Kitov Pharma Announces Significant Progress in Closing of FameWave Acquisition Deal
8:24 AM ET, 08/16/2019 - GlobeNewswire
- Orbimed, Pontifax and Arkin Holdings to deposit $3.5 million investment in Kitov in escrow- Progress facilitates the advance of activities in development of the oncology asset CM-24
TEL AVIV, Israel, Aug. 16, 2019 (GLOBE NEWSWIRE) -- Kitov Pharma Ltd. (“Kitov”) (NASDAQ/TASE: KTOV), a clinical-stage company advancing first-in-class therapies to overcome tumor immune evasion and drug resistance, today announced that an amendment to the FameWave acquisition deal was signed. According to the amendment, the parties agreed that all major closing conditions have been met other than finalizing the tax ruling for the sellers and the issuance and exchange of shares in the companies. Importantly, the amendment facilitates the advance of activities in the development of the oncology asset CM-24, including the preparation for a Phase 1/2 clinical trial in patients with non-small cell lung cancer in collaboration with Bristol Myers Squibb (BMS). CM-24 is a monoclonal antibody antagonist of CEACAM1, a novel immune checkpoint that supports tumor immune evasion and survival through multiple pathways.
The parties also agreed that Orbimed, Pontifax and Arkin Holdings will deposit in escrow their aggregate $3.5 million investment in Kitov priced at $1.23 per share until the tax ruling is received and the shares are issued and transferred.
"Moving towards finalizing the acquisition of FameWave is an important milestone in Kitov shift towards an oncology focused company. It allows us to advance the clinical development of CM-24 in parallel to advancing our second oncology product NT-219 into clinical trials," said Isaac Israel, chief executive officer of Kitov. "We look forward to initiating the planned Phase 1/2 trial in collaboration with BMS to evaluate the combination of CM-24 with BMS’s PD-1 inhibitor Opdivo® in patients with non-small cell lung cancer. CM-24 has the potential to be an effective therapy for cancer patients and we are excited to advance this drug candidate into the clinic soon and provide patients with a long-lasting treatment alternative."
In connection with the progress made toward closing of the acquisition, FameWave has entered into a manufacturing agreement for CM-24 to facilitate the initiation of the Phase 1/2 trial and to advance R&D activities in preparation for the study.
