VarmX, a Dutch biotech company, has entered a strategic collaboration with CSL. Under the agreement, CSL will fully fund VarmX’s phase 3 trial of its lead candidate, VMX-C001, and retains an exclusive option to acquire all outstanding shares in the company, subject to trial outcomes.
VMX-C001 is a single-dose, modified recombinant Factor X protein designed to bypass the effects of direct oral anticoagulants (FXa DOACs) and restore coagulation in patients requiring urgent surgery. The candidate recently received Fast Track Designation from the US Food and Drug Administration (FDA), in recognition of the significant unmet need in this patient population.
CSL will fully fund the EquilibriX-S phase 3 study, which will evaluate the efficacy of VMX-C001 in patients taking FXa DOACs who require urgent surgeries. In addition to trial costs, CSL will fund post-trial activities, including manufacturing, commercial operations, medical affairs, and late-stage development.
“The collaboration with CSL represents a transformative step for VarmX,” explained John Glasspool, CEO at VarmX. “By securing full funding for the registrational trial, product development, CMC and pre-launch activities, we are well positioned to bring VMX-C001 to patients. We are proud to partner with CSL, whose expertise and global reach will be invaluable as we move forward.”
Following an upfront payment of $117m, CSL also has the exclusive option to acquire all issued and outstanding shares of the company, representing a full buy-out. This option is dependent on the results of the EquilibriX-C trial – if the option is exercised and certain milestones achieved, VarmX shareholders will be issued an additional $388m up to the launch of VMX-C001. Following its launch, sales-based milestones could offer up to $1.7bn for shareholders. In both cases, payments are reliant of regulatory clearance.
Dr Paul McKenzie, CEO of CSL, commented: “We are excited to partner with VarmX to develop a novel treatment and address a significant unmet need aligning strongly with our strategic ambition to deliver enduring patient impact. It also aligns with our portfolio of medicines designed to minimise bleeding, preserve a patient’s own blood supply, improve surgical and medical outcomes and support global public health approaches to patient blood management.”