T-Cure Bioscience Announces Expansion of Collaboration With the National Institutes of Health for T Cell Receptor (TCR) Therapy Targeting HERV-E for the Treatment of Kidney Cancer

On August 4, 2020 T-Cure Bioscience, Inc., a privately held company focused on developing autologous T cell receptor (TCR) therapy products for the treatment of solid tumors, reported that the Company has extended its ongoing research collaboration with the National Heart Lung and Blood Institute (NHLBI), through a formal Collaborative Research and Development Agreement (CRADA) to advance the Company’s HERV-E targeting TCR therapy for renal cell cancer (Press release, T-Cure Bioscience, AUG 4, 2020, View Source [SID1234562835]). Additionally, T-Cure has amended an existing license to expand to worldwide rights for the intellectual property it licensed from NHBI related to the anti-HERV-E TCR product. This TCR therapy is currently in a Phase 1 trial at NHLBI for the treatment of metastatic clear cell Renal Cell Carcinoma (ccRCC) that failed an angiogenic inhibitor and a checkpoint inhibitor. T-Cure has been actively collaborating for the past 18 months with NHLBI on the research and development of the HERV-E-specific TCR.

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Under the CRADA, T-Cure and NHLBI will collaborate to develop a companion test to identify HERV-E transcripts in patients’ tumors as well as to identify additional therapy candidates targeting HERV-E using the Company’s proprietary TCR discovery platform, iSORTTM. Additionally, NHLBI and T-Cure plan to conduct preclinical experiments characterizing novel TCR and will evaluate various drug and TCR combination anti-tumor therapeutic strategies.

"We are extremely excited to work with the NIH to advance this novel HERV-E TCR therapy candidate through preclinical and clinical development," stated Gang Zeng, Ph.D., Chief Executive Officer of T-Cure. "Of note, the TCR was isolated from a dominant killer T cell clone of a late stage metastatic ccRCC patient who responded to an immunotherapy and survived 4 years. The HERV-E-specific TCR represents a rare opportunity for us to specifically target ccRCC, a potential T cell responsive solid tumor."

The HERV-E target is one of the quiescent Human Endogenous Retrovirus (HERV) sequences that are activated during tumor development. A growing number of HERV genes and proteins are expressed in different cancers raising the possibility that HERV derived antigens might represent excellent targets for tumor immunotherapy. Its expression in renal cell carcinoma (RCC) is highly selective, with no transcripts detected in any normal tissues. In contrast to well-studied antigens such as NY-ESO-1 and MAGE, HERV-E represents a new frontier of TCR targets with significant clinical potential for immunotherapy.

Anavex Life Sciences to Announce Fiscal 2020 Third Quarter Financial Results on Thursday, August 6th, 2020

On August 4, 2020 Anavex Life Sciences Corp. ("Anavex" or the "Company") (Nasdaq: AVXL), a clinical-stage biopharmaceutical company developing differentiated therapeutics for the treatment of neurodegenerative and neurodevelopmental disorders including Alzheimer’s disease, Parkinson’s disease, Rett syndrome and other central nervous system (CNS) diseases, reported that it will issue financial results for its fiscal quarter ended June 30, 2020 on Thursday, August 6th, 2020 (Press release, Anavex Life Sciences, AUG 4, 2020, View Source [SID1234562759]).

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Management will host a conference call on Thursday, August 6th, 2020 at 11:00 am Eastern Time to review financial results and provide an update on its clinical programs and corporate highlights. Following management’s formal remarks, there will be a question and answer session with equity analysts.

Conference Call / Webcast Information:

The live webcast of the conference call can be accessed online at View Source

To join the conference call, live via telephone, interested parties within the U.S. should dial, toll-free, 1 (866) 901-2585 and international callers should dial 1 (404) 835-7099. Please use confirmation number 49865428, followed by the pound sign (#).

A replay of the conference call will also be available on www.anavex.com.

