Alongside a Q4 earnings beat, the company last night announced the sale of its remaining 80.1% stake in its PCT subsidiary to Hitachi Chemical (which owns the other 19.9%) for $75M in cash. A revenue milestone could allow for another $5M payment.
Closing is expected in May.
Proceeds will be used to fund the Phase 2 trial for CLBS03, and the pay off the company's remaining $5.5M in outstanding debt.
Adaptimmune Therapeutics (ADAP +0.4%) announces that it has entered into a new five-year strategic manufacturing agreement with PCT, a subsidiary of Caladrius Biosciences (NASDAQ:CLBS) for the supply of Adaptimmune’s SPEAR T-cell therapies. Under the contract, Adaptimmune will benefit from exclusive access to an EU and FDA compliant manufacturing unit at PCT as well as dedicated, specialist staff.
Adaptimmune’s relationship with PCT, a contract manufacturer of patient cell therapy products, is intended to provide Adaptimmune with maximum operational flexibility for the manufacture of its SPEAR T-cell products from development, through clinical manufacturing and ultimately, subject to marketing authorizations, into commercialization.
Adaptimmune’s SPEAR T-cell therapies are novel cancer immunotherapies that use enhanced affinity T-cell receptors (TCRs) to target and destroy cancer cells by strengthening a patient’s natural T-cell response. T-cells are a type of white blood cell that play a central role in a person’s immune response to disease.
Caladrius Biosciences (NASDAQ:CLBS) enters into Securities Purchase Agreements with accredited investors for the direct sale of 4,449,153 shares of common stock at $4.72. Buyers include its largest institutional investor, Sanford Health, who invested $5M in the deal.
The $21M total investment will be made in two tranches: $12.6M no later than September 19 and $8.4M after the enrollment of 70 patients in the company's Phase 2 Sanford Project T-Rex Study of CLBS03 in adolescents with recent onset type 1 diabetes.
Net proceeds will fund T-Rex, principal and interest payments on its loan from Oxford Finance, LLC, working capital and general corporate purposes.
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Hitachi Chemical (OTCPK:HCHMY) establishes a 19.9% stake in Caladrius Biosciences (CLBS +16.8%) in conjunction with their global regenerative medicine collaboration. Under the terms of the partnership, Caladrius subsidiary PCT, LLC, will license its cell therapy technology and know-how to Hitachi for certain Asian territories, including Japan. Caladrius will receive an upfront payment and near-term milestones of $5.6M. Hitachi will pay service fees and royalties on contract revenue in its territories as well as all capital and operational expenses associated with ramping up the business on which PCT is entitled to royalties.
Hitachi and PCT are also mulling a joint venture in Europe.