Munich, 13 July 2017. WILEX AG (ISIN DE000A11QVV0 / WL6 / FSE) today published its financial report for the first six months of 2017 (1 December 2016 - 31 May 2017).
Dr Jan Schmidt-Brand, CEO and CFO of WILEX AG, commented: “The first half of 2017 was a successful period for us operationally. We signed two key license agreements and achieved a highly important milestone shortly after the end of the reporting period by entering into an agreement with a major pharmaceutical company - Takeda - for the application of our ATAC technology. This collaboration is an excellent validation of our ATAC technology since Takeda has broad expertise in oncology and is a leading ADC company. With a potential total value of up to USD 339 million plus royalties, this collaboration offers us a great opportunity. This important contract covers up to three biological targets, leaving us sufficient opportunities to enter into other similar collaborations as well as continue our internal development efforts. We were also successful on the financing front. We utilized a portion of the EUR 10 million financial commitment made by our main shareholder dievini to conduct a rights issue in May, generating proceeds of just under EUR 5.0 million.”
Key events in the first six months of 2017
- Successful due diligence and contract negotiations lead to a collaboration with Takeda: WILEX’s subsidiary Heidelberg Pharma signed an exclusive research and option agreement for ATAC technology with Takeda Pharmaceutical Company Limited in June. Under the terms of the research agreement, Heidelberg Pharma will produce Antibody Targeted Amanitin Conjugates (ATACs) using antibodies from Takeda’s proprietary portfolio for up to three targets. Takeda has an option for an exclusive license for global development and commercialization rights to each of the product candidates resulting from the research collaboration. If it exercises the option, Takeda would be responsible for further preclinical and clinical development, as well as potential commercialization, of any product candidate it licenses.
Upon signing the contract, Heidelberg Pharma received an upfront technology access fee in the third quarter and will receive payments for the research services to be provided. In the event Takeda exercises its option for an exclusive license, Heidelberg Pharma is entitled to receive an option fee for each product candidate. Under the exclusive license agreement, Heidelberg Pharma would be eligible to receive clinical development, regulatory and sales-related milestone payments of up to USD 113 million for each product candidate, as well as royalties. The effects of this collaboration on WILEX’s financial results will be seen in the third quarter and were included in the 2017 guidance.
- Worldwide license agreement signed for REDECTANE(R) diagnostic antibody: In January 2017, WILEX AG signed an exclusive license agreement for the worldwide development and commercialization of the diagnostic antibody REDECTANE(R) (INN: 124I-Girentuximab) with Telix Pharmaceuticals Limited, Melbourne, Australia (Telix). In accordance with the terms of the agreement, WILEX received an upfront payment and could receive milestone payments totaling up to USD 3.7 million. In addition, WILEX is eligible to receive royalties on global net sales of REDECTANE(R) if the collaboration is successful. Telix is responsible for all development costs, as well as manufacturing and commercialization costs.
The agreement also covers radiotherapy applications of the Girentuximab antibody. Telix plans to develop a therapeutic radioimmunoconjugate program based on the Lutetium-177-labeled Girentuximab antibody. The agreement also provides for WILEX to receive royalties if a therapeutic product developed by Telix is ultimately granted marketing approval.
