerged as a pioneer for
Duchenne muscular dystrophy and limb-girdle muscular dystrophy
patients and transformed into a genetic medicine leader,” Mr. Cumbo
stated. “It has been a privilege to contribute to this growth and
play a role in serving these communities. As I look ahead to the
bright future of AavantiBio and the exciting opportunity to lead
this innovative Company, this same dedication to serving unmet
patient needs and to leveraging deep scientific expertise will be
core to our mission. I am also thrilled to continue to collaborate
with the talented team at Sarepta.”
“Our equity participation in AavantiBio serves
our strategy to build our gene therapy engine through targeted
investment in potentially life-enhancing therapies as well as
partnering with renowned genetic medicine pioneers such as Drs.
Byrne and Corti,” stated Doug Ingram, president and CEO, Sarepta
Therapeutics. Mr. Ingram continued: “Bo Cumbo has built a
first-in-class rare disease commercial organization and has made
tremendous contributions to Sarepta. We look forward to continuing
to work with Bo as he builds a strong AavantiBio team and advances
therapies to treat FA and other rare diseases.”
Prior to joining Sarepta in 2013, Mr. Cumbo
served as Vice President of Sales and Treatment Education at Vertex
Pharmaceuticals where he built a sales force to market their first
commercial drug, Incivek—an oral treatment for hepatitis C.
Previously, he spent nine years at Gilead Sciences where he served
in multiple commercial roles supporting the company’s HIV, HBV, and
cardiovascular franchises. Mr. Cumbo has extensive experience
building global commercial infrastructure, and throughout his
career, he has contributed to the launch of 11 specialty products
across multiple organizations. He received his Bachelor of Science
in Laboratory Technology from Auburn University.
“AavantiBio has a unique opportunity to change
the lives of those living with FA and other rare diseases,” Mr.
Cumbo added. “Central to our mission is building on the
advancements in gene transfer therapies and harnessing these
revolutionary technologies to realize their potential as
life-altering medicines. I’m excited to build a company focused on
deep science, innovation, and collaboration, and grateful for the
partnership with three of the biotechnology industry’s most
respected investors in Perceptive Advisors, Bain Capital, and RA
Capital.”
“Our investment in AavantiBio represents a truly
unique opportunity to thoughtfully advance a differentiated
pipeline of innovative gene transfer therapies in areas of high
unmet medical need,” the Investor Group said in a statement. “We
are excited to collaborate with Bo Cumbo, an accomplished executive
leader, and to provide the necessary resources to enable the
Company to build a best-in-class gene therapy platform that brings
transformative products to patients and families impacted by these
devastating diseases.”
The AavantiBio Board of Directors will be
comprised of 8 Directors, including Mr. Cumbo, Drs. Byrne and
Corti, representatives of the Investor Group, and two Independent
Directors. Louise Rodino-Klapac, Ph.D., senior vice president of
gene therapy for Sarepta, will serve as a Board Observer.
About Friedreich’s Ataxia
Friedreich’s Ataxia (also known as FA or
Friedreich Ataxia) is a rare inherited genetic disease that causes
movement problems and nervous system damage. Over time, the
disease leads to degeneration in the spinal cord, peripheral nerves
and cerebellum (the part of the brain that controls synchronization
and balance) and causes impaired muscle coordination (ataxia) that
gets worse over time. Poor coordination is one of the first
noticeable features of FA. The neurological degeneration
caused by the disease results in unsteady movements, impaired
sensory function, and even the loss of speech. Affected individuals
can also develop heart problems, diabetes, or curvature of the
spine. However, the disorder does not affect cognitive
ability. Though rare, FA affects 1 in every 40,000-50,000 people
and is the most common form of hereditary ataxia in the United
States.
About AavantiBio, Inc.
AavantiBio’s vision is to harness the
transformative science of gene transfer therapy and gene editing
technologies to improve the lives of people living with fatal
diseases. Founded by distinguished gene therapy researchers out of
the University of Florida, the Company is advancing a pipeline of
innovative gene transfer therapies in areas of high unmet medical
need, which have the potential to become the next generation of
life-changing medicines. Learn more at: www.aavantibio.com.
