Aileron Therapeutics Is Pleased to Outline Strategy to Strengthen Phase 1b Clinical Trial of ALRN-6924 in Patients with p53-Mutated Breast Cancer

On August 1, 2022 Aileron Therapeutics (Nasdaq: ALRN), a chemoprotection oncology company that aspires to make chemotherapy safer and thereby more effective to save more patients’ lives, reported its strategy to strengthen the company’s Phase 1b chemoprotection trial of ALRN-6924 in patients with p53-mutated breast cancer (Press release, Aileron Therapeutics, AUG 1, 2022, View Source [SID1234617204]).

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The Phase 1b, open-label, single-armi, multicenter trial is designed to evaluate the safety, tolerability and chemoprotective effect of ALRN-6924 in up to 24 patients with p53-mutated breast cancer undergoing either neoadjuvant or adjuvant treatment with docetaxel, doxorubicin and cyclophosphamide, also known as TAC. The primary endpoints are duration and incidence of severe neutropenia (Grade 4) in cycle 1. Secondary endpoints include the chemoprotective effect of ALRN-6924 on chemotherapy-induced alopecia, as well as other hematologic and non-hematologic toxicities. TAC will be administered every 3 weeks for 4 to 6 cycles based on investigators’ discretion. ALRN-6924 will be administered at 1.2 mg/kg on 3 consecutive days in each treatment cycle, Days 0, 1 and 2, while chemotherapy will be administered on Day 1.

"Our team has worked methodically and expeditiously to modify the Phase 1b breast cancer trial in order to enhance our opportunity to demonstrate a robust chemoprotective effect of ALRN-6924 in patients with p53-mutated breast cancer. The evidence-based modifications we are implementing reflect key, collective learnings from our healthy volunteer study, as well as our non-small cell lung cancer (NSCLC) and small cell lung cancer (SCLC) clinical trials. We are also expanding the eligibility criteria and plan to activate additional sites in additional countries, which we believe will help ensure we are able to recruit the targeted number of patients in a timely and cost-efficient manner," said Manuel Aivado, M.D., Ph.D., President and Chief Executive Officer at Aileron.

Dr. Aivado continued, "We have been closely evaluating operations and have successfully identified cost efficiencies that we’ve already begun to implement. With our decision to cease enrollment in our NSCLC trial last month, and the cash preservation measures we have identified, we believe that our cash resources will now fund our continued operations through the end of the first quarter of 2024. We expect that this will allow us to get to topline readouts for the breast cancer trial next year and if warranted by the trial results, to initiate preparation for a potential pivotal trial."

Nashat Gabrail, M.D., founder of the Gabrail Cancer Center in Canton, Ohio, President of Innovative Community Oncology Practices (ICOP), and the U.S. lead investigator in the ALRN-6924 breast cancer trial commented, "We are excited to continue our participation in this important clinical trial of ALRN-6924 in patients with p53-mutated breast cancer, and we fully support the protocol enhancements. Protecting cancer patients from chemotherapy-induced toxicities remains a critical unmet need. For bone marrow toxicities, such as neutropenia, existing treatments are often not effective and are associated with significant drawbacks. For other side effects, such as alopecia, there currently are no pharmacological options. We look forward to the continued clinical investigation of this potentially transformative therapy to prevent multiple chemotherapy-induced side effects and help patients fight cancer more effectively."

The Gabrail Cancer Center is part of the Sargon Research network, comprising community oncology practices throughout the U.S., whose goal is to drive critical oncology research in the community oncology setting. Five of the Sargon Research network sites, in addition to the Gabrail Cancer Center, will participate in the Aileron breast cancer trial.

Key Enhancements to ALRN-6924 Breast Cancer Trial Design and Study Conduct

Increase the ALRN-6924 dose from the previous 0.3 mg/kg and 0.6 mg/kg dose levels to 1.2 mg/kg with the goal of extending duration of cell cycle arrest. In recently generated data from Aileron’s Phase 1 pharmacology study of ALRN-6924 in healthy human volunteers, higher ALRN-6924 dose levels yielded longer-lasting pharmacodynamic (PD) effects. Specifically, the PD data demonstrated that serum levels of MIC-1 were correlated with bone marrow p21, which is a marker for cell cycle arrest. Based on these findings, Aileron believes that prolonged elevation of serum levels of MIC-1 at higher ALRN-6924 dose levels may result in more durable cell cycle arrest.