Rigel Reports Second Quarter 2020 Financial Results, Provides Business Update, and
Overviews COVID-19 Program

On August 4, 2020 Rigel Pharmaceuticals, Inc. (Nasdaq: RIGL) reported financial results for the second quarter ended June 30, 2020, including sales of TAVALISSE (fostamatinib disodium hexahydrate) tablets, for the treatment of adults with chronic immune thrombocytopenia (ITP) who have had an insufficient response to a previous treatment (Press release, Rigel, AUG 4, 2020, View Source [SID1234562784]).

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"During the second quarter we achieved significant progress across all aspects of our business, despite the challenges resulting from the COVID-19 pandemic," said Raul Rodriguez, Rigel’s president and CEO. "Sales of TAVALISSE increased during the quarter and in July, the product became available in initial European markets. We continued to advance our pipeline, most recently with the launch of an investigator-sponsored trial in COVID-19 pneumonia. We believe there is clear scientific rationale to explore the potential of SYK-inhibition to treat these patients and possibly prevent severe respiratory conditions resulting from COVID-19. We will continue to pursue opportunities to expand these efforts."

COVID-19 Program Highlights

Rigel announced a Phase 2 investigator-sponsored trial (IST) with Imperial College London to evaluate the efficacy of fostamatinib for the treatment of COVID-19 pneumonia. The IST is a two-stage, open label, controlled clinical trial with patients randomized (1:1:1) to fostamatinib, ruxolitinib, or standard of care. Treatment will be administered twice daily for 14 days and patients will receive a follow-up assessment at day 14 and day 28 after the first dose. The primary objective will be to determine the efficacy of fostamatinib and the efficacy of ruxolitinib compared to standard of care to reduce the proportion of hospitalized patients progressing from mild or moderate to severe COVID-19 pneumonia. Rigel will provide support for this trial along with Novartis.

Recent in vitro studies led by the Amsterdam University Medical Center at the University of Amsterdam, showed that R406, the active metabolite of fostamatinib, blocked macrophage hyperinflammatory responses to a combination of immune complexes formed by anti-Spike IgG in serum from severe COVID-19 patients. Anti-Spike IgG levels are known to correlate with the severity of COVID-19. These results suggest that by inhibiting anti-Spike IgG-mediated hyperinflammation, R406 could potentially play a role in the prevention of cytokine storms as well as pulmonary edema and thrombosis associated with severe COVID-19.1 In addition, researchers at The Broad Institute of the Massachusetts Institute of Technology (MIT) and Harvard led a recent screen to identify FDA-approved compounds that reduce mucin-1 (MUC1) protein abundance. MUC1 is a biomarker used to predict the development of ALI and ARDS and correlates with poor clinical outcomes. Of the 3,713 compounds that were screened, fostamatinib was the only compound identified which both decreased expression of MUC1 and is FDA approved. Fostamatinib demonstrated preferential depletion of MUC1 from epithelial cells without affecting cell viability. The research was focused on drug repurposing for the much lower risk of toxicity and the ability of FDA-approved treatments to be delivered on a shortened timescale, which is critical for patients afflicted with lung disease resulting from COVID-19.2

Business Update

Post-hoc data analysis from Rigel’s previous Phase 3 clinical program of TAVALISSE in adult patients with chronic ITP, which highlights the potential benefit of use in earlier lines of therapy, was published in the British Journal of Haematology. Inclusion in one of the leading peer-reviewed journals in the field of hematology underscores the significance of the 78% (25/32) response rate, defined as at least 1 platelet count of at least 50,000/µL, when TAVALISSE was used as a second-line therapy in Rigel’s Phase 3 clinical program. Adverse events were manageable and consistent with those previously reported with fostamatinib. Rigel’s field teams are sharing this analysis with physicians.

Grifols S.A., Rigel’s collaborator in Europe, launched fostamatinib disodium hexahydrate in Germany and the United Kingdom in July, under the European brand name TAVLESSE. TAVLESSE is indicated in Europe for the treatment of chronic ITP in adult patients who are refractory to other treatments.

