2 embattled biotechs fight to survive as cash, options run dry

2023-04-21

临床2期细胞疗法免疫疗法并购

2 embattled biotechs fight to survive as cash, options run dry

Preview

来源: FierceBiotech

The pressure is rising as cell therapy-focused Idogen faces liquidation and oncology-centered Nordic Nanovector searches for a partner.

As difficult market conditions continue, two European biotechs are slashing costs and seeking ways to stay afloat as the end of the road nears.

After the failed acquisition of APIM in December, Nordic Nanovector’s entire pipeline has been put on pause as the company searches for a partner to pick up its lead program, according to an April 18 update.

The oncology biotech has faced persistent clinical and operational obstacles, winding down its PARADIGM trial in July of last year. The phase 2b study was evaluating the biotech’s lead antibody-radionuclide conjugate betalutin among patients with refractory follicular lymphoma. After enrollment difficulties, the trial failed to hit its main goals and was axed. Layoffs and restructuring quickly followed, whittling down staff to eight full-time workers.

The company’s luck had appeared to be turning around when it announced in November that it would acquire fellow clinical-stage, Norway-based oncology company APIM. However, the good fortune was short-lived. Despite backing from both biotech’s boards, shareholders voted down the proposed transaction. To top it all off, Nordic board members resigned en masse at the following meeting and, in wake of the failed deal and in efforts to save cash, Nordic’s interim CEO and CFO Malene Brondberg also departed.

Now, the biotech says it still believes there could be a market for betalutin in early lines of therapy given its safety profile. However, new development programs to test betalutin in different patient populations would require significant financial resources—money the company doesn’t have. Instead, Nordic is “exploring all strategic options” including potential partnerships to see if there is a possible path forward for the drug, according to this morning's release.

In the same announcement, Nordic said that all of its pipeline projects are currently on hold. This includes Orano Med-partnered Alpha37, a preclinical alpha-emitting radioimmunotherapy that has been on hold since 2021; a preclinical anti-CD37 antibody program for hematological cancer and autoimmune diseases that was put on hold earlier this year; and a CAR-T project for hematological cancer in collaboration with the University of Pennsylvania.

Nordic’s board is focused on reducing cash burn until a strategic partner can be found, the biotech added.

Idogen is similarly cash-strapped. The Swiss cell therapy biotech's solution is to consider a reverse acquisition in hopes of avoiding liquidation.

At the start of April, the biotech said its cash would run out at the end of June. Now, Idogen has said efforts to raise money haven’t been successful, prompting the company to consider a reverse acquisition, which means another company would take over Idogen’s stock listing, among other things. If the company can’t capitalize, the board will propose liquidation at its annual general meeting on June 9, according to acting CEO Christina Herder.

Investors didn't appear reassured by Idogen’s honesty, sending the company's stock plummeting 35% to 0.05 Swedish krona (less than 1 cent) over the course of Tuesday.

The company’s most advanced development program, dubbed IDO 8, is a tolerogenic cell therapy for patients with severe hemophilia that was set to enter a phase 1/2a clinical trial in 2022, though it’s unclear if the study ever launched.

"We work with several financing options. However, time is short and therefore we are evaluating a reverse acquisition in parallel,” Herder said in the release. “If we do not reach the goal with our various capitalization processes, we must liquidate the company before the cash and equity run out.”

更多内容，请访问原始网站

文中所述内容并不反映新药情报库及其所属公司任何意见及观点，如有版权侵扰或错误之处，请及时联系我们，我们会在24小时内配合处理。

机构