Andres Brainsky, M.D., Vice President of Clinical Development at Aileron, commented, "While the ALRN-6924 0.3 mg/kg dose demonstrated protection against topotecan-induced hematologic toxicities in patients enrolled in our SCLC trial, based on the data we now have in hand, we believe a higher dose level should provide more durable cell cycle arrest and, therefore, more durable chemoprotection against certain chemotherapies, including TAC. Moreover, the ALRN-6924 1.2 mg/kg dose was well tolerated and demonstrated a robust chemoprotective effect on hematologic toxicities when co-administered with topotecan to SCLC patients daily for 5 consecutive daysii, giving us confidence in the tolerability of this dose level for the breast cancer trial."
Change from an exploratory primary composite endpoint across cycles to an established primary endpoint in cycle 1. In a recent interim analysis of Aileron’s NSCLC trial, ALRN-6924-treated patients completed more cycles of chemotherapy than placebo-treated patients. 45% (5/11) of patients on ALRN-6924 completed 6 planned cycles of chemotherapy versus only 11% (1/9) of patients on placebo. With each cycle of chemotherapy, patients are at risk of experiencing toxicities. The higher number of cycles in the ALRN-6924 arm introduced an imbalance between the ALRN-6924 and placebo arms that resulted in a bias against ALRN-6924 on the composite primary endpoint in the NSCLC trial, which evaluated toxicities in up to 6 cycles. Limiting the primary endpoint to an evaluation of severe neutropenia exclusively in cycle 1 eliminates a confounding factor that may result from assessing toxicities across multiple treatment cycles.

Utilize a chemotherapy regimen that enables the evaluation of protection against severe hematologic toxicities in cycle 1. Previous data has shown that, despite prophylactic administration of G-CSF products (filgrastim or pegfilgrastim), up to 75% of breast cancer patients receiving TAC still experience severe neutropenia (Grade 4) in cycle 1.iii Patients in the ALRN-6924 breast cancer trial will not be administered prophylactic G-CSF products in cycle 1, which we expect would increase the likelihood that these patients would experience severe neutropenia in cycle 1 if they were not receiving ALRN-6924.

In addition to a high rate of severe neutropenia, TAC chemotherapy, specifically docetaxel, is also associated with a high rate of alopecia – approximately 90% of patients treated with this chemotherapy experience hair loss. (The exact rate of chemotherapy-induced alopecia specific to cycle 1 is unknown.) Thus, the breast cancer trial will also enable the evaluation, across treatment cycles, of ALRN-6924’s ability to prevent chemotherapy-induced alopecia.
Align the trial design with clinical and regulatory precedents. The use of TAC and a primary endpoint of duration of severe neutropenia in cycle 1 have been used in pivotal trials supporting the approval of multiple supportive care drugs indicated to prevent neutropenia; all of these trials were conducted in breast cancer. Each of these drugs was approved for all cancers outside of myeloid malignancies on the basis of these pivotal trials in breast cancer.iv

Expand eligibility to patients with p53-mutated breast cancer receiving adjuvant or neoadjuvant chemotherapy. The expanded eligibility criteria is intended to enable a larger number of patients with p53-mutated breast cancer to be considered for inclusion in the trial. Several of the clinical and regulatory precedents also included both neoadjuvant and adjuvant treatment settings.v

Expand number of sites. Aileron plans to expand the number of sites in the trial, including opening sites in additional countries. Targeted sites will include those that have enrolled breast cancer patients in previously conducted studies evaluating TAC.

Quanterix’ Second Quarter 2022 Earnings Conference Call

On August 1, 2022 Quanterix Corporation (NASDAQ: QTRX), a company expanding the limits of exploration with ultrasensitive biomarker detection, reported it will host a conference call on Monday, August 8, 2022, to discuss its second quarter 2022 financial results (Press release, Quanterix, AUG 1, 2022, View Source [SID1234617220]). The call will begin at 4:30 PM Eastern Time. It will be hosted by Masoud Toloue, the Company’s President and Chief Executive Officer, and Michael Doyle, the Company’s Chief Financial Officer.

