TiGenix

TiGenix expands pipeline and enters the cardiology field with clinical-stage company acquisition

TiGenix expands pipeline and enters the cardiology field with clinical-stage company acquisition

         

        TiGenix acquires Coretherapix, a cell therapy company with an ongoing Phase II clinical trial of allogeneic cardiac stem cells in acute myocardial infarction (AMI)

Leuven (BELGIUM) - July 30, 2015 - TiGenix NV (Euronext Brussels: TIG), an advanced biopharmaceutical company focused on developing and commercialising novel therapeutics from its proprietary platform of allogeneic adipose-derived stem cells, announced today the acquisition of cardiology-focused cell therapy company Coretherapix S.L., currently owned by Genetrix S.L. Its lead programme, AlloCSC-01, is an allogeneic cardiac stem cell product currently in a Phase II clinical trial in acute myocardial infarction (AMI), with interim data expected in the second half of 2016. The product is also in pre-clinical development for another cardiac disease. This acquisition expands TiGenix pipeline into cardiology indications and is expected to be closed on July 31, 2015, subject to certain conditions precedent.

TiGenix acquires Coretherapix for an upfront payment of approximately €1.2M in cash and approximately €5.5M in new TiGenix shares. Additionally, Genetrix may receive up to €15M in new TiGenix shares depending on the results of the ongoing clinical trial of Coretherapix. Based on and subject to future sales milestones, Genetrix may receive in addition up to €245M plus certain percentages of the direct net sales of the first product, or certain percentages of any third party royalties and sales milestones for the first product. Sales milestones start when annual net sales reach €150M and the last one will be payable once annual net sales are above €750M. Also, Genetrix will receive a €25M milestone payment per additional product reaching the market. The new shares to be issued on closing of the transaction will be subject to lock-up undertakings for up to 12 months, part of which will be gradually released from the lock-up over the 12-months period.

"The acquisition of this technology of allogeneic cardiac stem cells enhances our existing platform and builds on our extensive knowledge and experience in cell therapy development", commented Eduardo Bravo, CEO of TiGenix. "Tactically, it broadens our current pipeline with another Phase II programme which targets a very significant commercial opportunity. Strategically, it allows us to enter completely new markets with a platform of cardiac stem cells which could be developed in several attractive cardiology indications. We have Cx601 delivering Phase III results in the treatment of perianal fistulas in Crohn's disease patients, later this quarter and preparing for a second Phase III in the US, and we have Cx611 ready to enter into Phase II in severe sepsis and early rheumatoid arthritis around the end of the year. The addition of AlloCSC-01, finalizing the recruitment of this Phase II in AMI and already being studied in other cardiac indications clearly positions TiGenix pipeline as one of the most advanced and diverse in the industry. This acquisition is an important step towards our ambition to become one of the world leaders in the cell therapy space".