Rakuten Medical Closes $119 Million Series E Financing to Further Develop its Alluminox™ Platform

On March 6, 2024 Rakuten Medical, Inc., a global biotechnology company developing and commercializing precision, cell targeting therapies based on its proprietary Alluminox platform, reported the completion of a $119 million Series E preferred stock financing, including $45 million in new capital and the conversion of $74 million of convertible promissory notes with accrued interest (Press release, Rakuten Medical, MAR 6, 2024, View Source [SID1234640882]).

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Rakuten Medical intends to further develop its proprietary Alluminox platform and contribute to the future of patients and healthcare around the world by allocating the funds raised for the following business priorities:

Continuing efforts to accelerate its global Phase 3 clinical trial (ASP-1929-301 study, ClinicalTrials.gov Identifier: NCT03769506) of Alluminox treatment (photoimmunotherapy) using ASP-1929, with the goal of achieving approval of ASP-1929 in the United States and several other countries and regions as soon as possible
Supporting ongoing clinical trials and initiating new studies for Alluminox treatment using its three key assets (ASP-1929, RM-1995, and RM-0256), including combination therapy with anti-PD-1, which has shown promising early data that Rakuten Medical believes warrant additional clinical studies
In-house discovery of new drug conjugates under its drug discovery program, Alluminox Palette
Development of new medical devices to improve treatment in the clinic and trials
Leveraging learnings and experience from Alluminox treatment in the commercial setting in Japan in an effort to improve patient outcomes and for further understanding and development of this treatment technology
Mickey Mikitani, Co-CEO of Rakuten Medical, commented, "We are very proud to have raised $119 million in Series E financing despite the challenging market environment for biotechnology companies in 2023, when we started this financing round. I would like to thank our many investors for having valued our achievements and great potential. The Alluminox platform will continue to evolve, and together with our trusted business partners and the healthcare professionals who believe in our technology, we will expand this innovative therapy both geographically and clinically, and pave the way for a brighter future."

One of the major investors in this Series E Financing is Hikma Pharmaceuticals PLC ("Hikma"), a global pharmaceutical company headquartered in the UK, with a local presence across the MENA region, North America and Europe. Other major investors include existing investors such as Rakuten Group, Inc., a global internet services company and its Chairman and CEO, Mickey Mikitani, and SBI Group, a leading venture capital firm in Japan, as well as new investors Mizuho Bank, Ltd. and the Dai-ichi Life Insurance Company, Limited, leading Japanese financial institutions.

Rakuten Medical also welcomed Mazen Darwazah, Hikma’s Executive Vice Chairman and President of MENA region, to its Board of Directors. Darwazah is an experienced executive with more than 38 years of pharmaceutical industry experience gained through serving in various positions within the Hikma Group. With his strong operational direction and experience in driving strategic business decisions that grow healthcare businesses in the MENA region and globally, Darwazah will add value as a solid guide for Rakuten Medical as it moves to a new stage of uncovering more potential as a global biotechnology company.

In making this investment and appointment to the Board of Directors, Darwazah commented, "I am honoured to join Rakuten Medical’s board. Through this appointment, I am looking forward to driving synergies and facilitating a closer working relationship with an important partner that shares Hikma’s vision of shaping a healthier world."

Ryvu Therapeutics to Present Preclinical Data on RVU120 and Synthetic Lethality Programs at the 2024 AACR Annual Meeting

On March 6, 2024 Ryvu Therapeutics (WSE: RVU), a clinical-stage drug discovery and development company focusing on novel small molecule therapies that address emerging targets in oncology, reported that preclinical data from its synthetic lethality pipeline and RVU120 project, as well as on MEN1703 (SEL24), will be presented at the upcoming 2024 AACR (Free AACR Whitepaper) Annual Meeting, scheduled for April 5-10 in San Diego, California (Press release, Ryvu Therapeutics, MAR 6, 2024, View Source [SID1234640881]).

