Xenetic Biosciences Reports 2017 Second Quarter Financial Results and Provides Business Update

On August 15, 2017 Xenetic Biosciences, Inc. (NASDAQ: XBIO) ("Xenetic" or the "Company"), a clinical-stage biopharmaceutical company focused on the discovery, research and development of next-generation biologic drugs and novel orphan oncology therapeutics, reported its unaudited financial results for the quarter ended June 30, 2017 (Press release, Xenetic Biosciences, AUG 15, 2017, View Source [SID1234537805]).

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Xenetic also provided an update to its corporate progress as well as clinical and regulatory status and anticipated milestones for the Company’s lead product candidate, XBIO-101 (sodium cridanimod), a small-molecule immunomodulator and interferon inducer which, in preliminary studies, has been shown to increase progesterone receptor ("PrR") expression in endometrial tumor tissue, and an update on its proprietary PolyXen platform technology.

"The second quarter was marked by the advancement of our flagship program, XBIO-101, into our Phase 2 program for the treatment of endometrial cancer, along with the important data we received from Shire’s Phase 1/2 study of SHP656, which utilized our PolyXen platform technology. While this study did not meet its primary endpoint and Shire has subsequently stated the program has been discontinued, key findings from the study specific to our PolyXen platform technology, provide further validation that it has the potential to improve the clinical utility of protein and peptide drugs," stated M. Scott Maguire, Xenetic’s CEO.

XBIO-101 Program Update

In the second quarter of 2017, the Company commenced patient enrollment for its Phase 2 clinical study of XBIO-101 in conjunction with progestin therapy for the treatment of endometrial cancer. The study targets a population of patients who have either failed progestin monotherapy or who have been identified as having progesterone receptor negative ("PrR-") tumors.

The primary objective of the open-label, multi-center, single-arm, two-period Phase 2 study is to assess the antitumor activity of XBIO-101 in conjunction with progestin therapy as measured by Overall Disease Control Rate in women with recurrent or persistent endometrial carcinoma not amenable to surgical treatment or radiotherapy who have either failed progestin monotherapy or who have been identified as PrR-. Secondary objectives include assessments of efficacy and safety/tolerability parameters.

The study is expected to enroll up to 72 women with recurrent or persistent endometrial cancer not amenable to surgical treatment or radiotherapy but suitable to be treated with progestins. All subjects determined to be PrR- at screening, as well as those subjects who experience disease progression after at least 4 weeks of progestin monotherapy, will receive XBIO-101 in combination with continued progestin treatment. Subjects will receive treatment until disease progression as defined according to RECIST 1.1 criteria.

Xenetic has also filed a protocol under its existing Investigational New Drug application to expand the development of XBIO-101 into a biomarker study related to the treatment of triple negative breast cancer.

Expected Upcoming Milestones

Commence patient dosing in the Phase 2 clinical study evaluating XBIO-101 in conjunction with progestin therapy for the treatment of progestin resistant endometrial cancer in Q3 2017; and
Announce interim data from Phase 2 study before the end of 2018.
PolyXen Platform Technology Update

In May 2017, the Company, along with its strategic collaborator, Shire plc (LSE: SHP, NASDAQ: SHPG), announced data from Shire’s Phase 1/2 program of SHP656, its PSA-Recombinant Factor VIII ("rFVIII"), which was being developed as a long-acting therapeutic for the treatment of hemophilia A, utilizing Xenetic’s PolyXen platform technology to conjugate polysialic acid to therapeutic blood-clotting factors. Despite not achieving the principal objective of once-weekly dosing in this Phase 1/2 study, the Company’s PolyXen technology demonstrated that it works as a platform to successfully extend the circulating half-life of rFVIII with no drug-related serious adverse events reported to date. Including the Company’s own studies with a polysialylated erythropoietin ("PSA-EPO", "ErepoXen") candidate, this is the second instance in which PolyXen platform technology has been demonstrated, in a human clinical trial setting, to confer extended half-life to a biotherapeutic, while maintaining pharmacological activity and a favorable safety and tolerability profile. Moving forward, Xenetic believes data from Shire’s SHP656 program, although discontinued, continues to support the broad utility of its proprietary PolyXen technology platform, and expects the growing body of data from this platform will enable the Company to build a pipeline of partnerships utilizing this proven technology.

