Kitov Pharmaceuticals Amends FameWave Acquisition Deal, Shares Soar 23% Pre-Bell
8:53 AM ET, 08/16/2019 - MT Newswires
08:53 AM EDT, 08/16/2019 (MT Newswires) -- Kitov Pharmaceuticals Holdings (KTOV) shares were up more than 23% pre-market Friday as the company signed an amendment to its FameWave acquisition.
Under the amendment, Kitov and FameWave 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.
In particular, the amendment will pave the way for the progress in developing 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 (BMY). CM-24 is a monoclonal antibody antagonist of CEACAM1, an 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.
In connection with the progress made toward closing 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.