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"We are excited to present our latest preclinical data at the AACR (Free AACR Whitepaper) Annual Meeting, showcasing our significant progress in advancing novel small molecule therapies for oncology. This year, we will present data from our most advanced preclinical project on MTA-cooperative PRMT5 inhibitors, the lead program within Ryvu’s synthetic lethality pipeline. Our PRMT5 inhibitors have demonstrated remarkable efficacy and selectivity in preclinical models of tumors with MTAP gene deletion, providing a strong foundation for further development," said Krzysztof Brzózka, Ph.D., Chief Scientific Officer of Ryvu Therapeutics. "Our discovery platform continues to produce novel precision medicine targets and drugs, and we are proud to highlight platform data based on primary cancer cells, specifically in colorectal cancer models with broader applicability across cancers. "

Details on the poster presentations are as follows:

Abstract Title: "Discovery of novel MTA-cooperative PRMT5 inhibitors as targeted therapeutics for MTAP-deleted cancers."
Session Name: HDAC and Methyltransferase Inhibitors Session date and time: Tuesday, April 9, 9:00 AM – 12:30 PM EST
Poster Number: 4598

Co-deletion of MTAP is observed in approximately 80-90% of tumors with homozygous deletion of CDKN2A, representing 10-15% of all human tumors. These tumor types, including non-small cell lung cancer, pancreatic adenocarcinoma, glioblastoma, and mesothelioma, have a poor prognosis, highlighting the significant unmet medical need in this area. Deletion of MTAP leads to a significant accumulation of methylthioadenosine (MTA) in cells. MTA, at high concentrations, selectively inhibits the PRMT5 methyltransferase enzyme. As a result, the overall level of symmetric arginine dimethylation throughout the proteome is reduced, which makes cells with MTAP deletion more susceptible to therapeutic targeting of PRMT5. Ryvu has developed potentially best-in-class MTA-cooperative PRMT5 inhibitors showing favorable drug-like properties and effective PRMT5 inhibition dependent on MTA binding. Structure-based lead optimization has enabled rapid expansion and delivery of two independent chemical series with novel intellectual property, characterized by high target engagement in cells, and selective potency in MTAP-deleted cell lines, along with favorable DMPK profiles allowing an oral administration. The antitumor activities were compared in vitro and in vivo in MTAP null tumors. The correlation between compound exposure and on-target effect was confirmed in PK/PD and efficacy studies. Performed studies confirm that MTA-cooperative PRMT5 inhibitors exert a strong synthetic lethal phenotype in MTAP-deleted cancers, offering an exciting therapeutic opportunity for a large patient population.

Abstract Title: "A comprehensive platform for identification of KRAS-specific synthetic lethal targets using patient-derived cells."
Session Name: New Targets, Technologies, and Drug Delivery Systems
Session date and time: Tuesday, April 9, 9:00 AM – 12:30 PM EST Poster Number: 4684

Ryvu’s cutting-edge drug discovery platform uniquely combines high throughput capabilities with the precision and translational impact traditionally associated with later, lower throughput stages. Our approach taps into the power of primary cells to transform cancer treatment, focusing especially on colorectal cancer (CRC). By leveraging human stem cell derived model cells (PDC), patient-derived xenografts (PDXs) and clinical samples we have created a groundbreaking approach to identify synthetic lethal (SL) targets specific to oncogenic pathways. We integrate CRISPR/Cas9 technology, phenotypic screening, RNA-seq, and whole-exome sequencing (WES), enabling rapid identification of molecular vulnerabilities. We present results obtained in engineered intestinal primary models which represent frequently altered genes in CRC, including KRAS G12D mutation. Notably, our use of normal hISCs facilitates the identification of genes essential only for transformed cells, amplifying the precision tumor targeting of our novel discoveries. Beyond CRC, our platform could extend to personalized medicine approaches in various cancer types. By spearheading the identification of KRAS-specific SL inhibitors, we pave the way for novel, targeted therapies, offering hope to patients battling this heterogeneous malignancy and beyond.

Abstract Title: "Discovery of WRN inhibitors as targeted therapy in the treatment of microsatellite unstable (MSI-H) tumors."
Session Name: Novel Antitumor Agents 4
Session date and time: Tuesday, April 9, 1:30 PM – 05:00 PM EST
Poster Number: 5942

The synthetic lethality resulting from the inhibition of the WRN helicase protein has been observed in tumors characterized by high levels of microsatellite instability (MSI-H). This instability stems from a deficiency in the DNA mismatch repair (MMR) mechanisms, leading to the accumulation of DNA damage. This phenomenon is notably prevalent in 10-30% of colorectal, gastric, endometrial, and ovarian cancers.