About Sarepta
Therapeutics
At Sarepta, we are leading a revolution in
precision genetic medicine and every day is an opportunity to
change the lives of people living with rare disease. The Company
has built an impressive position in Duchenne muscular dystrophy
(DMD) and in gene therapies for limb-girdle muscular dystrophies
(LGMDs), mucopolysaccharidosis type IIIA, Charcot-Marie-Tooth
(CMT), and other CNS-related disorders, with more than 40 programs
in various stages of development. The Company’s programs and
research focus span several therapeutic modalities, including RNA,
gene therapy and gene editing. For more information, please
visit www.sarepta.com or follow us on Twitter, LinkedIn,
Instagram and Facebook.
About Perceptive Advisors
Founded in 1999 and based in New York, NY,
Perceptive Advisors is an investment management firm focused on
supporting the progress of the life sciences industry by
identifying opportunities and directing financial resources to the
most promising technologies in healthcare. For more information
visit www.perceptivelife.com.
About Bain Capital Life Sciences
Bain Capital Life Sciences (www.baincapitallifesciences.com)
pursues investments in biopharmaceutical, specialty pharmaceutical,
medical device, diagnostics and enabling life science technology
companies globally. The team focuses on companies that both drive
medical innovation across the value chain and enable that
innovation to improve the lives of patients with unmet medical
needs. Since 1984, Bain Capital has developed global reach, deep
expertise and a proven track record in life sciences industries
across its Private Equity, Credit, Public Equity, Venture and Real
Estate business units.
About RA Capital Management
RA Capital is a multi-stage investment manager
dedicated to evidence-based investing in public and private
healthcare and life science companies that are developing drugs,
medical devices, and diagnostics. The flexibility of its strategy
allows RA Capital to provide seed funding to startups and to lead
private, IPO, and follow-on financings for its portfolio companies,
both facilitating the crossover process and allowing management
teams to drive value creation from inception through
commercialization.
Sarepta Forward-Looking
Statements
This press release contains "forward-looking
statements." Any statements contained in this press release that
are not statements of historical fact may be deemed to be
forward-looking statements. Words such as "believes,"
"anticipates," "plans," "expects," "will," "intends," "potential,"
"possible" and similar expressions are intended to identify
forward-looking statements. These forward-looking statements
include statements regarding AavantiBio’s plan to pursue a
diversified gene therapy pipeline; the expectation that AavantiBio
will maintain strong ties to the University of Florida's Powell
Gene Therapy Center; AavantiBio’s potential to benefit from
strategic partnerships with the University of Florida’s Powell Gene
Therapy Center and the MDA Care Center at UF Health; AavantiBio’s
mission to build on the advancements in gene transfer therapies and
harness revolutionary technologizes to realize their potential as
life-altering medicines; AavantiBio’s potential to build a
best-in-class gene therapy platform that brings transformative
products to patients and families impacted by devastating diseases;
and AavantiBio’s potential to become the next generation of
life-changing medicines.
These forward-looking statements involve risks
and uncertainties, many of which are beyond Sarepta’s control.
Known risk factors include, among others: the expected benefits and
opportunities related to the investment in AavantiBio may not be
realized or may take longer to realize than expected due to
challenges and uncertainties inherent in product research and
development; the investment in AavantiBio may not result in any
viable treatments suitable for clinical research or
commercialization due to a variety of reasons including the results
of future research may not be consistent with past positive results
or may fail to meet regulatory approval requirements for the safety
and efficacy of product candidates or may never become
commercialized products due to other various reasons including any
potential future inability of the parties to fulfill their
commitments and obligations under the agreements, including any
inability by Sarepta to fulfill its financial commitments
to AavantiBio; even if the investment results in new commercialized
products, Sarepta may not achieve any significant
revenues from the sale of such products; and those risks identified
under the heading “Risk Factors” in Sarepta’s most recent Annual
Report on Form 10-K for the year ended December 31, 2019, and most
recent Quarterly Report on Form 10-Q filed with the Securities and
Exchange Commission (SEC) as well as other SEC filings made by the
Company which you are encouraged to review.
Any of the foregoing risks could materially and
adversely affect the Company’s business, results of operations and
the trading price of Sarepta’s common stock. For a detailed
description of risks and uncertainties Sarepta faces, you are
encouraged to review the SEC filings made by Sarepta. We caution
investors not to place considerable reliance on the forward-looking
statements contained in this press release. Sarepta does not
undertake any obligation to publicly update its forward-looking
statements based on events or circumstances after the date
hereof.
AavantiBio Contact:
Scott Lessne646-502-3569slessne@stantonprm.com
Sarepta Contacts:
For InvestorsIan Estepan617-274-4052iestepan@sarepta.com
For MediaTracy Sorrentino617-301-8566tsorrentino@sarepta.com
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