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Quanterix will issue a press release regarding the second quarter 2022 earnings prior to the conference call. The press release will be posted on the Company’s website at www.quanterix.com.

Please click here to pre-register for the conference call and obtain your dial in number and passcode. You can also visit this link to listen to the call via live webcast. You may also access the live webcast by visiting the News & Events page within the Investors section of the Quanterix website at www.quanterix.com. The webcast will be available on the Company’s website for one year following completion of the call.

Aclaris Therapeutics Expands Leadership Team

On August 1, 2022 Aclaris Therapeutics, Inc. (NASDAQ: ACRS), a clinical-stage biopharmaceutical company focused on developing novel drug candidates for immuno-inflammatory diseases, reported the appointment of Douglas Manion, M.D., FRCP (C), as President and Chief Operating Officer (Press release, Aclaris Therapeutics, AUG 1, 2022, View Source [SID1234617172]). Dr. Manion will be responsible for overseeing day-to-day operations, continuing to develop Aclaris’ infrastructure and helping Aclaris develop its vision and overall strategic direction alongside Neal Walker, Aclaris’ CEO, and Aclaris’ board of directors.

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"We are excited to strengthen our leadership team by welcoming Dr. Manion to Aclaris," said Dr. Neal Walker, CEO of Aclaris. "Doug’s significant experience across the business, strong background in drug development, and track record of leading organizations, building teams and creating value for both large and small organizations will be extremely valuable as we continue to advance our drug development pipeline."

Dr. Manion brings over 25 years of pharmaceutical industry experience in both large and small companies. Most recently, he served as Executive Vice President of Research and Development at Arena Pharmaceuticals, Inc., where he oversaw all research and development activities until its acquisition by Pfizer Inc. Prior to that, Dr. Manion was the Chief Executive Officer of Kleo Pharmaceuticals, Inc., an immuno-oncology company, until its acquisition by Biohaven Pharmaceutical Holding Company Ltd. Dr. Manion’s previous biopharmaceutical experience included leadership roles at Bristol-Myers Squibb, GlaxoSmithKline, DuPont Pharmaceuticals and DuPont Merck Pharmaceuticals.

"Aclaris is at an exciting stage in its life, and I am thrilled to join the organization," said Dr. Manion. "I look forward to leveraging my strengths in helping Aclaris grow and execute on its strategy."

Dr. Manion’s appointment is effective August 1, 2022. In connection with his appointment, Dr. Walker will no longer serve as the President, but will continue to serve as Aclaris’ Chief Executive Officer.

Emergent BioSolutions Reports Financial Results for Second Quarter 2022

On August 1, 2022 Emergent BioSolutions Inc. (NYSE: EBS) reported financial results for the second quarter ended June 30, 2022 (Press release, Emergent BioSolutions, AUG 1, 2022, View Source [SID1234617189]).

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"Central to Emergent’s mission – to protect and enhance life – is our ability to provide quality products and services for the benefit of our patients and customers," said Robert G. Kramer, president and CEO of Emergent BioSolutions. "We continue to focus on combating critical public health threats with our core medical countermeasure and commercial businesses, executing on our growth strategy with M&A opportunities, and further strengthening our public-private partnerships, development pipeline, and manufacturing network to reinforce the durability of our diversified business."

