Cortendo Adds Two Late-Stage Assets to Its Rare Endocrine Disease Franchise and Announces Related $33.2 Million Financing
Cortendo Enters Into Agreements to Acquire Aspireo Pharmaceuticals' Somatoprim (DG3173) and In-License Antisense Therapeutics' ATL1103
Cortendo Expands Investor Base Through New Private Placement
May 15, 2015 – Göteborg, Sweden and Trevose, Pa., USA – Cortendo AB (publ) [ticker: CORT on NOTC-A], a biopharmaceutical company focused on rare endocrine disorders and other rare diseases, today announced that it has entered into an agreement to acquire Aspireo Pharmaceuticals’ Somatoprim (DG3173), an investigational compound being studied for the treatment of acromegaly. Cortendo also recently announced entering into an exclusive licensing agreement for commercialization rights to Antisense Therapeutics’ ATL1103 for endocrinology applications. Additionally, Cortendo today announced that it has entered into an agreement to raise approximately $33.2 million in a new private placement.
Acquisition of Aspireo Pharmaceuticals’ DG3173 for Acromegaly and Potential Additional Applications
Cortendo has entered into an agreement to acquire Aspireo Pharmaceuticals’ DG3173, a next-generation, somatostatin analog (SSA) with a unique receptor affinity profile, being investigated for the treatment of acromegaly, with potential additional applications in Cushing’s Syndrome and neuroendocrine tumors.
Under the terms of the acquisition agreement, Cortendo will provide Aspireo Pharmaceuticals approximately $30 million in Cortendo equity for Somatoprim (DG3173). The completion of the acquisition of Somatoprim (DG3173) is subject to, among other things, shareholder approval at the Annual General Meeting (AGM), which is scheduled to be held on or about June 24, 2015. This acquisition is expected to be completed shortly after the AGM.
In addition, as part of Cortendo’s related round of financing, TVM Capital, Aspireo’s primary shareholder, will purchase $4.25 million of Cortendo shares.
“The addition of two novel, late-stage investigational compounds for the treatment of rare endocrine disorders, DG3173 and ATL1103, coupled with our existing Phase 3 asset for endogenous Cushing’s Syndrome, COR-003, establishes the cornerstone of Cortendo’s rare endocrine disease franchise and demonstrates our commitment to becoming a leader in providing innovative therapeutic options to patients with rare diseases,” said Matthew Pauls, president and chief executive officer of Cortendo. “There are significant unmet needs in the diagnosis and treatment of both endogenous Cushing’s Syndrome and acromegaly, and we are passionate about the opportunity to simultaneously advance development of COR-003, DG3173 and ATL1103 and commence pre-commercialization activities, and to ultimately provide these patients and the physicians who treat them with novel therapeutic options,” Pauls added.
Locust Walk and Pelican Advisors acted as Cortendo’s and Aspireo Pharmaceuticals’ transaction advisors, respectively.
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So we got about 100mill more being a phase3 ready drug pfft no complaints here.
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