Structure-based optimization performed at Ryvu facilitated the rapid expansion and delivery of a compound library with novel intellectual property (IP), demonstrating target engagement in cells and selective potency over other RecQ family members. The pharmacokinetic properties of these compounds were favorable and allowed progressing to in vivo studies which confirmed efficacy of our compounds in xenograft MSI-H cancer models. These data provide pharmacological proof-of-concept for the synthetic lethal effect of our inhibitors and support WRN inhibition as a new, targeted oncological therapy.

Abstract Title: "Combination JAK1/2 and CDK8/19 inhibition demonstrates enhanced efficacy in myeloproliferative neoplasms."
Session Name: Targeted, Combination, and Differentiation Therapies
Session date and time: Wednesday, April 10, 9:00 AM – 12:30 PM EST Poster Number: 7225

The presentation, prepared in collaboration with Prof. Raajit Rampal’s group from Memorial Sloan Kettering Cancer Center, includes the assessment of RVU120, a highly selective and potent CDK8/19 inhibitor, both in monotherapy and combination with ruxolitinib (RUX), a JAK1/2 inhibitor, for the treatment of myeloproliferative neoplasms (MPN) and hydroxyurea-resistant/intolerant polycythemia vera (PV). The combination of RVU120 and RUX demonstrated biochemical synergy and differential inhibition of STAT5 phosphorylation in vitro. Further, in vivo treatment with RVU120/RUX+RVU120 resulted in significant reductions in disease manifestation (splenomegaly, WBC, fibrosis scoring, hematopoiesis) compared to VEH/RUX. These data suggest that JAK1/2 and CDK8/19 inhibition could be a potential novel therapeutic strategy in MPNs. Additional work on nascent RNA expression and cytokine profiles aims at elucidating the exact mechanism of synergy between tested compounds.

Abstract Title: "MEN1703/SEL24 exhibits promising antitumoral activity in preclinical models of myelofibrosis both as single agent and combined with ruxolitinib."
Session Name: Novel Antitumor Agents 2
Session date and time: Sunday April 7, 01:30 AM – 0500 PM EST
Poster Number: 665

MEN1703 (SEL24) is an oral, first-in-class, dual PIM/FLT3 kinase inhibitor in development for hematologic malignancies. The presented study aims to investigate the efficacy of MEN1703 alone and in combination with the JAK inhibitor ruxolitinib (RUX) in preclinical models of myelofibrosis (MF) and to elucidate the underlying signaling pathways. MEN1703 demonstrated anti-tumoral efficacy in MF preclinical models, exhibiting in vitro activity at clinically relevant concentrations. Importantly, the combination of MEN1703 with the standard of care, RUX, exhibited synergistic effects, and molecular analyses confirmed the inhibition of downstream targets of PIM. The results support the therapeutic potential and relevance of MEN1703 in the treatment strategies for myelofibrosis.

All abstracts are now available online and can be obtained from the conference site:
View Source

Compugen to Present Data Reflecting its Diversified Immuno-Oncology Pipeline at AACR 2024

On March 6, 2024 Compugen Ltd. (Nasdaq: CGEN) (TASE: CGEN), a clinical-stage cancer immunotherapy company and a pioneer in computational target discovery, reported that it will present data from its differentiated immuno-oncology preclinical and clinical pipeline, in two poster presentations at the American Association for Cancer Research (AACR) (Free AACR Whitepaper) annual meeting on April 5-11, 2024, in San Diego, California (Press release, Compugen, MAR 6, 2024, View Source [SID1234640880]).

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"It is exciting that the progress we have made to potentially address immunotherapy resistance from diverse angles will be reflected at AACR (Free AACR Whitepaper) this year," said Anat Cohen-Dayag, Ph.D., President, and CEO of Compugen. "While PVRIG and TIGIT are novel targets discovered with our computational discovery platform, more recently, we have also discovered a unique and differentiated way to target a known biological pathway, the IL-18 binding protein pathway."