Clinical trial sites in Rigel’s FORWARD study, a Phase 3 pivotal trial of TAVALISSE in warm autoimmune hemolytic anemia (wAIHA), are now mostly open and enrolling patients after a temporary postponement due to the COVID-19 pandemic. Currently, the FORWARD study has enrolled 44 of the 90 patients targeted for enrollment and has over 90 active clinical trial sites established across 22 countries with incremental sites being added.

At the European League Against Rheumatism (EULAR) 2020 E-Congress in June, Rigel presented two oral and two poster presentations highlighting its investigational compound R835, a potent and selective inhibitor of both interleukin receptor associated kinase (IRAK)1 and IRAK4. In multiple pre-clinical rodent models of acute and chronic inflammation, R835 administration resulted in reduced inflammation, and in Phase 1 human studies it showed encouraging pharmacokinetic properties.

Rigel has appointed Dave Santos as executive vice president and chief commercial officer. Mr. Santos joins Rigel with over 30 years of commercial experience in the biopharmaceutical industry with companies such as Bristol-Myers Squibb, Lilly, Genentech, and most recently Jazz Pharmaceuticals, where he led the Hematology/Oncology Business Unit. He has a robust track record in sales and marketing leadership roles, building commercial capabilities, and growing brands in the hematology-oncology area, where he has spent most of his career.

Financial Update

For the second quarter of 2020, Rigel reported a net loss of $17.6 million, or $0.10 per share, compared to a net loss of $20.6 million, $0.12 per share, in the same period of 2019.

In the second quarter of 2020, total revenues were $16.0 million, consisting of $15.0 million in net product sales and $1.0 million in contract revenues from collaborations. Net product sales increased by 47% from $10.2 million in the second quarter of 2019.

Rigel reported total costs and expenses of $33.4 million in the second quarter of 2020, compared to $31.7 million for the same period in 2019. The increase in total costs and expenses was primarily due to the increase in third-party costs related to Rigel’s ongoing pivotal Phase 3 study in warm AIHA, research and development costs related to other clinical programs and personnel-related costs, partially offset by stock-based compensation expense.

For the six months ended June 30, 2020, Rigel reported net income of $3.7 million, or $0.02 per share, compared to a net loss of $38.2 million, or $0.23 per share, in the same period of 2019.

Rigel reported total revenues of $71.8 million for the six months ended June 30, 2020, compared to $23.0 million for the same period in 2019. Total revenues for the six months ended June 30, 2020 consisted of $27.7 million in net product sales and $44.1 million in revenues related to Rigel’s collaboration agreement with Grifols. Total revenues for the six months June 30, 2019 consisted of $18.2 million in net product sales and $4.8 million in revenues related to Rigel’s collaboration agreements with Grifols and Kissei.

Total costs and expenses for the six months ended June 30, 2020 were $68.1 million, compared to $62.7 million, for the same period of 2019. The increase in total costs and expenses was primarily related to the research and development cost for its ongoing pivotal Phase 3 study in warm AIHA and research and development costs related to other clinical programs, partially offset by stock-based compensation expense.

As of June 30, 2020, Rigel had cash, cash equivalents and short-term investments of $92.5 million, compared to $98.1 million as of December 31, 2019.

Conference Call and Webcast with Slides Today at 4:30pm Eastern Time

Rigel will hold a live conference call and webcast today at 4:30pm Eastern Time (1:30pm Pacific Time).

Participants can access the live conference call by dialing (877) 407-3088 (domestic) or (201) 389-0927 (international). The conference call and accompanying slides will also be webcast live and can be accessed from the Investor Relations section of the company’s website at www.rigel.com. The webcast will be archived and available for replay after the call via the Rigel website.

About ITP

In patients with ITP (immune thrombocytopenia), the immune system attacks and destroys the body’s own blood platelets, which play an active role in blood clotting and healing. Common symptoms of ITP include fatigue, excessive bruising and bleeding. People suffering with chronic ITP may live with an increased risk of severe bleeding events that can result in serious medical complications or even death. In addition to fostamatinib, current therapies for ITP include steroids, blood platelet production boosters (TPO-RAs) and splenectomy. However, not all patients respond to existing therapies. As a result, there remains a significant medical need for additional treatment options for patients with ITP.

