EyeGate Pharma Announces Acquisition of Panoptes Pharma
EyeGate Pharmaceuticals announced the acquisition of Panoptes Pharma, a privately-held clinical stage biotech company focused on developing a novel proprietary small molecule for the treatment of severe eye diseases with a high unmet medical need.
EyeGate Pharmaceuticals will pay up to $4 million for Panoptes, consisting of EyeGate common stock, EyeGate preferred stock and cash. Additionally, $1,500,000 in consideration is held back and will be issued in EyeGate preferred stock after a period of 18 months. The transaction also includes two cash or share earn-out provisions, each calling for an additional payment of up to $4,750,000 contingent upon 1) the enrollment and randomization of a first patient into the first phase 3 pivotal study of any Panoptes ophthalmic product with the FDA, and 2) an approval of a new drug application (NDA) by the FDA with respect to any Panoptes ophthalmic product.
Upon close, Panoptes will become a wholly owned subsidiary of EyeGate.
The acquisition transforms EyeGate’s pipeline with the addition of PP-001, a next-generation, non-steroidal, immuno-modulatory, small molecule inhibitor of Dihydroorotate Dehydrogenase (DHODH) with potential best-in-class picomolar potency. PP-001 was rationally designed to overcome the off-target side effects and safety issues associated with DHODH inhibitors, a validated drug class with broad potential in inflammatory, viral and oncology indications. First-in-class in ophthalmology, PP-001 has been developed in two clinical-stage ophthalmic formulations: PaniJect, an intravitreal injection for inflammatory diseases of the eye including posterior uveitis with phase 1b/2a safety and efficacy data; and PaniDrop, an eye drop for viral conjunctivitis and dry eye disease with completed phase 1 safety data. In addition, a clinical-stage intravenous (IV) formulation of PP-001 is being evaluated as an antiviral and the company intends to soon complete development of an oral formulation for neurological and autoimmune indications.
“The acquisition of Panoptes propels the EyeGate pipeline forward to include a de-risked clinical-stage candidate with broad potential across a diverse range of ocular, autoimmune and neurological indications,” Stephen From, Chief Executive Officer of EyeGate, said in a company news release. “While DHODH inhibitors have been successfully developed for a range of autoimmune conditions, their utility has been limited due to tolerability and safety concerns. We believe PP-001, with potential best-in-class specificity and potency, has overcome these limitations to deliver this validated mechanism in inflammatory diseases of the eye as well as diseases beyond the ophthalmic space. With promising clinical safety and efficacy data in hand, and ophthalmic formulations to target indications with a medical need on the ocular surface and the back-of-the-eye, we are poised to begin a robust clinical program for PP-001.”
Mr. From continued, “In addition to this transformative asset, we are also pleased to welcome Panoptes cofounders Dr. Franz Obermayr and Dr. Stefan Sperl to the EyeGate management team, whose proven track records and extensive experience executing on clinical development strategies will enable our rapid advancement into indications outside of ophthalmology. I am confident this strengthened team positions the new EyeGate to maximize the clinical potential of PP-001 as a best-in-class immunomodulator, while also complementing our existing pipeline of late-stage ocular assets which together have the potential to address significant unmet needs and large market opportunities.”
Dr. Franz Obermayr, co-founder and Chief Executive Officer of Panoptes, and EVP Clinical Development of EyeGate, said, “This acquisition by EyeGate, a clinical-stage public company with an ophthalmology focus, is testament to the Panoptes team’s success in developing our novel and highly innovative products. I look forward to joining the EyeGate team to unlock the clinical potential of PP-001 across a diverse set of indications with high unmet medical need.”