On January 7, 2019 Stelexis Therapeutics, LLC reported that it closed a $43 million Series A financing to expand its proprietary platform to discover and selectively target pre-cancerous stem cells (Press release, Stelexis Therapeutics, JAN 7, 2019, View Source [SID1234550413]). Deerfield established Stelexis in 2017 together with scientific founders, Ulrich Steidl, Evripidis Gavathiotis, Amit Verma, and Roman Perez-Soler of Albert Einstein College of Medicine, Montefiore Health, New York and Derrick Rossi of Boston Children’s Hospital, Harvard Medical School. Patrick Doyle serves as the founding CEO, and Keren Paz is the CSO of Stelexis.

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Stelexis’ proprietary drug discovery platform identifies the earliest definable pre-cancerous stem and progenitor cells that lead to the formation of human primary and recurrent tumors for therapeutic intervention and relapse prevention. Stelexis’ mission is to develop novel cancer drugs that selectively target these critical pre-cancerous events related to both hematopoietic and solid malignancies.

"The ability to identify, isolate, study and screen rare pre-cancerous stem cells, from within bulk tumors, is an enormous breakthrough that has the potential to change how cancer patients are treated," stated Dr. Steidl. "Our thesis is that targeting cancer at its very origin should not only be effective as first line therapy, but should also lead to long-lasting remission for patients," said Dr. Rossi, who, prior to co-founding Stelexis, has also co-founded numerous other successful biotechnology companies.

Utilizing Deerfield seed funding and operational support since 2017, Stelexis has established its labs in Albert Einstein College of Medicine facilities, hired key management and is poised to deliver clinical trial data that validate its platform using the proceeds of this Series A round.

"We are thrilled to announce the formation and funding of Stelexis, which has the platform technology to explore the role pre-cancer conditions play in cancer development and recurrence. The team has an outstanding track record and we look forward to a stream of transformative cancer medicines," stated Dr. Robert Jackson, director at Stelexis and partner at Deerfield Management.

"Deerfield’s holistic approach to forming, funding and providing operational support to Stelexis has been instrumental in creating a leadership position in a novel targeted approach to treating cancer," said Patrick Doyle, CEO of Stelexis. "With these funds we are now positioned to execute on our potential to transform patients’ lives."

On January 7, 2019 Exscientia the world-leading Artificial Intelligence (AI)-driven drug discovery company reported it has raised US$26 million in a Series B financing round (Press release, Exscientia, JAN 7, 2019, View Source [SID1234539638]). This will be used to scale the company’s pipeline and advance selected programmes towards clinical development. The round included participation from new investors Celgene Corporation and specialist healthcare investor GT Healthcare Capital Partners, as well as existing investor Evotec AG.

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Alan Au, Managing Partner of GT Healthcare Capital Partners, commented: "We are very excited to back Exscientia and partner with a world-class team to further extend its business, including in Asia. We have a shared vision to revolutionize traditional drug development processes and believe Exscientia’s unique capabilities have the potential to deliver well beyond cost-effectiveness and speed, to first-in-class and best-in-class drugs that benefit patients in the near future."

Dr Rupert Vessey, President of Research and Early Development at Celgene, said: "Exscientia has demonstrated that AI in molecular design is here today. With the global pharmaceutical industry acknowledging the importance of incorporating AI-driven R&D approaches into their drug discovery processes, we see a huge growth opportunity ahead. We believe Exscientia is set to become a global leader in AI-driven drug discovery and are excited to participate in this investment round."

Professor Andrew Hopkins, CEO and founder of Exscientia, said: "This Series B marks a milestone in our development and enables us to drive the next phase of strong business growth. Over the past 12 months we have substantially expanded our operations and capabilities to become a full stack AI drug discovery company. Furthermore, our unique Centaur Chemist platform allows us to move rapidly from idea generation to new drug molecules ready for IND and clinical development. With this new funding Exscientia is positioned to become the dominant player in AI drug discovery, driving radical change in R&D productivity. We are excited Celgene and GT Healthcare have joined with existing investor Evotec on this exciting journey."

The company has made considerable progress during 2018 and anticipates its first programmes driven by AI to be IND-ready within the next 12 months. The speed and capital efficiency demonstrated by Exscientia is already revolutionising the economics of small molecule discovery and in the future, this improved throughput will deliver benefits to patients.

Dr Werner Lanthaler, Chief Executive Officer of Evotec, said: "We continue to be very impressed with the progress Exscientia has made over the past year. Through our partnership with Exscientia we have seen first-hand evidence that they can deliver the most productive drug discovery engine in the industry. This latest funding will allow Exscientia to apply its platform at scale, taking advantage of the efficiencies that its AI-driven systems provide."