About AIHA

Autoimmune hemolytic anemia (AIHA) is a rare, serious blood disorder in which the immune system produces antibodies that result in the destruction of the body’s own red blood cells. AIHA affects approximately 45,000 adult patients in the U.S. and can be a severe, debilitating disease. Warm AIHA (wAIHA), the most common form of AIHA, is characterized by the presence of antibodies that react with the red blood cell surface at body temperature. To date, there are no disease-targeted therapies approved for AIHA, despite the unmet medical need that exists for these patients.

About Coronavirus Disease 2019 (COVID-19) & SYK-Signaling

COVID-19 is caused by Severe Acute Respiratory Syndrome Coronavirus-2 (SARS-CoV-2). SARS-CoV-2 primarily infects the upper and lower respiratory tract and can lead to acute respiratory distress syndrome (ARDS). Additionally, some patients develop other organ dysfunction including myocardial injury, acute kidney injury, shock along with endothelial dysfunction and subsequently micro and macrovascular thrombosis.3 Much of the underlying pathology of SARS-CoV-2 is thought to be secondary to a dysregulated immune response and more recently a hypercoagulable state leading to immunothrombosis.4

Spleen tyrosine kinase (SYK) is involved in the intracellular signaling pathways of many different immune cells. SYK inhibition may improve outcomes in patients with COVID-19 by biological mechanisms which include the inhibition of pro-inflammatory cytokines by monocytes and macrophages, decreased production of neutrophil extracellular traps (NETs) by neutrophils, and inhibition of platelet aggregation; three pathways that are mediated through Fc receptors (FcR) recognition of antigen-antibody complexes or activation of c-type lectin receptors (CLEC).1 In monocytes and macrophages, SYK mediates the pro-inflammatory process through the production of pro-inflammatory cytokines. The production of pro-inflammatory cytokines has been reversed with the inhibition of SYK in MERS-CoV infected macrophages.5

About TAVALISSE

Indication

TAVALISSE (fostamatinib disodium hexahydrate) tablets is indicated for the treatment of thrombocytopenia in adult patients with chronic immune thrombocytopenia (ITP) who have had an insufficient response to a previous treatment.

Important Safety Information

Warnings and Precautions

·Hypertension can occur with TAVALISSE treatment. Patients with pre-existing hypertension may be more susceptible to the hypertensive effects. Monitor blood pressure every 2 weeks until stable, then monthly, and adjust or initiate antihypertensive therapy for blood pressure control maintenance during therapy. If increased blood pressure persists, TAVALISSE interruption, reduction, or discontinuation may be required.
·Elevated liver function tests (LFTs), mainly ALT and AST, can occur with TAVALISSE. Monitor LFTs monthly during treatment. If ALT or AST increase to >3 x upper limit of normal, manage hepatotoxicity using TAVALISSE interruption, reduction, or discontinuation.
·Diarrhea occurred in 31% of patients and severe diarrhea occurred in 1% of patients treated with TAVALISSE. Monitor patients for the development of diarrhea and manage using supportive care measures early after the onset of symptoms. If diarrhea becomes severe (≥Grade 3), interrupt, reduce dose or discontinue TAVALISSE.

·Neutropenia occurred in 6% of patients treated with TAVALISSE; febrile neutropenia occurred in 1% of patients. Monitor the ANC monthly and for infection during treatment. Manage toxicity with TAVALISSE interruption, reduction, or discontinuation.
·TAVALISSE can cause fetal harm when administered to pregnant women. Advise pregnant women the potential risk to a fetus. Advise females of reproductive potential to use effective contraception during treatment and for at least 1 month after the last dose. Verify pregnancy status prior to initiating TAVALISSE. It is unknown if TAVALISSE or its metabolite is present in human milk. Because of the potential for serious adverse reactions in a breastfed child, advise a lactating woman not to breastfeed during TAVALISSE treatment and for at least 1 month after the last dose.

