Navidea Biopharmaceuticals (NAVB) teams up with Rheumco LLC in a joint venture to develop and commercialize radiolabeled diagnostics and therapeutics for rheumatologic and arthritic diseases. The joint enterprise, named R-NAV LLC, will combine Navidea's Manocept CD206 macrophage targeting platform and Rheumco's Tin-117m radioscope technology to address high unmet needs in 1) the detection of rheumatoid arthritis (RA), 2) the treatment of RA, 3) the detection and treatment of human and veterinary osteoarthritis (OA) and 4) the treatment of pediatric hemophilic arthropathy, a rare rheumatologic condition. Each area is a separate subsidiary of R-NAV.
R-NAV LLC will be funded initially with a $4M investment from Infinity Capital III, a fund of Houston-based McRay Money Management. Navidea has committed an additional $1M to be paid in equal installments over three years.
Navidea has a three-year call option to acquire all of the equity in subsidiary 1 (bullet #1) prior to the launch of a Phase 3 clinical trial and all the equity in subsidiary 2 (bullet #2) upon the completion of radiochemistry and biodistribution studies for its development program. It also has a 30% equity position in R-NAV and each subsidiary on a fully converted basis.