ExpreS2ion Signs Option to License Agreement with AdaptVac Regarding Unique Breast Cancer Vaccine
Hørsholm, Denmark, February 26, 2020 – Today, ExpreS2ion Biotechnologies ApS (“ExpreS2ion”), a fully owned subsidiary of ExpreS2ion Biotech Holding AB, announces that the company has signed an Option to License Agreement (“Agreement”) with AdaptVac ApS (“AdaptVac”) whereby ExpreS2ion may call an option to exclusively license in AV001 (HER2-cVLP), a preclinical-stage novel breast cancer vaccine candidate, which ExpreS2ion plans to develop towards human clinical studies. According to the Agreement, ExpreS2ion has the right to call the option to license in AV001 within 12 months. The option price entails no upfront fee and can maximum amount to DKK 1.2M (SEK 1.7M) during the full option term.
The aim of the Option to License Agreement is to provide ExpreS2ion the option to call the right to exclusively license in AV001 (HER2-cVLP), a preclinical-stage novel breast cancer vaccine candidate, which ExpreS2ion plans to develop towards human clinical studies. This gives ExpreS2ion full control over and responsibility for driving this valuable asset forward, hereby realising the very significant value of this project.
The terms of the License Agreement, that ExpreS2ion can opt to execute anytime within 12 months, will contain financial consideration to AdaptVac in the form of an upfront payment at signature of DKK 2.5M (SEK 3.5M), a payment at approval of release of clinical-ready production material of DKK 2.5M (SEK 3.5M) (estimated to be in 2021), a payment for initiation of a clinical Phase I safety trial of DKK 2.5M (SEK 3.5M) (estimated to be in 2022), a payment for initiation of a clinical Phase II efficacy trial of DKK 10M (SEK 14M) (estimated to be in 2023-24) and thereafter aggregated clinical Phase III development and regulatory milestone-based payments of DKK 200M (SEK 285M), and lower single-digit royalty rates of net sales. ExpreS2ion under the License Agreement plans to develop AV001 (HER2-cVLP) until it is clinically validated and ready for partnering. Furthermore, the License Agreement includes sublicensing rights allowing ExpreS2ion to partner with a larger biopharmaceutical company on the further commercialisation of AV001, against a fixed percentage of partner payments to be paid by ExpreS2ion to AdaptVac, in which case remaining financial consideration towards AdaptVac falls away.
ExpreS2ion’s Chairman Martin Roland Jensen comments:
“The Agreement grants ExpreS2ion an option right to take full responsibility of a unique oncology project, which is in line with the board’s recent strategic decision and communications about generating more shareholder value in ExpreS2ion by taking more ownership in the development of pipeline projects.”
ExpreS2ion’s CEO Bent Frandsen comments:
“This Option to License Agreement is a truly transforming deal for ExpreS2ion, because it enables our company to take full control of development of a high-value product opportunity in the oncology field. AV001 (HER2-cVLP) addresses a high unmet need in the breast cancer field. The Option to License Agreement allows for ExpreS2ion to strike as soon as our development plan calls for a license. I look forward to advancing the development of this unique vaccine candidate, thereby increasing shareholder value.”
About AV001 and breast cancer
Breast cancer is a widespread oncology indication affecting more than 1.3 million people worldwide annually, resulting in more than 450,000 deaths (Tao, 2015: www.ncbi.nlm.nih.gov/pubmed/25543329). The most common treatment today is based on monoclonal antibodies, where the dominating therapy Herceptin (trastuzumab) generates annual global sales of USD 7 billion. The target product profile of AdaptVac's lead breast cancer project, AV001, is tailored to be highly competitive both in terms of cost and efficacy, thus aiming at a significant market share.
About AdaptVac
AdaptVac is a joint venture between ExpreS2ion Biotechnologies and NextGen Vaccines, owned by the inventors of the novel proprietary and ground-breaking capsid-like virus particle (cVLP) platform technology spun out from the University of Copenhagen. The Company aims to accelerate the development of highly efficient therapeutic and prophylactic vaccines within high value segments of oncology, infectious diseases and immunological disorders. Granting of the core patent in the U.S. has expanded AdaptVac’s patent protection to include the entire pipeline of vaccines and immunotherapies in development. Please visit: www.AdaptVac.com
Certified Adviser
Svensk Kapitalmarknadsgranskning AB
Telefon: +46 11 32 30 732
E-post: ca@skmg.se
For further information about ExpreS2ion, please contact:
Bent U. Frandsen, CEO
Telephone: +45 4256 6869
E-mail: buf@expres2ionbio.com
This press release contains information that ExpreS2ion is obligated to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication through the agency of the contact person set out above on February 26, 2020.
About ExpreS2ion
ExpreS2ion Biotechnologies ApS is a fully owned Danish subsidiary of ExpreS2ion Biotech Holding AB with company register number 559033-3729. ExpreS2ion has developed a unique technology platform, ExpreS2, for fast and efficient non-clinical development and production of complex proteins for new vaccines and diagnostics. ExpreS2 is regulatorily validated for clinical supply. The platform includes functionally modified glycosylation variants for enhanced immunogenicity and pharmacokinetics. Since 2010, the Company has produced more than 300 proteins and 40 virus-like particles (VLPs) in collaboration with leading research institutions and companies. Since 2017, ExpreS2ion develops novel VLP based vaccines through its joint venture AdaptVac ApS. For additional information, please visit www.expres2ionbio.com and www.adaptvac.com.