Humanigen Inc (HGENQ)

[cowtown jay]

There are several developments I was hoping Humanigen would have expanded upon last week, because they all point to the likelihood of our success. And even more than news regarding regulatory approval, which would qualify as a Milestone Event, I especially anticipate the recall* of the company's loaned shares, with that news.

Particularly interesting is the filing of The Official Committee of Unsecured Creditors of Humanigen, Inc. Initial estimates were that this group could receive from
about $172K - $8.5M.

"The Creditors’ Committee initially objected to
the sale to Taran (the “Sale”) but ultimately reached a settlement with the Debtor and Taran
pursuant to which certain terms of the Sale and the APA were amended as described on the record
at the hearing before the Bankruptcy Court on February 14, 2024. The settlement amended the
APA to, among other things, significantly expand the events that will trigger the contingent
“Milestone Payments” and increase the amount of those payments under the APA."

https://document.epiq11.com/document/getdocumentsbydocket/?docketId=1075977&projectCode=HUM&docketNumber=235&source=DM

Achieving a Milestone Event, in and of itself, would enable Humanigen to pay the full $44.1M owed to the Unsecured Creditors, and open the door to the restoration of financial reward for shareholders.

*Shareholder value will be greatly enhanced by Humanigen's recall of the loaned shares. I had news of a different type of recall myself, from my auto manufacturer. But, my out-of-pocket expense is going to be several thousands of dollars to repair my car. Not the type of recall I was hoping for.

The "significant expansion" of Milestone Events, beyond those regarding the partner-sponsored clinical trials for CMML, aGvHD, and CAR-T, could come from Sanofi and/or Novavax. Novavax filed the following in this regard.

"Item 1.01 Entry into a Material Definitive Agreement.


Collaboration and License Agreement


On May 10, 2024, Novavax, Inc. (the “Company”) entered into a collaboration and license agreement (the “Collaboration and License Agreement”) with Sanofi Pasteur Inc. (“Sanofi”) pursuant to which Sanofi received:


i) A co-exclusive license to commercialize with the Company all of the Company’s current standalone COVID-19 vaccine products, including the Company’s NuvaxovidTM prototype COVID-19 vaccine and NuvaxovidTM updated COVID-19 vaccine, and updated versions that address seasonal variants throughout the world (“COVID Mono Products”),
ii) A sole license to develop and commercialize combination products containing a potential combination of the Company’s COVID-19 vaccine and Sanofi’s seasonal influenza vaccine (“COVID and influenza Combination Products” or “CIC Products”),
iii) A non-exclusive license to develop and commercialize combination products containing both the Company’s COVID-19 vaccine and one or more non-influenza vaccines (“Other Combination Products” and together with the COVID Mono Products, CIC Products, and Other Combination Products (“Licensed COVID-19 Products”), and
iv) A non-exclusive license to develop and commercialize other vaccine products selected by Sanofi that include the Company’s Matrix-MTM adjuvant (as described below, the “Adjuvant Products”).


Under the Collaboration and License Agreement, the Company will receive a non-refundable upfront payment of $500 million. In addition, the Company will also be eligible to receive development, tech transfer, launch, and sales milestone payments totaling up to $700 million in the aggregate with respect to the Licensed COVID-19 Products and royalty payments on Sanofi’s sales of such licensed products. In addition, the Company is eligible to receive development, launch, and sales milestone payments of up to $200 million for each of the first four Adjuvant Products and $210 million for each Adjuvant Product thereafter, and royalty payments on Sanofi’s sales of all such licensed products."

https://www.sec.gov/ix?doc=/Archives/edgar/data/1000694/000110465924060444/tm2414089d1_8k.htm