Exscientia will use the proceeds of this financing round to grow its "full stack" AI drug discovery capability to dramatically expand its pipeline, with a target of establishing an expansive portfolio of projects, both in-house and with partners by the end of 2019.

Alex Snow, Executive Chairman of Exscientia, said: "Exscientia has validated its technology by delivering multiple pre-clinical drug candidates with unprecedented efficiency. Exscientia’s platform has the potential to bring a generation of new medicines to the market by offering a technologically and financially superior approach to drug discovery that will benefit of patients. I am personally very excited to be part of Exscientia’s next stage of development, and to have the backing of such prestigious investors."

Exscientia were advised by Rothschild & Co on this transaction.

On January 7, 2019 Integral Molecular, the industry leader in membrane protein solutions, reported that it has entered into a collaboration to discover new therapeutic targets in immuno-oncology (I-O) with Daiichi Sankyo Co., Ltd. Integral Molecular will use its Membrane Proteome Array (MPA) platform to identify novel membrane proteins that regulate the human immune system’s ability to recognize and destroy cancer cells (Press release, Integral Molecular, JAN 7, 2019, https://www.integralmolecular.com/integral-molecular-enters-immuno-oncology-target-discovery-collaboration-with-daiichi-sankyo/ [SID1234533985]). Daiichi Sankyo will use the identified I-O targets to develop new therapeutics. Specific financial terms of the agreement have not been disclosed.

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The MPA platform contains 5,300 different human membrane proteins, each individually expressed in live human cells. Each protein is screened for ligand binding and biological function using unfixed cells and flow cytometry, enabling high-sensitivity detection and high success rates. These features, particularly the ability to detect functional interactions in live cells, make the MPA ideally suited to the discovery of new therapeutic targets.

"By discovering new targets without preconceived biases, the MPA platform overcomes the disadvantages of current approaches for identifying novel immunomodulatory proteins," said Benjamin Doranz, President and CEO at Integral Molecular. "We have already discovered more than a dozen novel I-O interactions and confirmed that several of these interactions regulate T cells. We are looking forward to a successful collaboration with Daiichi Sankyo."

On January 7, 2019 Apollomics, Inc., an innovative biopharmaceutical company committed to the discovery and development of oncology combination therapies, reported it has raised $100 million in a Series B financing (Press release, Apollomics, JAN 7, 2019, View Source [SID1234532916]). The financing is led by CMB International ("CMBI"), a subsidiary of China Merchants Bank, with participation from existing Series A investor OrbiMed Asia, and several new investors.

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The infusion of capital will accelerate the growth of the Company with a focus on advancing multiple oncology programs, exploring new treatment areas, increasing the pipeline of assets, and adding the necessary talent and infrastructure to support these programs. In conjunction with the financing, Apollomics has added Kexiang Zhou, M.D., Managing Director, CMBI to its Board of Directors.

To accommodate its expansion in the U.S., Apollomics will relocate its headquarters to Foster City, CA. In 2018 the Company established its presence in Hangzhou, China to build a state-of-the-art research and development facility as well as manufacturing capabilities to advance its pipeline programs in China and the rest of the world.

"We founded Apollomics with the vision to become a global leader in the development of novel medicines for cancer patients," said Guo-Liang Yu, PhD, Apollomics CEO and OrbiMed Venture Partner. "With this Series B funding and a physical presence in the United States, China, and Australia, Apollomics is poised to expand its clinical development programs globally. We welcome CMBI and our other new investors, and Dr. Zhou’s expertise in developing medicines in China and internationally will be instrumental as we enter the next stage for the Company. Together with our established partners in China, we currently have over ten clinical trials ongoing, and we will continue creating value for our investors by developing innovative solutions in the fight against cancer."

The Company also announced a corporate name change and rebranding from CBT Pharmaceuticals, Inc. to Apollomics, Inc. and has launched a new logo and website: www.apollomicsinc.com.

Sanjeev Redkar, PhD, President of Apollomics, stated, "Rebranding the company to Apollomics truly captures our spirit and values. The name is derived from the Greek verb ‘apollymi’ which means ‘to destroy’, and ‘omics’ is a term used for large amounts of biological data. In Greek mythology, Apollo is the god of healing. Our new identity reinforces our mission to utilize sound scientific rationale to eradicate cancer and improve the lives of cancer patients."