Expected Next Steps

Pursue business development activities to identify target molecules to explore partnerships utilizing PolyXen delivery platform; and
Explore other potential applications of the PolyXen platform technology within the Shire portfolio.
"We remain focused on driving forward with our strategy, including the continued advancement of our lead product candidate XBIO-101, as well as leveraging our proprietary PolyXen platform technology with the goal of building shareholder value in both the near and long-term," concluded Mr. Maguire.

Summary of Financial Results for Second Quarter 2017

Net loss for the three months ended June 30, 2017, was $2.9 million compared to a net loss of approximately $47.8 million for the same period in 2016. The decrease in net loss was primarily due to a decrease of in-process research and development expense, as well as a decrease in share-based compensation expense related to warrants previously issued in 2016. These decreases were offset by an increase in general operating costs and costs related to the initiation of our XBIO-101 Phase 2 clinical study.

The Company ended the quarter with approximately $2.3 million of cash.

Pipeline Review Check

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MT-3724 1st-Generation Forced Internalization Novel MOA CD20 B-Cell Malignancies CD20 Internalization Novel MOA

79

MT-4019 2nd-Generation
De-immunized CD38 Multiple Myeloma Active on CD38 low, CD55/CD59 high tumor cells

42

MT-5111 2nd-Generation
De-immunized HER2 Breast Cancer Novel epitope/combinable with Kadcyla Novel MoA
Active in Kadcyla-refractory cells

37

MT-5050 PD-L1+ tumors PD-L1 Melanoma Novel MoA Antigen seeding

25

MT-6868 1st-Generation CD45 SCT Novel MOA

Bristol-Myers Squibb Announces Topline Results from CheckMate -214, a Phase 3 Study of Opdivo in Combination with Yervoy in Intermediate and Poor-Risk Patients with Previously Untreated Advanced or Metastatic Renal Cell Carcinoma

On August 15, 2017 Bristol-Myers Squibb Company (NYSE: BMY) reported topline results today from the CheckMate -214 trial investigating Opdivo (nivolumab) in combination with Yervoy (ipilimumab) versus sunitinib in intermediate and poor-risk patients previously untreated advanced or metastatic renal cell carcinoma (Press release, Bristol-Myers Squibb, AUG 15, 2017, View Source [SID1234520256]).

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The combination met the co-primary endpoint of objective response rate (ORR) and achieved a 41.6% ORR versus 26.5% for sunitinib. Median duration of response was not reached for the combination of Opdivo and Yervoy and was 18.17 months for sunitinib. While there was an improvement in progression-free survival (PFS) (HR=0.82, [95% CI 0.64 – 1.05]; stratified 2-sided p=0.03), it did not reach statistical significance. The median PFS was 11.56 months (95% CI 8.71 – 15.51) for the Opdivo and Yervoy combination versus 8.38 months (95% CI 7.03-10.81) for sunitinib, The study will continue as planned to allow the third co-primary endpoint of overall survival to mature. The tolerability profile observed in CheckMate-214 was consistent with that observed in previously reported studies of this dosing schedule.

"We are encouraged by the totality of the CheckMate-214 data. The overall response rate and durability of response favored the combination of Opdivo and Yervoy, and the trend for PFS supports the potential of the combination in intermediate and poor-risk advanced renal cell carcinoma, the most common type of kidney cancer. This is an important study in first-line renal cancer as these patients need new options," said Vicki Goodman, M.D., development lead, Melanoma and Genitourinary Cancers, Bristol-Myers Squibb. "We look forward to presenting the full results from this study at an upcoming medical meeting."

"Opdivo is now well established as standard of care in the treatment of second-line renal cell carcinoma," said Goodman. "The company plans to share these important first-line data with regulatory authorities and we look forward to reporting overall survival when these data mature."