Eran Ophir, Ph.D., Chief Scientific Officer at Compugen, added, "At ACCR we will present data supporting the unique biology of PVRIG suggesting its role in sensitizing tumors to other immune checkpoints TIGIT and PD-(L)1. In addition, in a second presentation we will present data supporting the therapeutic potential of our high affinity, potential first-in-class, anti-IL-18 binding protein antibody, COM503, showing its activity is localized to the tumor microenvironment with the potential advantage of a wider therapeutic window than systemically delivered cytokines."

Poster details:
Session Date and Time: Tuesday, April 9, 2024, 9:00 AM – 12:30 PM PST
Session Category: Immunology
Session Title: Immune Modulation with Cytokines
Poster Title: Unleashing natural IL-18 activity using an anti-IL-18BP blocker antibody induces potent immune stimulation and anti-tumor effects
Published Abstract Number: 4072

Session Date and Time: Wednesday, April 10, 2024, 9:00 AM – 12:30 PM PST
Session Category: Clinical Research
Session Title: Immune Checkpoint Inhibitor Therapy
Poster Title: PVRIG is uniquely expressed in tumor dendritic cells-rich niches on stem-like memory T cells and its blockade may induce immune infiltration and activation in non-inflamed tumor
Published Abstract Number: 7533

The abstracts are available on Compugen’s website at www.cgen.com. The data will be published in the online Proceedings supplement to the AACR (Free AACR Whitepaper) journal Cancer Research prior to the meeting on Friday, March 22, 2024.

OnCusp Therapeutics Announces First Patient Dosed in Phase 1 Trial of CUSP06 in Patients with Platinum-Refractory/Resistant Ovarian Cancer and Other Advanced Solid Tumors

On March 6, 2024 OnCusp Therapeutics, Inc., a clinical stage biopharmaceutical company dedicated to transforming cutting-edge preclinical innovation into clinically validated treatments for cancer patients worldwide, reported that the first patient has been dosed in the Phase 1 study evaluating CUSP06 for the treatment of platinum-refractory/resistant ovarian cancer and other advanced solid tumors (Press release, OnCusp Therapeutics, MAR 6, 2024, View Source [SID1234640879]).

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CUSP06 is engineered to increase potency, heighten the "bystander effect," elevate linker stability, and overcome drug resistance. Thus, it is a potentially safer and more effective therapeutic option for patients with advanced solid tumors that express Cadherin-6 (CDH6). Preclinical data further suggest that CUSP06 may demonstrate best-in-class activity in the clinic.

"We are thrilled to announce the initiation of the Phase 1 clinical trial for CUSP06, our first ADC program to enter the clinic, and look forward to seeing our robust preclinical findings reflected in clinical settings," stated Bing Yuan, PhD, Co-Founder and CEO of OnCusp Therapeutics. "This marks a pivotal moment for OnCusp as we transition into a clinical-stage company, reaffirming our dedication to delivering innovative therapies to patients in need."

Eric Slosberg, PhD, Co-Founder and Chief Development Officer of OnCusp Therapeutics, said "CDH6 is an ideal target for an ADC approach, as it is overexpressed in many cancer types such as ovarian, renal, cholangiocarcinoma, uterine, and other malignancies, but has limited expression in non-tumor tissues. We look forward to exploring the effect of CUSP06 in patients with both high and low CDH6 expressing tumors."

The Phase 1 multicenter study will evaluate the safety, tolerability, pharmacokinetics, and preliminary efficacy of CUSP06 in adults with platinum-refractory/resistant ovarian cancer and other advanced solid tumors (NCT06234423). Phase 1a will determine safety and the recommended dose for expansion and the Phase 1b portion will focus on further characterizing safety and efficacy in selected tumor types.

"Ovarian cancer is the third most common and the most lethal gynecologic cancer worldwide," said Alexander Spira, MD, PhD, FACP, FASCO, CEO and Clinical Director for NEXT Oncology Virginia and a Principal Investigator for the Phase 1 study of CUSP06. "There is significant unmet medical need in the treatment landscape, especially in the platinum-resistant setting. We are excited to participate in this clinical trial and evaluate the potential of CUSP06 in treating ovarian cancer and other advanced solid tumors."