"We believe in the mission of Apollomics that through combination regimens we can achieve clinically meaningful, durable responses that will allow us to enhance outcomes for patients. Apollomics’ cross-border presence, diverse pipeline, proven track record, and seasoned management team creates a highly compelling investment for CMBI, and we are delighted to join their team," added Dr. Kexiang Zhou.

About CMB International Capital Co., Ltd.

Incorporated in Hong Kong, CMB International Capital Corporation Limited ("CMBI") is an integrated financial institution providing comprehensive and professional services to institutional, corporate and individual customers both domestically and overseas. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), CMBI leverages CMB’s synergy and coordination in domestic and overseas markets as well as CMB’s strong resources and outstanding social reputation. CMBI and its subsidiaries have been actively implementing diversified business strategies and have established main business segments including Corporate Finance, Asset Management, Wealth Management, and Equity and Structured Finance.

On January 7, 2019 Coherus BioSciences, Inc. (the "Company") reported that it has entered into a credit agreement (the "Agreement") with affiliates of Healthcare Royalty Partners (together, the "Lenders") (Press release, Coherus Biosciences, JAN 7, 2019, View Source [SID1234532628]). The Agreement consists of a six-year term loan facility for an aggregate principal amount of $75,000,000 (the "Borrowings"). The obligations of the Company under the loan documents are guaranteed by the Company’s material domestic U.S. subsidiaries (the "Guarantors").

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The Borrowings under the Agreement bear interest through maturity at 7.00% per annum plus LIBOR (customarily defined). If the consolidated net sales (customarily defined) for UDENYCA, the Company’s pegfilgrastim (Neulasta) biosimilar, for the fiscal year ending December 31, 2019, are in excess of $250,000,000, then the interest rate will be reduced as of January 1, 2020 to 6.75% per annum plus LIBOR. Interest is payable quarterly in arrears.

Principal payments on the Borrowings are required to be paid in equal quarterly installments beginning on the four year anniversary of the Closing Date (or, if consolidated net sales of UDENYCA in the fiscal year ending December 31, 2021 are less than $375,000,000, beginning on the three year anniversary of the Closing Date), with the outstanding balance to be repaid on January 7, 2025 (the "Maturity Date").

The Company is also required to make mandatory prepayments of the Borrowings under the Agreement, subject to specified exceptions, with the proceeds of asset sales, extraordinary receipts, debt issuances and specified other events including the occurrence of a change in control.

If all or any of the Borrowings are prepaid or required to be prepaid under the Agreement, then the Company shall pay, in addition to such prepayment, a prepayment premium (the "Prepayment Premium") equal to (i) with respect to any prepayment paid or required to be paid on or prior to the three year anniversary of the Closing Date, 5.00% of the Borrowings prepaid or required to be prepaid, plus all required interest payments that would have been due on the Borrowings prepaid or required to be prepaid through and including the three year anniversary of the Closing Date, (ii) with respect to any prepayment paid or required to be paid after the three year anniversary of the Closing Date but on or prior to the four year anniversary of the Closing Date, 5.00% of the Borrowings prepaid or required to be prepaid, (iii) with respect to any prepayment paid or required to be paid after the four year anniversary of the Closing Date but on or prior to the five year anniversary of the Closing Date, 2.50% of the Borrowings prepaid or required to be prepaid, and (iv) with respect to any prepayment paid or required to be prepaid thereafter, 1.25% of the Borrowings prepaid or required to be prepaid.

In connection with the Agreement, the Company paid a closing fee to the Lenders of $1,125,000. Upon the prepayment or repayment of the Borrowings (or upon the date such prepayment or repayment is required to be paid), the Company is required to pay an additional exit fee in an amount equal to 4.00% of the total principal amount of the Borrowings.

The obligations under the Agreement are secured by a lien on substantially all of the Company’s and the Guarantors’ tangible and intangible property, including intellectual property. The Agreement contains certain affirmative covenants, negative covenants and events of default, including, covenants and restrictions that among other things, restrict the ability of the Company and its subsidiaries to, incur liens, incur additional indebtedness, make loans and investments, engage in mergers and acquisitions, in asset sales, and declare dividends or redeem or repurchase capital stock. Additionally, the consolidated net sales for UDENYCA must not be lower than $70,000,000 for the fiscal year ending December 31, 2019, (b) $125,000,000 for the fiscal year ending December 31, 2020, and (c) $150,000,000 for each fiscal year thereafter. A failure to comply with these covenants could permit the Lenders under the Agreement to declare the Borrowings, together with accrued interest and fees, to be immediately due and payable.