About CheckMate -214

CheckMate -214 is a phase 3, randomized, open-label study evaluating the combination of Opdivo plus Yervoy versus sunitinib in patients with previously untreated advanced or metastatic renal cell carcinoma. Patients in the combination group received Opdivo 3 mg/kg plus Yervoy 1 mg/kg every 3 weeks for 4 doses followed by Opdivo 3 mg/kg every 2 weeks. Patients in the comparator group received sunitinib 50 mg once daily for 4 weeks, followed by 2 weeks off before continuation of treatment. Patients were treated until progression or unacceptable toxic effects. The primary endpoints of the trial are progression-free survival, overall survival and objective response rate in an intermediate to poor-risk patient population (approximately 75 percent of patients). The majority of alpha was allocated to overall survival. Safety is a secondary endpoint.

About Renal Cell Carcinoma

Renal cell carcinoma (RCC) is the most common type of kidney cancer in adults, accounting for more than 100,000 deaths worldwide each year. Clear-cell RCC is the most prevalent type of RCC and constitutes 80% to 90% of all cases. RCC is approximately twice as common in men as in women, with the highest rates of the disease in North America and Europe. Globally, the five-year survival rate for those diagnosed with metastatic, or advanced kidney cancer, is 12.1%.

VBI Vaccines Announces FDA Acceptance of Investigational New Drug Application for VBI-1901 to Treat Glioblastoma Multiforme

On August 15, 2017 VBI Vaccines Inc. (Nasdaq: VBIV) (TSX: VBV) (VBI), a commercial-stage biopharmaceutical company developing next-generation infectious disease and immuno-oncology vaccines, reported that the U.S. Food and Drug Administration (FDA) has accepted the company’s Investigational New Drug Application (IND) for VBI-1901, a novel immunotherapy targeting Glioblastoma Multiforme (GBM), one of the most common and aggressive malignant primary brain tumors in humans (Press release, VBI Vaccines, AUG 15, 2017, View Source [SID1234520255]). The IND enables VBI to initiate a multi-center Phase I/2a clinical study evaluating VBI-1901 in patients with recurrent GBM in the second half of this year.

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VBI has leveraged its enveloped virus-like particle (eVLP) platform and expertise in immunology to develop a broadly active therapeutic vaccine that targets two highly immunogenic CMV antigens, gB and pp65, to direct a potent immune response against CMV infection. Scientific literature suggests CMV infection is prevalent in multiple solid tumors, including GBM. The vaccine candidate is combined with granulocyte-macrophage colony-stimulating factor (GM-CSF), an adjuvant that mobilizes dendritic cell function and seeks to enhance productive immunity against tumors.

"A growing body of research has demonstrated that GBM tumors may be susceptible to infection by CMV, with over 90% of GBM tumors expressing CMV antigens," said Jeff Baxter, president and CEO of VBI. "FDA clearance of this IND is a significant milestone for VBI as we expand our eVLP platform into immuno-oncology applications."

GBM Program Background

Glioblastoma is among the most common and aggressive malignant primary brain tumors in humans. In the U.S. alone, 12,000 new cases are diagnosed each year. The current standard of care for treating GBM is surgical resection, followed by radiation and chemotherapy. Even with aggressive treatment, GBM progresses rapidly and is exceptionally lethal, with median patient survival of less than 16 months.

Targeted immunotherapy may provide a promising adjunct or alternative to conventional GBM treatment. Immunotherapy is a fundamentally different way of treating cancer that stimulates the patient’s immune system to resume its attack on tumors. While conventional therapies are non-specific and may damage surrounding normal tissues, targeted immunotherapy may offer a highly specific and potentially long-lasting treatment approach that leverages the immune system to protect against cancer.

Developing a broadly applicable GBM immunotherapy requires the identification of antigens that are consistently expressed on GBM tumor cells. Recent research has demonstrated that an anti-CMV dendritic cell vaccination regimen may extend overall survival in patients with GBM. Thus, effective targeting of CMV antigens may represent an attractive strategy for a GBM immunotherapy.

