On January 15, 2021 VBL Therapeutics (Nasdaq: VBLT), a clinical stage biopharmaceutical company focused on the discovery, development and commercialization of first-in-class treatments for areas of unmet need in cancer and immune/inflammatory indications, reported that it has entered into an Ordinary Share Purchase Agreement with Aspire Capital Fund, LLC (Press release, VBL Therapeutics, JAN 15, 2021, View Source [SID1234574055]). Proceeds from any sales of ordinary shares pursuant to the Purchase Agreement will be used for working capital and for general corporate purposes.
Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:
Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing
Schedule Your 30 min Free Demo!
Under the Agreement, Aspire has committed to purchase up to $20 million of the Company’s ordinary shares at VBL Therapeutics’ discretion from time to time during a 30-month period at prices based on the market price at the time of each sale. VBL Therapeutics will retain full control as to the timing and amount of any sale of ordinary shares to Aspire, subject to certain limitations specified in the Purchase Agreement. The Purchase Agreement does not contain any restrictions on the use of any of the proceeds or future financings and there are no financial covenants, participation rights, rights of first refusal, or penalties. There are no warrants or other derivative securities associated with the transaction. VBL Therapeutics has the right to terminate the Purchase Agreement at any time without any additional cost or penalty.
"We believe that VBL Therapeutics has cultivated a promising yet underappreciated pipeline of anti-cancer and anti-inflammatory agents underpinned by robust in-house manufacturing capabilities. Given the positive initial reports and noteworthy enrollment progress with OVAL, we are very enthusiastic about VB-111’s prospects in ovarian cancer and are looking forward to the study’s results. We’re also eager to support the progress of VBL’s antibodies targeting MOSPD2, especially following the exciting results reported in 2020 at major medical meetings including AACR (Free AACR Whitepaper) and EULAR," stated Steven G. Martin, Managing Member of Aspire Capital.
"We are excited to enter into this transaction with Aspire Capital, a healthcare-focused institutional investor," added Dror Harats, M.D., Chief Executive Officer of VBL Therapeutics. "This Purchase Agreement provides VBL the opportunity to access capital at the Company’s discretion, in a reasonable and efficient manner, to support our ongoing OVAL phase 3 study of VB-111 in patients with platinum-resistant ovarian cancer. We recently announced the expansion of OVAL into Europe and reported that the study has surpassed 200 patients enrolled, and will undergo its third DSMC review this quarter. The capital we have access to under this Purchase Agreement will help us maintain a strong balance sheet through top-line results from OVAL, as well as readouts from additional ongoing studies of VB-111 in colorectal cancer and recurrent glioblastoma by the NCI and Dana Farber, respectively. Importantly, this added financial flexibility may help us to advance development of VB-601, a first-in-class anti-MOSPD2 monoclonal antibody, which has potential across multiple chronic inflammatory indications."
A more complete and detailed description of the Purchase Agreement and the related registration rights agreement is set forth in VBL Therapeutics’ Current Report on the Form 6-K, filed today with the U.S. Securities and Exchange Commission.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities nor will there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
About the OVAL study (NCT03398655)
OVAL is an international Phase 3 randomized pivotal potential registration clinical trial that compares a combination of VB-111 and paclitaxel to placebo plus paclitaxel, in patients with platinum-resistant ovarian cancer. The study is planned to enroll approximately 400 patients. OVAL is conducted in collaboration with the GOG Foundation, Inc., an independent international non-profit organization with the purpose of promoting excellence in the quality and integrity of clinical and basic scientific research in the field of gynecologic malignancies.