About CUSP06

CUSP06, a CDH6 ADC, is composed of a proprietary antibody with high CDH6 binding affinity, a protease-cleavable linker, and an exatecan payload (a potent and clinically validated topoisomerase-1 inhibitor). The linker is designed to complement the exatecan payload, enabling a stable and homogenous ADC. The payload is a weak substrate for BCRP/P-gp, which are drug efflux pumps that drive chemoresistance to many therapies. In preclinical data, this linker-payload has been shown to have an increased "bystander effect" compared to competitor ADCs. CUSP06 has a drug-to-antibody ratio of eight. OnCusp obtained the exclusive global rights (outside of China) to lead the development and commercialization of CUSP06 from Multitude Therapeutics.

Avid Bioservices Announces Pricing of Private Placement of Convertible Notes

On March 6, 2024 Avid Bioservices, Inc. (NASDAQ:CDMO), a dedicated biologics contract development and manufacturing organization (CDMO), reported the pricing of $160 million aggregate principal amount of 7.00% Convertible Senior Notes due 2029 (the "2029 Notes") (Press release, Avid Bioservices, MAR 6, 2024, https://ir.avidbio.com/news-releases/news-release-details/avid-bioservices-announces-pricing-private-placement-convertible [SID1234640877]). In connection with the offering, the company entered into private placement purchase agreements with the several purchasers, each of whom is a "qualified institutional buyer" within the meaning of Rule 144A promulgated under the Securities Act of 1933, as amended (the "Securities Act"). The closing of the offering is subject to customary closing conditions and is expected to take place on March 12, 2024.

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The 2029 Notes will represent senior unsecured obligations of the company and will accrue interest payable semiannually in arrears on March 1 and September 1 of each year, beginning on September 1, 2024. The notes will mature on March 1, 2029, unless earlier converted or repurchased.

Before September 1, 2028, holders will have the right to convert their 2029 Notes only upon the satisfaction of specified conditions and during certain periods. On or after September 1, 2028 until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert all or any portion of their 2029 Notes at any time. Upon conversion, the company will pay or deliver, as the case may be, cash, shares of its common stock or a combination of cash and shares of its common stock, at its election. The conversion rate for the 2029 Notes will initially be 101.1250 shares of the company’s common stock per $1,000 principal amount of notes (equivalent to an initial conversion price of approximately $9.89 per share of the company’s common stock). The initial conversion price represents a premium of approximately 12.5% over the last reported sale price of $8.79 per share of the company’s common stock on March 6, 2024. The conversion rate will be subject to adjustment in some events but will not be adjusted for any accrued or unpaid interest.

The 2029 Notes are not redeemable and no sinking fund is provided for the 2029 Notes. If the company undergoes a "fundamental change" (as defined in the indenture that will govern the 2029 Notes), then, subject to certain conditions and limited exceptions, holders may require the company to repurchase for cash all or any portion of their 2029 Notes at a fundamental change repurchase price equal to 100% of the principal amount of the 2029 Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. In addition, following certain corporate events that occur prior to the maturity date, the company will, in certain circumstances, increase the conversion rate for a holder who elects to convert its 2029 Notes in connection with such a corporate event.

The company expects to use the net proceeds from the Offering (i) to repurchase for cash a portion of its 1.250% Exchangeable Senior Notes due 2026 (the "2026 Notes") in privately negotiated transactions from certain noteholders and (ii) to the extent there are 2026 Notes outstanding after such repurchase, to repay in full any remaining outstanding 2026 Notes by depositing the required payoff amount with the trustee under the indenture of the 2026 Notes.

The 2029 Notes and any shares of the company’s common stock issuable upon conversion of the 2029 Notes have not been and will not be registered under the Securities Act, any state securities laws or the securities laws of any other jurisdiction, and unless so registered, may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and other applicable securities laws.

This press release is neither an offer to sell nor a solicitation of an offer to buy any of these securities nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration or qualification thereof under the securities laws of any such state or jurisdiction. Further, this press release is not an offer to repurchase the 2026 Notes. As described in the Current Report on Form 8-K filed by the company on March 6, 2024, all of the 2026 Notes have been accelerated and became due and payable pursuant to an acceleration notice the company received from a holder of the 2026 Notes on February 29, 2024.