Sierra Oncology Establishes Distinguished DNA Damage Response Advisory Committee

On August 15, 2017 Sierra Oncology, Inc. (NASDAQ: SRRA), a clinical stage drug development company focused on advancing next generation DNA Damage Response (DDR) therapeutics for the treatment of patients with cancer, reported it has established a DDR Advisory Committee composed of leading experts in this emerging field of cancer drug development (Press release, ProNAi Therapeutics, AUG 15, 2017, View Source [SID1234520254]). The DDR Advisory Committee will advise Sierra’s management as it advances its DDR oriented development programs and seeks to maximize the potential clinical and commercial deployment of its drug candidates.

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"A growing body of research has established that the DDR network is essential for cancer cell survival and adaptation. As such it presents fertile ground for generating innovative approaches to treat various cancers. To capitalize on this rapidly advancing and evolving science, we are collaborating closely with Cancer Research UK and the Institute of Cancer Research, institutions that are pioneers in DDR and the originators of our lead DDR asset, SRA737, which targets Chk1, a critical DDR regulator," said Dr. Nick Glover, President and CEO of Sierra Oncology. "We believe the formation of our new DDR Advisory Committee, represented by leading experts in DDR biology, chemistry and medicine, will further strengthen our ability to remain at the forefront of this field and demonstrates our commitment to this promising new area in cancer treatment."

Sierra Oncology’s DDR Advisory Committee consists of:
Eric J. Brown, PhD, Associate Professor of Cancer Biology at the Perelman School of Medicine of the University of Pennsylvania.

Karlene Cimprich, PhD, Vice Chair and Professor of Chemical and Systems Biology at the Stanford University School of Medicine.

Alan D. D’Andrea, MD, Fuller-American Cancer Society Professor of Radiation Oncology at Harvard Medical School and the Director of the Center for DNA Damage and Repair at the Dana-Farber Cancer Institute.

Alan R. Eastman, PhD, Professor at the Geisel School of Medicine at Dartmouth and the founding Director of the Molecular Therapeutics Research Program of the Norris Cotton Cancer Center at Dartmouth.

Michelle D. Garrett, PhD, Professor of Cancer Therapeutics in the School of Biosciences at the University of Kent and Visiting Professor of Cancer Therapeutics at the Institute of Cancer Research, London, UK.

Thomas Helleday, PhD, The Torsten and Ragnar Söderberg Professor of Translational Medicine and Chemical Biology at Karolinska Institutet, Stockholm, Sweden.

Leonard Post, PhD, Chief Scientific Officer of Vivace Therapeutics.
"We aim to maintain a leading position in the clinical translation of DDR science and view this team as integral to that objective. Members of our DDR Advisory Committee were selected to add specific expertise that will provide the company with complementary, well-rounded guidance and strategic advice," added Dr. Christian Hassig, Senior Vice President, Research of Sierra Oncology. "As we advance our pipeline, a thorough understanding of emerging DDR biology will inform our clinical strategies and help maximize the potential clinical opportunities for our assets."

About Sierra’s DDR Advisory Committee members:
Eric J. Brown, PhD, Associate Professor of Cancer Biology at the Perelman School of Medicine at the University of Pennsylvania.

Dr. Brown’s laboratory at the University of Pennsylvania examines how signaling maintains genome stability during DNA synthesis and how this function is essential to cancer cells. His laboratory was the first to report that oncogenic stress is sufficient to cause selective sensitivity to ATR inhibition. Dr. Brown’s laboratory is currently identifying predictive biomarkers of therapeutic benefit and the mechanisms of action of these drugs through a combination of genome-wide breakpoint mapping and replication fork proteomics. In collaboration with clinical researchers, these biomarkers of response will be exploited in current and future clinical trials. Collectively, the Brown laboratory seeks both to define the mechanisms of action of ATR/Chk1 inhibitors and to identify their optimal uses in cancer therapies.

Dr. Brown received his BA (Genetics) from the University of California at Berkeley (1989) and his PhD (Immunology)
from Harvard University (1996). He performed his doctoral research with Dr. Stuart Schreiber at Harvard University, where he purified and cloned the mammalian target of rapamycin (mTOR). In his postdoctoral research in Dr. David Baltimore’s laboratory at the California Institute of Technology, Dr. Brown investigated the impact of ATR suppression on genome stability and checkpoint signaling in response to replication stress.

