MannKind Expands Its Pipeline with the Acquisition of QrumPharma, Inc.
December 07 2020 - 8:20AM
MannKind Corporation
(Nasdaq:
MNKD) today announced that it has acquired
QrumPharma, Inc., a privately held pharmaceutical company
developing inhalation treatments for severe chronic and recurrent
pulmonary infections, including Nontuberculous Mycobacterial (NTM)
lung disease.
“We have focused on building a stronger pipeline
to treat unmet needs for orphan lung diseases, an area where we can
leverage our experience and technology to create differentiated
therapeutic products,” said Michael Castagna, Chief Executive
Officer of MannKind. “This acquisition brings us a lead program
that is expected to enter Phase 1 in late 2021. In addition, our
combined capabilities have the potential to create a dry powder
formulation that will enable patients suffering from NTM to have a
much more positive treatment experience. We are also very excited
to add the QrumPharma development team to our roster of talent,
with their deep expertise of inhaled drug delivery.”
In connection with the acquisition, Thomas
Hofmann, M.D., Ph.D. will transition from CEO of QrumPharma to
Chief Scientific Officer of MannKind Corporation. Dr. Hofmann has
over 20 years of experience in inhaled drug development for cystic
fibrosis and anti-infectives, including two FDA-approved drugs. In
2015, Dr. Hofmann was the recipient of the Milton Graub Medical
Recognition Award from the Cystic Fibrosis Foundation.
“My team and I are thrilled to be joining forces
with the MannKind development team,” said Dr. Thomas Hofmann. “I
look forward to leveraging MannKind’s best-in-class technology to
bring new therapies to patients with orphan lung diseases.”
NTM lung disease is a serious chronic condition
associated with a reduction of lung function and quality of life.
It is estimated that 75,000-105,000 people in the U.S. were
diagnosed in 2018 and the NTM population is growing 8% per year,
with women, senior citizens and people with underlying lung
conditions at greater risk. QrumPharma’s lead program (QRM-003) is
focused on an inhaled, nebulized formulation of clofazimine, which
would provide several clinical advantages over the current solid
oral dosage form. The U.S. Food and Drug Administration has
designated QRM-003 as both an orphan drug and a qualified
infectious disease product (QIDP) for the treatment of pulmonary
nontuberculous Mycobacterial infections.
MannKind purchased all of the outstanding
capital stock of QrumPharma for consideration consisting of $3.5
million in cash and 3,067,179 shares of MannKind common stock,
subject to adjustment for cash on hand, unpaid indebtedness, unpaid
transaction expenses, net working capital, and other liabilities of
QrumPharma. In addition, the selling stockholders of QrumPharma
will be entitled to contingent payments in the event that products
based on QrumPharma’s intellectual property generate net sales that
exceed specified thresholds.
Locust Walk served as an advisor to
MannKind.
About
MannKind
Corporation
MannKind Corporation (Nasdaq: MNKD) focuses on
the development and commercialization of inhaled therapeutic
products for patients with endocrine and orphan lung diseases.
MannKind is currently commercializing Afrezza® (insulin human)
Inhalation Powder, its first FDA-approved product and the only
inhaled ultra rapid-acting mealtime insulin in the United States,
where it is available by prescription from pharmacies nationwide.
MannKind is headquartered in Westlake Village, California, and has
a state-of-the art manufacturing facility in Danbury, Connecticut.
The Company also employs field sales and medical representatives
across the U.S. For further information, visit
www.mannkindcorp.com.
Forward-Looking Statements
This press release contains forward-looking
statements that involve risks and uncertainties. Words such as
"believes," "anticipates," "plans," "expects," "intends," "will,"
"goal," "potential" and similar expressions are intended to
identify forward-looking statements. These forward-looking
statements are based upon MannKind's current expectations. Actual
results and the timing of events could differ materially from those
anticipated in such forward-looking statements as a result of
various risks and uncertainties detailed in MannKind's filings with
the SEC. For a discussion of these and other factors, please refer
to MannKind’s annual report on Form 10-K for the year ended
December 31, 2019 as well as MannKind’s other filings with the SEC.
You are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date of this
press release. All forward-looking statements are qualified in
their entirety by this cautionary statement, and MannKind
undertakes no obligation to revise or update any forward-looking
statements to reflect events or circumstances after the date of
this press release.
Company
Contact:818-661-5000ir@mannkindcorp.com
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