BEVERLY, MA--(Marketwire - July 26, 2010) - Cellceutix Corporation (OTCBB: CTIX) is pleased to announce that it has selected Destum Partners to assist in finding a development partner for its psoriasis compound, KM-133. Cellceutix management has carefully evaluated which direction to take in the development of KM-133 and has concluded that this is the best way to create shareholder value.
In a human xenograft animal model of psoriasis, KM-133 reduced psoriasis significantly more than controls. Psoriasis did not recur with KM-133 during the entire 180 day course of the experiment, whereas psoriasis reoccurred in the groups treated with methotrexate, a drug commonly used for the treatment of severe psoriasis, after an average of 61 days. The effectiveness demonstrated by KM-133 in these studies, if confirmed in human trials, would position the compound in a very large market. According to a report published by Research and Markets, the psoriasis market for the seven (7) major markets in 2008 was US $2.5 billion and is projected to grow at a compound annual growth rate of 3.4% through 2018.
KM-133 is also an attractive compound as it may be eligible for an abridged FDA approval process that would allow the compound to go directly into human trials. Cellceutix believes the significant cost savings and accelerated timing with the elimination of pre-clinical testing coupled with the strong data previously collected will make KM-133 a very desirable compound for potential partners.
"This decision is ultimately a consequence of the strength of our pipeline," said George Evans, CEO of Cellceutix. "With our primary focus on the impending IND filing for Kevetrin™ and our work on KM-391 for autism, our board determined that this approach is the best way to increase value for our shareholders. We selected Destum because of their deep experience in the dermatology space and their excellent recent track record in concluding development deals."
Gareth Lugg, Managing Director and Co-Founder of Destum Partners commented, "We are very pleased that Cellceutix selected us for this project. Although Cellceutix is a small company, the strength of their compounds in development is extraordinary." Mr. Lugg continued, "Our extensive experience in the dermatological industry has us very bullish on the partnership potential for this compound." Destum Partners has extensive advisory experience both in the dermatology and autoimmune therapeutic areas. They have worked with companies such as Collagenex and Pfizer specifically focused on dermatology. Most recently, Destum Partners completed a partnering agreement on behalf of Diamyd Medical AB with OMJPI a division of Johnson and Johnson for the treatment and prevention of Type I Diabetes -- an autoimmune disease. Diamyd received an upfront payment of US $45 million, and has the potential to receive US $580 million in milestone payments.
About Psoriasis:
According to the National Institutes of Health (NIH), as many as 7.5 million Americans (125 million worldwide) have psoriasis making it one of the most prevalent autoimmune diseases in the U.S. affecting all ages of both sexes. Additionally, studies show that between 10 and 30 percent of people with psoriasis also develop psoriatic arthritis.
Psoriasis greatly affects the quality of life of those with the disease; especially those with moderate to severe psoriasis. Nearly 60 percent of people with psoriasis reported their disease to be a large problem in their everyday life making psoriasis much more than a "cosmetic problem." It is estimated that the total direct and indirect health care costs of psoriasis for patients are calculated at $11.25 billion annually, with work loss accounting for 40 percent of the cost burden.
For a more complete description of KM-133, please visit our Company's website at www.cellceutix.com.
About Cellceutix
Cellceutix Corporation is a preclinical cancer, autism and anti-inflammatory drug developer. Cellceutix owns the rights to eight drug compounds, including Kevetrin, which it is developing as a treatment for certain cancers, KM-391, which it is developing for autism, and KM-133, which it is developing for the treatment of psoriasis. More information is available on the Cellceutix web site at www.cellceutix.com.
About Destum Partners
Based in Charlotte, NC, Destum Partners is a boutique consulting firm designed to effectively meet the analytics and partnering demands of the biopharmaceutical and life science sectors. Destum serves an exclusive clientele dedicated to pushing the boundaries of technology innovation to improve the quality of life of humanity. Their clients range from multinational pharmaceutical corporations to private early stage biotechnology companies. More information is available on the Destum Partners web-site at www.destumpartners.com.
This Press Release contains forward-looking statements that are based on our current expectations, beliefs and assumptions about the industry and markets in which Cellceutix Corporation operates. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause Cellceutix's actual results to be materially different from any future results expressed or implied by these statements. Actual results may differ materially from what is expressed in these statements, and no assurance can be given that Cellceutix can successfully implement its core business strategy and improve future earnings.
The factors that may cause Cellceutix's actual results to differ from its forward-looking statements include: Cellceutix's current critical need for additional cash to sustain existing operations and meet ongoing existing obligations and capital requirements; Cellceutix's ability to implement its new product development and commercialization, enter into clinical trials, expand the intellectual property portfolio, and receive regulatory approvals in a timely and cost-effective manner. All forward-looking statements are also expressly qualified in their entirety by the cautionary statements included in Cellceutix's SEC filings, including its quarterly reports on Form 10-Q and its annual report on Form 10-K.
Kevetrin, KM-133 and KM-391 have not been studied in humans at this time. The Company's positive results in animal studies do not necessarily guarantee success in humans, though they may form the basis for beginning Phase 1 trials.