Drug Interactions

·Concomitant use of TAVALISSE with strong CYP3A4 inhibitors increases exposure to the major active metabolite of TAVALISSE (R406), which may increase the risk of adverse reactions. Monitor for toxicities that may require a reduction in TAVALISSE dose.
·It is not recommended to use TAVALISSE with strong CYP3A4 inducers, as concomitant use reduces exposure to R406.
·Concomitant use of TAVALISSE may increase concentrations of some CYP3A4 substrate drugs and may require a dose reduction of the CYP3A4 substrate drug.
·Concomitant use of TAVALISSE may increase concentrations of BCRP substrate drugs (eg, rosuvastatin) and P-Glycoprotein (P-gp) substrate drugs (eg, digoxin), which may require a dose reduction of the BCRP and P-gp substrate drug.

Adverse Reactions

·Serious adverse drug reactions in the ITP double-blind studies were febrile neutropenia, diarrhea, pneumonia, and hypertensive crisis, which occurred in 1% of TAVALISSE patients. In addition, severe adverse reactions occurred including dyspnea and hypertension (both 2%), neutropenia, arthralgia, chest pain, diarrhea, dizziness, nephrolithiasis, pain in extremity, toothache, syncope, and hypoxia (all 1%).
·Common adverse reactions (≥5% and more common than placebo) from FIT-1 and FIT-2 included: diarrhea, hypertension, nausea, dizziness, ALT and AST increased, respiratory infection, rash, abdominal pain, fatigue, chest pain, and neutropenia.

IDEAYA Announces HSR Clearance of GSK Strategic Partnership in Synthetic Lethality and Closing of Glaxo Group Equity Investment

On August 4, 2020 IDEAYA Biosciences, Inc. (Nasdaq:IDYA), an oncology-focused precision medicine company committed to the discovery and development of targeted therapeutics, reported the effectiveness of the Collaboration, Option and License Agreement between IDEAYA and GlaxoSmithKline Intellectual Property (No. 4) Limited (GSK) following clearance under the Hart-Scott-Rodino Antitrust Improvements Act (HSR) (Press release, Ideaya Biosciences, AUG 4, 2020, View Source [SID1234562814]). Pursuant to the Collaboration, Option and License Agreement, IDEAYA received an upfront cash payment of $100 million from GSK. The strategic partnership in Synthetic Lethality includes IDEAYA’s MAT2A, Pol Theta, and Werner Helicase programs.

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IDEAYA also announced closing of a direct private placement equity financing pursuant to a Stock Purchase Agreement between IDEAYA and Glaxo Group Limited (Glaxo Group). Glaxo Group purchased 1,333,333 shares of IDEAYA’s common stock at a price per share of $15.00. IDEAYA received proceeds from Glaxo Group of approximately $20 million.

IDEAYA expects current cash, cash equivalents and marketable securities to support planned operations into 2024.

"The GSK partnership and our enhanced balance sheet enables IDEAYA to fund its operations through multiple key preclinical and clinical milestones for our Synthetic Lethality pipeline and IDE196," said Paul A. Stone, Chief Financial Officer, IDEAYA Biosciences.

Antibe Therapeutics Provides Corporate Update

On August 4, 2020 Antibe Therapeutics Inc. reported (Press release, Antibe Therapeutics, AUG 4, 2020, View Source [SID1234562836]) .:

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To our shareholders,

As we transition into a Phase III company, we want to take the opportunity to highlight recent progress and to outline our strategy as we pursue monetization of our promising drug candidates and hydrogen sulfide platform.

RECENT DEVELOPMENTS

Analysis of Phase II Dose-Ranging, Efficacy Data Now Complete

Having completed the analysis of primary and secondary data from ATB-346’s recent placebo-controlled efficacy trial, we can confidently report strong results across all key measures.