Executed an agreement to acquire from Chimerix its worldwide rights to TEMBEXA(R) (brincidofovir), the first FDA-approved smallpox oral antiviral for all ages; continue to anticipate transaction closing in Q3 2022.
Announced that the U.S. Food and Drug Administration (FDA) has accepted for review the Biologics License Application (BLA) for AV7909 (Anthrax Vaccine Adsorbed, Adjuvanted), the company’s new anthrax vaccine candidate; the goal date for a decision by the FDA is in April 2023.
Announced a collaboration with Ridgeback Biotherapeutics ("Ridgeback Bio") to expand the availability of Ebanga (Ansuvimab-zykl), a monoclonal antibody therapeutic approved by the FDA in December 2020 for the treatment of Ebola.
Initiated a phase 3 safety and immunogenicity study to evaluate CHIKV VLP, the Company’s single-dose chikungunya vaccine candidate, in adults 65 and older, in addition to the current phase 3 study in individuals aged 12 to 64, for which enrollment into the study is ongoing.
Continued to repurchase the Company’s common stock under an existing authorization by the Board of Directors to management to repurchase up to $250.0 million through November 11, 2022; during the quarter ended June 30, 2022, the Company purchased an additional 0.7 million shares for $23.3 million, resulting in an aggregate of approximately 4.4 million shares for $187.9 million since initiating repurchases in Q4 2021.
Expanded the Company’s leadership with the appointment of Sujata Dayal to the board of directors; Ms. Dayal was appointed a member of both the Nominating and Governance Committee as well as the Special Committee on Manufacturing and Quality Oversight.
Product Sales, net
Anthrax vaccines
For Q2 2022, revenues from Anthrax vaccines increased $44.1 million as compared to Q2 2021. The increase is largely driven by timing of deliveries to the U.S. government (USG), specifically the Strategic National Stockpile (SNS). The Company received an AV7909 contract modification in September 2021 valued at approximately $399.0 million to deliver additional AV7909 doses through March 2023.

Nasal naloxone products
For Q2 2022, revenues from nasal naloxone products decreased $4.6 million as compared to Q2 2021. The decrease was driven by a reduction in commercial retail sales following the launch of a generic in December 2021. This decrease was offset by strong growth in unit sales of branded NARCAN (naloxone HCl) Nasal Spray to public interest customers in the U.S. and customers in Canada, as well as from sales of the authorized generic product licensed to Sandoz, which launched in December 2021.

Other (4)
For Q2 2022, revenues from other product sales increased $16.5 million as compared to Q2 2021. The increase was primarily due to sales of two of the Company’s Government/Medical Countermeasure (MCM) products: i) VIGIV [Vaccinia Immune Globulin Intravenous (Human)], driven by timing of deliveries to the SNS; and ii) BAT [Botulism Antitoxin Heptavalent (A, B, C, D, E, F, G) – (Equine)] , driven by timing of deliveries to international customers.

Contract Development and Manufacturing
CDMO Services
For Q2 2022, revenues from contract development and manufacturing services decreased $100.9 million as compared to Q2 2021. This decrease is largely due to lower combined revenues of $82.0 million from AstraZeneca and Janssen reflecting the impact of reduced production activities at the Bayview facility as a result of a cessation of manufacturing activities under the AstraZeneca contract which occurred in 2021, and a pause and eventual cessation of manufacturing activities under the Janssen contract which began in Q1 2022. Additionally for Q2 2022, the Company reversed $8.3 million of previously recognized revenue under the Janssen contract to align cumulative revenue recognized with cumulative cash collections. The decrease also reflects reduced production at the Camden facility in the quarter driven by additional investments in strengthening quality and compliance that restricted the Company’s ability to optimally utilize the existing capacity at the site. These declines in revenues were offset by an increase in contracted manufacturing activities at the Winnipeg facility.

CDMO Leases
For Q2 2022, revenues from contract development and manufacturing leases decreased $91.8 million as compared to Q2 2021. The decrease was primarily due to the completion of the Company’s public-private partnership with BARDA in November 2021, which contributed $70.4 million in Q2 2021 and a $21.9 million decrease in lease revenues related to the Janssen contract. Included in the $21.9 million decrease, the Company reversed $5.0 million of previously recognized revenue under the Janssen contract to align cumulative revenue recognized with cumulative cash collections.

Contracts and Grants
For Q2 2022, revenues from contracts and grants decreased $18.1 million as compared to Q2 2021. The decrease is primarily due to lower revenue from BARDA as a result of the completion of the Center for Innovation and Advanced Development and Manufacturing (CIADM) agreement, which occurred in November 2021, as well as decreases in development activities associated with various other externally funded R&D projects, most notably the AV7909 program, which has now completed its clinical phase and for which a BLA is currently under review by the FDA with an anticipated goal date for completion in April 2023.