Karlene Cimprich, PhD, Vice Chair and Professor, Department of Chemical and Systems Biology at the Stanford University School of Medicine.

The Cimprich lab is focused on understanding how cells maintain genomic stability, with an emphasis on the DNA damage response. These include effects on DNA repair, transcription, and DNA replication, as well as cell cycle arrest, apoptosis, and senescence. The lab is particularly interested in understanding how DNA damage is identified and resolved during DNA replication, when the genome is particularly vulnerable due to stalling of the replication fork at naturally arising and induced DNA lesions, structures or protein-DNA complexes. Dr. Cimprich’s research has evaluated the role of proteins, including Chk1 and Cdc7, in replication fork collapse.

Dr. Cimprich received her BS, from the University of Notre Dame, Chemistry (1989) and her PhD from Harvard University, Chemistry (1994). She was a Postdoctoral Fellow in the Department of Chemistry and Chemical Biology, Harvard University in the laboratory of Dr. Stuart Schreiber. Dr. Cimprich is a AAAS fellow and a recipient of the Kimmel Scholar Award, Burroughs Wellcome New Investigator Award, and the Ellison Senior Scholar Award.
Alan D. D’Andrea, MD, Fuller-American Cancer Society Professor of Radiation Oncology at Harvard Medical School and the Director of the Center for DNA Damage and Repair at the Dana-Farber Cancer Institute.

Dr. D’Andrea is internationally known for his research in the area of DNA damage and DNA repair. Through his work on DNA repair biomarkers, Dr. D’Andrea participates in a wide range of clinical trials, largely focused on ovarian, breast, prostate, and bladder cancers. His research has focused on the molecular cause of leukemia for many years and he also investigates the pathogenesis of Fanconi anemia DNA repair pathway, a human genetic disease characterized by bone marrow failure and AML in children. Dr. D’Andrea has previously published on the correlation between DNA repair deficient pathways and Chk1 inhibition.

Dr. D’Andrea received his MD from Harvard Medical School in 1983. He completed his residency in Pediatrics at Children’s Hospital of Philadelphia, and a fellowship in hematology-oncology at DFCI and Children’s Hospital, Boston. Dr. D’Andrea also completed a research fellowship at the Whitehead Institute of Biomedical Research at MIT where he cloned the receptor for erythropoietin while working in the laboratory of Harvey Lodish. Dr. D’Andrea joined the staff at DFCI in 1990 and in 2017 he became the Director of the Susan Smith Center for Women’s Cancer at the DFCI. A recipient of numerous academic awards, Dr. D’Andrea is a former Stohlman Scholar of the Leukemia and Lymphoma Society, and serves on their Medical and Scientific Advisory Board.

Alan R. Eastman, PhD, Professor at the Geisel School of Medicine at Dartmouth and the founding Director of the Molecular Therapeutics Research Program of the Norris Cotton Cancer Center at Dartmouth.

Dr. Eastman’s research has concentrated in the area of preclinical cancer chemotherapy through early phase clinical trials. His initial research focused primarily on the mechanism of action of cisplatin which led to analysis of the resulting cell cycle perturbation and the identification of apoptosis as an end point. These two areas, apoptosis and cell cycle checkpoint regulation, continue today with the overall goal of bringing new drugs and new strategies to clinical trials. Dr. Eastman has published extensively on Chk1 inhibition as well as Cdc7 inhibition and their respective mechanisms of action. Further, Dr. Eastman has participated in Chk1 inhibitor clinical trials.

Dr. Eastman received his BTech from Brunel University, London (1972) and his PhD from the Chester Beatty Research Institute, University of London (1975). In 1989, he joined the faculty at the Geisel School of Medicine at Dartmouth where he has been a professor since 1992. In 1993, he was the founding Director of the Molecular Therapeutics Research Program of the Norris Cotton Cancer Center at Dartmouth, an NCI-designated comprehensive cancer center, and he continues in this role today. Prior to this, he took a position in 1983 as associate professor at the Eppley Institute for Research in Cancer, University of Nebraska Medical Center.