The WOMAC pain scores constituting the study’s primary endpoint showed 44% improvement from baseline at day 14 for the 200 and 250 mg once-daily doses, and 39% for the 150 mg once-daily dose. NSAIDs typically reach their maximum effectiveness after 6-8 weeks of administration and remain at that level while treatment continues. ATB-346 produced significant decreases in pain within 2 weeks of treatment. All three doses of ATB-346 reflect well in light of results from a recent peer-reviewed meta-analysis of historical NSAID osteoarthritis pain trials from Harvard researchers1. (For further information, please see our website and updated Corporate Presentation).

Beyond the impressive pain relief, ATB-346 also delivered significant improvements in the two secondary endpoints that address therapeutic benefit for patients: the WOMAC scores for stiffness and for difficulty in performing daily activities. These results are important, ‘real-world’ measures for patients with osteoarthritis ("OA") and provide additional support for the drug’s best-in-class positioning.

Supplementing the WOMAC results are the secondary data of cyclo-oxygenase ("COX") enzyme inhibition. NSAIDs reduce pain and inflammation by inhibiting the activity of COX enzymes. ATB-346 exhibited profound inhibition of COX (all doses yielding >90% inhibition) with a very high degree of statistical significance, and with negligible difference observed across the three doses. This is exceptionally strong data that is consistent with self-assessment of pain by the patients.

Adverse events across the three doses of ATB-346 were similar to placebo, with very few serious adverse events or events leading to withdrawal of treatment. Adjudicating for patient-specific factors reflected a liver safety profile for ATB-346 that was comparable to commonly prescribed NSAIDs, and substantially improved over that of acetaminophen.

Trial participants treated with ATB-346 experienced neither an increase nor decrease in blood pressure in contrast with other NSAIDs, which often increase blood pressure. Blood pressure increases are viewed by medical practitioners globally as being an important proxy for the cardiovascular risk of NSAIDs. The absence of an increase in blood pressure has been a consistent finding in all of ATB-346’s clinical trials to-date and suggests a favourable cardiovascular safety profile for the drug.

Human Proof-of-Concept Now Firmly Established for ATB-346

The strong Phase II efficacy results from this trial are a worthy complement to Antibe’s Phase II gastrointestinal ("GI") safety trial, published last year in the British Journal of Pharmacology2. That study demonstrated unequivocal GI safety superiority of ATB-346 over naproxen, one of the most prescribed NSAIDs in the US. This combined evidence for GI safety and efficacy firmly validates ATB-346 as a potential best-in-class therapy, indicating that we are on the verge of solving one of the most pervasive medical problems of our time, namely the ulcers and bleeding caused by NSAIDs.

Third Party Commercial Studies Validate Blockbuster Potential of ATB-346

In addition to completing strong GI safety and efficacy studies over the past two years, we have conducted an extensive series of market and commercial studies in key pharmaceutical markets — a total of four studies were completed, framing an impressive commercial opportunity for ATB-346 and preparing us well for late-stage partner engagement and monetization.

This effort began with a thorough health economics study led by US-based Avalon Health, quantifying the major economic impact to society arising from the damage caused by today’s NSAIDs. A subsequent commercial positioning study executed by an ex-Amgen strategy consulting team validated ATB-346’s target product profile and best-in-class positioning.

The results of these two initial studies served as the foundation for two comprehensive commercial studies for the large markets (namely, the US, the five largest European countries, and Japan), led by Shift Health and LEK, two well-respected strategy consultancies. These studies involved extensive primary and secondary research, including 62 interviews with country-specific clinicians, payors and pharmacy benefit managers – whose preferences and policies together determine the adoption of new drugs. This was followed by an in-depth survey of 80 clinicians, including primary care physicians, rheumatologists and orthopedic surgeons that prescribe NSAIDs on a daily basis. Finally, the studies developed detailed revenue models, utilizing the uptake and pricing information obtained from the research and interview phases of the project.