Cost of Product Sales
For Q2 2022, cost of product sales increased $9.8 million as compared to Q2 2021. The increase is primarily due to the higher volume of product sales.

Cost of CDMO
For Q2 2022, cost of CDMO decreased $67.8 million as compared to Q2 2021. The decrease is primarily due to reduced production activities across our CDMO network in Q2 2022 compared to Q2 2021 resulting in decreased raw materials consumption, as well as a $41.5 million inventory write-off in Q2 2021. These decreases were partially offset by increased costs at the Company’s Winnipeg facility due to an increase in manufacturing activities and Camden facility due to additional investments in quality enhancement and improvement initiatives.

Research and Development
For Q2 2022, research and development expenses were consistent with Q2 2021 reflecting the Company’s continued commitment to investment in important pipeline programs addressing additional public health preparedness and response areas of focus.

Selling, General and Administrative
For Q2 2022, selling, general and administrative expenses decreased $10.1 million due to reduced professional services and marketing costs partially offset by higher compensation costs.

Additional Financial Information

Segment Information
During Q1 2022, the Company began assessing its operating performance by focusing on two reportable segments: 1) a products segment (Products) consisting of the MCM and Commercial products business lines; and 2) a services segment (Services) consisting of the CDMO services business line. The Company evaluates the performance of these reportable segments based on revenue and adjusted gross margin. Segment revenue includes external customer sales but does not include inter-segment services. The Company does not allocate contracts and grants, R&D, SG&A, amortization of intangible assets, interest and other income (expense) or taxes to its evaluation of the performance of these segments.

Gross margin is calculated as Revenues less cost of sales. Gross margin % is calculated as gross margin divided by Revenues.
*** Adjusted gross margin is calculated as Revenues less Adjusted cost of sales. Adjusted gross margin % is calculated as Adjusted gross margin divided by Revenues.
NM – Not Meaningful

For the three and six months ended June 30, 2022, Product gross margin increased $46.2 million and $117.7 million, respectively, as compared to the three and six months ended June 30, 2021. Product adjusted gross margin for the three and six months ended June 30, 2022 increased $45.5 million and $117.8 million, respectively, as compared to the three and six months ended June 30, 2021. The increases in Product gross margin and Product adjusted gross margin are primarily due to increased volumes and changes in product mix.

For the three months ended June 30, 2022, Services gross margin and Services adjusted gross margin decreased $124.9 million as compared to the three months ended June 30, 2021. For the six months ended June 30, 2022, Services gross margin and Services adjusted gross margin decreased $276.8 million as compared to the six months ended June 30, 2021. The decreases in 2022 are primarily due to the decline in revenue at the Bayview facility as a result of the completion of the Company’s arrangement with BARDA, the pause in manufacturing activities for improvement and modifications, and an increase in professional services costs.

As of June 30, 2022, the number of CDMO customers declined by one versus the prior reported period of March 31, 2022. The mix of customers for the Company’s CDMO services remains largely a combination of small and medium sized biopharmaceutical companies.

During the three months ended June 30, 2022, the Company secured new CDMO services business of $16.0 million. This new business was on behalf of existing customers for non-COVID related work on both new and existing projects and molecules.

For the three months ended June 30, 2022, capital expenditures decreased largely due to less spending associated with the expansion project at the Company’s Rockville facility, which has progressed to a less capital intensive phase. The Company anticipates completing this expansion project by year end 2022.

2022 FINANCIAL FORECAST(1)

The Company has resumed providing financial guidance for 2022 and announces the following update to its full year 2022 forecast.

Assumptions

The Company’s 2022 financial forecast takes into consideration the following assumptions.

