CAMBRIDGE, Mass., Jan. 15 /PRNewswire/ -- Peptimmune, Inc. ("Peptimmune"), a privately held biotechnology company, announced today that it has granted Novartis (NYSE: NVS ) an exclusive option to obtain exclusive worldwide rights to develop and commercialize PI-2301, Peptimmune's multiple sclerosis drug candidate. In a separate but related agreement, the MPM Bio IV NVS Strategic Fund L.P. made an equity investment in Peptimmune.
In the event that Novartis exercises the option to PI-2301, Novartis would assume the global clinical development, manufacturing, and marketing of PI-2301 and all associated costs. Peptimmune would receive payments upon the option exercise and upon successful completion of certain development, regulatory, and commercial milestones. These payments together could total more than $500 million. In addition, Peptimmune shall be eligible to receive royalties on product sales. Additional terms were not disclosed.
"We believe that Novartis represents an outstanding future partner for Peptimmune and the global development of PI-2301. This option agreement provides Peptimmune with access to both Novartis' world class development expertise and the necessary capital to invest in this proprietary product," said Thomas P. Mathers, President and CEO of Peptimmune.
Todd Foley, Managing Director at MPM Capital commented, "Peptimmune and its world-leading expertise in peptide copolymers represent an attractive investment opportunity."
About PI-2301
PI-2301 is a peptide copolymer developed using Peptimmune's novel platform peptide chemistry. PI-2301 is designed to enhance the regulatory response of the immune system, thereby controlling the pathogenic autoimmune response in certain diseases. PI-2301 is currently in Phase 1b development by Peptimmune.
About Peptimmune (www.peptimmune.com)
Peptimmune is a clinical stage biotechnology company developing peptide and peptide-copolymer therapeutics for the treatment of CNS and Autoimmune disorders. These therapies target MHC Class II molecules and modulating immune responses. Founded in 2002 and located in Cambridge, MA USA, the Company is led by an experienced management team and exploits its proprietary DEEP(TM) Technology to design peptides and peptide mixtures.‹
[Peptimmune is a private biotech company based in Somerville, MA that has been trying to develop a Copaxone-like drug for MS called PI-2302. This drug completed phase-1 in early 2008 (#msg-277609720) but the program appears to be dormant—I can find no record of any subsequent clinical trials having been conducted. In early 2009, Peptimmune sold NVS an option to develop PI-2302 (#msg-34865448), but NVS has not executed the option and to my knowledge has expressed no interest in doing so.
Insofar as FDA approval of generic Copaxone would render PI-2302 superfluous from a business standpoint, the Citizen Petition strikes me as a Hail Mary pass by Peptimmune to try to remain relevant (and stay out of bankruptcy). The interesting question is why is Peptimmune is filing the CP now.
›Peptimmune Files Citizen Petition Regarding Generic Copaxone and Demonstrates Significant Enabling Technology for Biological Characterization of Copaxone
Monday October 4, 2010, 4:00 am EDT
SOMERVILLE, Mass., Oct. 4 /PRNewswire/ -- Peptimmune, Inc. announced today that it has filed a technically focused Citizen Petition requesting that the FDA not approve any application for a generic version of Copaxone® [glatiramer acetate injection] (Teva Pharmaceuticals).
"We feel that it is important for the FDA to have access to Peptimmune's data resulting from our characterization of Copaxone using proprietary methods when considering ANDA applications for generic forms of glatiramer acetate. We believe that manufacturers of any purported generic version of Copaxone need to demonstrate biological equivalence using state of the art methods. Most importantly, this extensive biological characterization that we have developed can serve to further guarantee the safety in multiple sclerosis patients of any purported generic version of Copaxone," stated Thomas P. Mathers, President and Chief Executive Officer of Peptimmune.
The Citizen Petition provides data that highlights several key points for the FDA's consideration:
• Comparative pharmacokinetic (PK) studies with a state of the art method should be required to demonstrate bioequivalence of a purported generic Copaxone
• The demonstrated bioavailability of Copaxone is linearly correlated to its direct effect on the innate immune system
• Pharmacodynamic (PD) studies with state of the art methods are just as important as PK studies due to Copaxone's potent effect on the innate immune system
• Copaxone is a pro-drug which makes the demonstration of bioequivalence very difficult for a purported generic copy
Eric H. Zanelli, PhD, Vice President of Research and Development remarked that, "The safety and efficacy of any proposed generic copy of such a complex drug cannot be guaranteed by physicochemical characterization only. Demonstration of bioequivalence for a generic copy of Copaxone should include the comparative PK and PD studies proposed in the Citizen Petition. Our studies demonstrate a direct correlation between Copaxone serum exposure and activation of the innate immune system. Controlling this relationship in particular is critical to ensure safety and therapeutic effect of any generic copy of Copaxone. The effect of Copaxone cannot just be simply explained by induction of regulatory T cells; its effect on antigen presenting cells is just as important. Systemic exposure of Copaxone facilitates the direct effect on monocyte activity, perhaps even in the brain. If a generic manufacturer primarily limits its characterization of a generic copy to comparative antibody responses or T cell responses they could be significantly underestimating the copy's biological effects."
…About Peptimmune
Peptimmune, Inc. is a privately held clinical stage biotechnology company focused on the development of PI-2301, a second-generation peptide copolymer from a similar compound class as Copaxone. PI-2301 has shown to be more potent and effective than Copaxone in treating disease models for multiple sclerosis. The Company plans to continue developing this promising compound by initiating a Phase II study in relapsing remitting multiple sclerosis patients later this year. Current investors include New Enterprise Associates, MPM Capital, MPM/Novartis Strategic Fund, Hunt Bioventures, Boston Medical Investors, Silicon Valley Bank Capital, and Genzyme Corporation.‹
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