For the OA market alone, Antibe’s initial focus, peak annual sales of $5.3 billion are projected for ATB-346 in these seven countries, and cumulative revenues in excess of $28 billion by the early 2030s. These projections conservatively assume peak adoption of 21% and only represent 65% of the global market. Pricing and reimbursement, which drive a drug’s adoption and ability to gain market share, were favourable, with limited system resistance and few reimbursement hurdles expected. The forecasts assumed a price of US$6 per day in the US, in line with today’s branded prescription NSAIDs, with corresponding pricing in the other markets. The revenue projections combined with a high anticipated gross margin imply an impressive net present value of ATB-346, which is how potential partners determine a drug’s expected value. (For further information, please see our website and updated Corporate Presentation).

STRATEGY AND NEXT STEPS

With human proof-of-concept development and key commercial studies complete, we now have a clear line-of-sight to the significant revenue and margin potential of ATB-346. Our strategic objective is now to monetize this asset through partnering activity, while at the same time expeditiously moving forward with Phase III development. This parallel strategy is important, as partnering outreach and execution is an extensive, involved process, and the continued advancement of the drug’s development program is expected to increase market value and negotiating leverage.

Executive Team Evolving to Support Late Stage Development and Partnering

We continue to deepen the capabilities of our senior team, including the recent hiring of Dr. Rami Batal to guide our commercial strategy, and Dr. Joseph Stauffer as the Company’s Chief Medical Officer. Dr. Stauffer’s experience as an FDA reviewer, along with more than fifteen years of guiding regulatory strategy for other pain therapeutics, has already been invaluable as we pursue our regulatory, development and commercial strategies in the US and other markets. We are also hiring a US-based senior business development officer to execute the large market partnering, who will be armed with fully validated human proof-of concept data and a robust package of third-party commercial assessments.

Strategic out-licensing and monetization discussions are underway and have benefited from the strength of the recent efficacy data, while partnering discussions in the major markets are expected to accelerate following specific regulatory engagement with both the Food and Drug Administration ("FDA") in the US and the European Medicines Agency ("EMA") in Europe. We are encouraged by the preliminary feedback and hope to report on the progress on this front over the coming months.

Phase III Preparation and Regulatory Strategy Well Underway

With the successful conclusion of ATB-346’s Phase II studies and acceleration of partnering activities, preparation for Phase III trials is well underway. The Phase III program will replicate the Phase IIB GI safety and dose-ranging, efficacy studies with larger sample sizes and longer treatment durations. The first registration trial of the Phase III program will use a multi-arm design to establish the lowest effective dose and is anticipated to begin next spring, with the follow-on trials starting in a staggered fashion every several months thereafter. The strategy is global in nature, with the first trials focusing on the US and the last trial expected to address the unique regulatory requirements for Europe and the key Asian markets. The go-to-market indication will be OA, although we intend to rapidly expand this to encompass ankylosing spondylitis, rheumatoid arthritis and other chronic pain conditions. It is worth noting that successful completion of Phase III development would enable the Company to file a New Drug Application ("NDA") with the FDA and other regulatory agencies for marketing approval. This approval would deliver the first truly novel NSAID in over 20 years, and a major breakthrough in the safe and non-addictive treatment of pain and inflammation.

As part of Phase III preparation, we completed our Pre-IND ("Investigational New Drug") meeting for ATB-346 with members of the US FDA Division of Anesthesiology, Addiction Medicine, and Pain Medicine. Based on the valuable guidance received, we are moving expeditiously to complete and submit an IND application to the FDA for ATB-346. Prior to the start of the first Phase III trial, we anticipate an End-of-Phase II Meeting with the FDA and the equivalent meeting with the EMA, which will strengthen Antibe’s position with potential large market partners.

We are pleased to have recently received approval for ATB-346’s International Nonproprietary Name: otenaproxesul. (The non-proprietary name is equivalent to, for example, the "ibuprofen" of Advil). We will be using otenaproxesul going forward, and our Corporate Presentation and website have been amended as such. In addition, we have now engaged a healthcare branding agency to help us select a proprietary (brand) name (the equivalent to "Advil").