2022 Product and Contract and Grant Revenues

Anthrax vaccines revenues are expected to continue at similar levels to 2021 under the terms of the Company’s existing contract with BARDA.
ACAM2000, (Smallpox (Vaccinia) Vaccine, Live) vaccine deliveries are expected to continue under the terms of the Company’s existing contract with the U.S. Department of Health and Human Services (HHS) at unit volume levels consistent with 2021 deliveries.
Nasal naloxone products revenues reflect the formation of a generic market and comprise revenues from a combination of NARCAN Nasal Spray and the authorized generic of NARCAN Nasal Spray, a product licensed to Sandoz and launched in late 2021 and one in which the Company retains a financial interest.
Other Products + Contracts and Grants revenues: 1) other products revenues reflect continued procurement of other products not highlighted on a standalone basis from various government customers under existing multi-year contracts; 2) contracts and grants revenues reflect continued funding of select development programs from various government and other non-dilutive sources.
CDMO

CDMO revenues are expected to re-baseline throughout the year as the Company transitions the business to a focus on non-COVID projects and on expanding its drug product capabilities as it progresses toward a higher level of capacity utilization principally at the Camden, Rockville and Winnipeg sites. CDMO revenues exclude further contribution from Janssen.
Other

Pipeline progress is expected across the R&D portfolio with the advancement of the CHIKV VLP Phase 3 clinical trials, the FDA acceptance of the Company’s BLA filing for AV7909, and anticipated advancements of a number of early-stage programs.
Capital expenditures, net of reimbursement, are expected to be approximately 10% of total revenues at the midpoint, reflecting ongoing investments in capacity and capability expansions related to the CDMO business and the Company’s R&D programs, and aligned with the average over the previous five-year period.
The updated forecasted ranges do not take into account the impact of the addition of TEMBEXA, the acquisition of which is expected to close in the third quarter of 2022.

Q3 2022 Total Revenues

The Company is also providing a forecast for Q3 2022 total revenues of $230 – $270 million.

FOOTNOTES

(1) All financial information incorporated within this release is unaudited.
(2) See "Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss)," "Reconciliation of Net Income (Loss) to Adjusted EBITDA," and "Adjusted Revenues" for a definition of terms and the reconciliation tables.
(3) Product sales, net are reported net of variable consideration including returns, rebates, wholesaler fees and prompt pay discounts in accordance with U.S. generally accepted accounting principles.
(4) Other can include a combination of sales of any of the following products: BAT, VIGIV, Anthrasil, raxibacumab, RSDL, Trobigard, Vivotif, and Vaxchora.
(5) CDMO Customer is defined as a client (commercial, government, NGO) for whom the Company has performed CDMO services where there is evidence of meeting all of the following criteria: i) completion of any billable project milestones in the preceding 24-month period, indicating ongoing work; ii) secured project work planned in the future, which has not yet been invoiced, capturing future work not yet indicated in the invoice record; and, iii) neither the Company nor the client having yet to formally terminate the last remaining project, thereby removing any client for whom work has fully concluded.
(6) CDMO New Business Secured is defined as initial value of contracts secured as well as incremental value of existing contracts modified within the indicated period.

CONFERENCE CALL, PRESENTATION SUPPLEMENT AND WEBCAST INFORMATION

Company management will host a conference call at 5:00 pm (Eastern Time) today, August 1, 2022, to discuss these financial results. The conference call and presentation supplement can be accessed from the Company’s website or through the following:

A replay of the call can be accessed from the Investors page of the Company’s website.

Selecta Biosciences to Participate in Upcoming Investor Conferences

On August 1, 2022 Selecta Biosciences, Inc. (NASDAQ: SELB), a biotechnology company leveraging its clinically validated ImmTOR platform to develop tolerogenic therapies for autoimmune diseases, enhance gene therapies and mitigate unwanted immune responses to biologics, reported that Company’s Management will participate in upcoming investor conferences in August (Press release, Selecta Biosciences, AUG 1, 2022, View Source [SID1234617205]).

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Details on the conferences can be found below.

BTIG Biotechnology Conference 2022
Format: One-on-one investor meetings, attending virtually
Date: Monday, August 8 to Tuesday, August 9, 2022
Location: New York, NY

BTIG hosted events are intended for prospective and existing BTIG clients only. To schedule a meeting with the Company, please contact your BTIG representative.

Canaccord Genuity 42nd Annual Growth Conference
Format: Fireside chat and one-on-one investor meetings, attending in-person
Date: Wednesday, August 10, 2022
Time: 2:30 p.m. ET
Location: Boston, MA
Webcast: Click Here

An archived webcast of the Canaccord presentation will be accessible in the Investors & Media section of the company’s website at www.selectabio.com.