Michelle D. Garrett, PhD, Professor of Cancer Therapeutics in the School of Biosciences at the University of Kent and Visiting Professor of Cancer Therapeutics at the Institute of Cancer Research, London, UK.

Dr. Garrett’s current research is focused on understanding the molecular and cellular effects of drugs that target cell signaling pathways and the cell division cycle. This research includes Chk1 inhibitors such as SRA737 and other functionally related drugs. One of the long-term aims of this work is to identify biomarkers for both patient stratification and drug-target engagement for these drugs in the clinic. Dr. Garrett is a co-inventor of SRA737 and related compounds.

Dr. Garrett received her undergraduate degree from the University of Leeds, UK (1987) and her PhD from The Institute of Cancer Research (ICR), London, UK (1991). She undertook post-doctoral research at Yale Medical School, USA and then in 1994 joined Onyx Pharmaceuticals, California, USA, where she was involved in the discovery of small molecule drugs targeting the cell cycle. This included the CDK4 inhibitor project, which went on to deliver Ibrance (Palbociclib) now a registered treatment for breast cancer. In 1999, Dr. Garrett returned to the ICR where she went on to become a Reader in Cancer Therapeutics and Head of Biology for the CRUK Cancer Therapeutics Unit. In September 2014, she joined the School of Biosciences at the University of Kent and currently has three cancer drugs in the clinic.

Thomas Helleday, PhD, The Torsten and Ragnar Söderberg Professor of Translational Medicine and Chemical Biology at Karolinska Institutet, Stockholm, Sweden.

Professor Helleday heads a large multidisciplinary translational research group at Karolinska Institute focusing on understanding basic DNA repair and DNA-damage and developing novel drugs for anti-cancer treatments. The group was first to demonstrate a novel concept for treating cancer called "synthetic lethality" established by the selective killing of BRCA1 or BRCA2 mutated breast and ovarian cancers by PARP inhibitors (now EMA/FDA approved). The research covers both basic and translational work including academic-driven clinical trials, based on basic science findings in his laboratory. Dr. Helleday has published extensively on the ATR/Chk1 pathway, and has established a cancer specific synthetic lethal relationship between ATR and Chk1 inhibition.

Professor Helleday received a degree in molecular biology (1995) and in Business Administration and Economics (1996) from the Stockholm University. He received a PhD from Stockholm University in 1999 for his studies on homologous recombination in mammalian cells. Professor Helleday has been awarded numerous eminent international grants and awards in recognition of his research accomplishments including the Eppendorf-Nature Young European Investigator Award (2005) for outstanding contribution within the field of biomedical science by the journal Nature and two prestigious ERC advanced grants (2010 and 2016).

Leonard Post, PhD, Chief Scientific Officer of Vivace Therapeutics.
Dr. Post is Chief Scientific Officer of Vivace Therapeutics and also serves as an advisor to numerous biotechnology companies and to venture investors. Until July 2016, he was Chief Scientific Officer of BioMarin Pharmaceuticals, and before that was CSO and co-founder of LEAD Therapeutics which was acquired by BioMarin in 2010. His work in DNA repair involved the discovery of the PARP inhibitor talazoparib at LEAD and its development into Phase 3 at BioMarin.

Talazoparib is currently being tested in EMBRACA, a Phase III clinical study in gBRCA+ locally advanced and/or metastatic breast cancer. From 2000-2006, he was Senior Vice President of Research and Development at Onyx Pharmaceuticals, during the clinical development of Nexavar from IND through NDA approval. Prior to Onyx, he was at Parke-Davis Pharmaceutical where he was VP of Discovery Research; and before that at The Upjohn Company in several positions. Dr. Post is currently a member of the board of directors of Viralytics, an ASX-listed company; and of private companies Orphagen Pharmaceuticals, Fedora Pharmaceuticals and Oxyrane Ltd.

Dr. Post received a Bachelor of Science in Chemistry from the University of Michigan and a PhD in Biochemistry from the University of Wisconsin, Madison after which he performed a Postdoctoral Fellowship in Virology at the University of Chicago. From 1993 to June 2000, he served as Adjunct Professor in the Department of Microbiology and Immunology at the University of Michigan.