ATB-352 Advancing Towards Clinical Development Next Year

Expanding beyond our lead drug, we have commenced IND-enabling preclinical studies for our second pipeline drug, ATB-352. This drug is being developed as a GI-safe and non-addictive alternative to opioids for the treatment of post-surgical pain, a US$11 billion market3. Many physicians find themselves in a quandary regarding opioids, which have been the drug-of-choice for post-surgical pain. The natural alternative would be the stronger NSAIDs, already shown to equal the pain relief of opioids in such settings. However, such NSAIDs are also the most harmful to the digestive tract. ATB-352, a hydrogen sulfide-releasing version of ketoprofen (a particularly strong NSAID), is being developed as a solution to this longstanding problem. In animal experiments, ATB-352 has delivered greater pain effectiveness than ketoprofen yet demonstrated robust GI safety. We anticipate that preclinical studies of ATB-352 will conclude in calendar Q3 2021, following which we will seek regulatory approval to initiate human trials. We plan to pursue a Fast Track designation with the FDA to expedite the development and regulatory approval process.

Our third pipeline drug, ATB-340, a hydrogen-sulfide releasing version of low-dose aspirin, has been shown to cause negligible GI damage in preclinical studies. Low-dose aspirin is generally regarded as a wonder drug for cardiovascular and cancer protection for people over 50, but its prevalence of GI-damage precludes its broad prescription by clinicians. We are presently evaluating the clinical development strategy for ATB-340 and anticipate commencing IND-enabling preclinical studies in calendar 2021.

Pipeline Expansion Initiatives Launched

The strength of the recent clinical data has also encouraged us to commit to unlocking additional value from our hydrogen sulfide platform. To this end, Antibe recently signed a contract with a leading academic institution in the US known for the quality of its hydrogen sulfide science. The objective of this mandate is to identify promising new hydrogen sulfide-releasing compounds for the treatment of chronic pain, acute pain and other indications, including inflammatory bowel disease. Antibe will retain ownership rights to any new intellectual property arising from this work.

In addition, we are exploring collaborations for additional indications for otenaproxesul, including familial adenomatous polyposis (FAP), a pre-cancerous and often-fatal orphan disease.

Capital Markets Strategy Taking Institutional Focus

The success of otenaproxesul over the past few years has increased our valuation and de-risked our story considerably – this could not have been done without the long-term support of our existing shareholders. The last several months culminated in significant achievements, including a $29 million bought deal financing, that position us well to crystalize the value of our efforts. While we believe the issue price did not reflect the opportunities before us, the financing was essential for executing our plans in the coming 15 months at full speed with a fully funded balance sheet. We will now be pursuing a capital markets strategy to support our next stage of growth, while enabling our share price to reach an inherent value that is more comparable to our Phase III peers.

The completion of human proof-of-concept development for otenaproxesul with such strong results has put us on the radar screens of institutional investors that will be instrumental in supporting this growth. Preparations are largely complete to list on a senior exchange at the optimal time, such as NASDAQ. In addition, we will shortly engage a premier life science-focused investor relations firm in the US to implement and lead a strategic outreach program towards institutional investors, sell-side analysts and bankers.

We are in the process of evaluating a potential sale of Citagenix, our commercial asset that is no longer a strategic fit. This will simplify our story into a "pure play" late-stage biotech company with a clear focus and growth trajectory. And as we attract more institutions and mature as an organization, we will correspondingly require more active and deepened governance to guide our decision-making. We have retained a specialized recruitment firm to help us find a new, US-based Board member, whom we expect to have in place by year end.

We are excited by the opportunities ahead, as we strive to unlock shareholder value and execute our strategy over the course of the coming year.

Sincerely,

Dan Legault

Chief Executive Officer

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2 A proof-of-concept, Phase 2 clinical trial of the gastrointestinal safety of a hydrogen sulfide-releasing anti-inflammatory drug. British Journal of Pharmacology. Wallace et al., 2019.

3 Transparency Market Research, 2018.