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Tuesday, October 2, 2018

Janssen Terminates Collaboration Deal with Aduro Biotech


Janssen Biotech, a Johnson & Johnson company, informed Aduro Biotech that it was terminating its research and license deals related to Aduro’s Listeria treatment for cancers.
The original deal was launched on October 13, 2014 and later amended on November 11, 2015. Under the deal, Aduro gave Janssen an exclusive, worldwide license to research, develop, manufacture, sell and “otherwise exploit” products that have ADU-214, ADU-741 and GVAX Prostate. The terms of the agreement provided Aduro with up to $365 million in upfront license fees and milestone payments, some of which have been paid out. The deal had a potential value of $766 million with high single-digit to low teen royalties. So far, Aduro had received a $30 million upfront payment and a $21 million milestone payment.
Aduro’s LADD platform uses live-attenuated double-deleted Listeria monocytogenes strains of bacteria engineered to stimulate an innate immune response and to express tumor-associated antigens that stimulate tumor-specific T cell-mediated immunity. Its GVAX is a family of vaccines made up of human cancer cell lines genetically modified to secrete granulocyte-macrophage colony-stimulating factor (GM-CSF), an immune-stimulatory cytokine. The GVAX portfolio includes vaccines for pancreatic, prostate, colon and breast cancers in addition to multiple myeloma.
Overall, Aduro has three specific tech platforms, all designed to exploit the body’s natural immune system. They are LADD, TING and the B-select monoclonal antibody platform.
On June 7, Aduro initiated a Phase Ib clinical trial of ADU-214 in combination with Opdivo (nivolumab) to treat advanced lung cancer. ADU-214 is based on the LADD tech platform. Janssen was conducting the global trial.
The trial was designed to evaluate the safety and efficacy of ADU-214 in combination with Bristol-Myers Squibbs PD-1 immune checkpoint inhibitor, Opdivo (nivolumab). The trial was focused on patients with mesothelin-positive, relapsed/refractory Stage IIIB or Stage IV adenocarcinoma of the lung.
At the time, Stephen T. Isaacs, chairman, president and chief executive officer of Aduro stated, “Based on single agent data from a Phase I dose-escalation study in patients with advanced-stage relapsed or refractory non-small cell lung presented at the 2017 International Association for the Study of Lung Cancer’s World Conference, Janssen made the decision to advance ADU-214 in combination with an anti-PD-1 checkpoint inhibitor. The initial data demonstrated that five out of nine patients treated with single-agent ADU-214 achieved a best response of stable disease, with one patient having received 25 cycles of treatment at the time of data cut off.”
According to Aduro’s 8-K filing with the United States Securities and Exchange Commission (SEC), the termination will be effective on December 24, 2018.
Although the Janssen partnership appears to be over, Aduro still has existing deals with NovartisMerckJohns Hopkins University and the University of California, Berkeley (CAL)for its products targeting the STING pathway. STING is a central mediator of innate immunity. When stimulated, it causes the expression of type I interferon, cytokines and T cell recruitment factors, which then active macrophages and dendritic cells, natural killer (NK) cells, and prime tumor-specific T cells.

Intersect ENT strength attributed to Sinuva appearance on Anthem drug list


Intersect ENT’s (XENT) Sinuva nasal implant appears on Anthem’s (ANTM) national drug list, which is being pointed to as the reason for the stock’s early strength, according to contacts. Intersect ENT shares are up about 5% to $30.08 in early trading.
https://thefly.com/landingPageNews.php?id=2798559

Bausch unit announces publication of Phase 3 data on Bryhali Lotion


Ortho Dermatologics and its parent company, Bausch Health Companies, announced that the Journal of Drugs in Dermatology has published results of two Phase 3 randomized controlled trials examining the safety and efficacy of BRYHALITM Lotion, 0.01%, an investigational potent to superpotent** corticosteroid, in the treatment of moderate-to-severe plaque psoriasis. BRYHALI Lotion has a Prescription Drug User Fee Act action date of October 5, 2018. In the studies, BRYHALI Lotion was consistently more effective than vehicle in achieving treatment success, which was defined as at least a two-grade improvement from baseline in an Investigator Global Assessment score, and ‘clear’ or ‘almost clear’ skin. By week eight, 36.5% and 38.4% of BRYHALI Lotion patients had achieved treatment success, compared to 8.1% and 12% of patients receiving vehicle. At four weeks post treatment, no rebound of symptoms was observed in patients using BRYHALI Lotion. BRYHALI Lotion was also found to be well-tolerated, with a similar number of patients in the BRYHALI Lotion and vehicle groups reporting adverse events (21.5% and 23.9%, respectively). The most common adverse reactions were upper respiratory tract infection, application site dermatitis and hyperglycemia. The U.S. Food and Drug Administration has accepted the New Drug Application for BRYHALI Lotion with a Prescription Drug User Fee Act action date of October 5, 2018.

Pacira price target raised to $49 from $45 at Canaccord


Canaccord analyst Dewey Steadman maintained a Hold rating on Pacira Pharmaceuticals (PCRX) and raised his price target to $49 from $45. Recently reported IQVIA monthly data for August show a major acceleration of volume and revenue growth vs. a year ago as well as substantial alignment in growth trends with Symphony Health data, Steadman tells investors in a research note. Longer term, however, he remains concerned about the potential advent of competition from Heron’s (HRTX) HTX-011 with what some consider to be a superior clinical data set to Exparel, and expects Pacira shares could be rangebound for the near future following strong recent performance.

Assembly Biosciences to present on Phase 1 study at liver disease confab


Assembly Biosciences announced that the company will have an oral presentation of the full data set from the Phase 1b study of ABI-H0731 at the upcoming American Association for the Study of Liver Diseases, or AASLD. The oral presentation at AASLD will review final results of the Phase 1b study in patients with chronic hepatitis B, or HBV infection, including safety, tolerability and pharmacokinetics of ABI-H0731, as well as quantitative changes in HBV DNA, RNA and viral antigens. ABI-H0731 was safe and well tolerated, with dose dependent antiviral effects at doses ranging from 100 to 400 mg given orally once daily, and RNA declines paralleled the observed DNA declines. The company presented interim results of the study at the Annual Meeting of the European Association for the Study of the Liver, or EASL.

Bio-Techne price target raised to $230 from $210 at Argus


Argus analyst David Toung raised his price target on Bio-Techne to $230 and kept his Buy rating, saying the company appears to be on track for ongoing “solid” revenue growth thanks to the domestic and international demand for its products. The analyst is also positive on Bio-Techne’s continued expansion through acquisitions such as its recent purchase of Quad Technologies, producing advanced reagents for clinical and research use, and Exosome Diagnostics, marketing a noninvasive liquid biopsy diagnostic test for prostate cancer. Tough further cites the company’s internal development, including its “recent initiative to advance cell and gene therapy research and ex vivo cell processing”.

Jefferies sees Intercept moving higher after ‘mixed’ Gilead data


Jefferies analyst Michael Yee views Gilead Sciences’ (GILD) new six-month nonalcoholic steatohepatitis data as “mixed and undifferentiated.” As such, he thinks shares of Intercept Pharmaceuticals (ICPT) probably continue to move higher. The stock is likely to retrace back up into year-end and the first half of 2019 as Street realizes Intercept’s Phase III will be positive and de-risked, Yee tells investors in a research note. He says the company has had various competitor Farnesoid X receptor data in Phase I/II read out over the past year or and that these have ended up not too differentiated. This has removed some of the competitive overhang on Intercept, the analyst contends. Yee keeps a Buy rating on the shares with a $135 price target.