ImmuPharma PLC (LON: IMM), the specialist drug discovery and development company provides an update in relation to its discussions with Incanthera Limited on its Nucant cancer programme.
On 7 September 2018, ImmuPharma announced that it had signed Heads of Terms with Incanthera, a specialist oncology company, and that it had invested £2m into Incanthera for a (circa.) 16% shareholding.
In addition, ImmuPharma granted Incanthera a period of exclusivity until 31 December 2018, during which it was expected to finalise the terms of a Definitive Licence Agreement for the Nucant technology. In consideration for this exclusivity period, ImmuPharma was granted warrants to subscribe for 363,637 ordinary shares in Incanthera at any time over a period of 5 years. The warrants have an exercise price of £5.50 per share, for an aggregate exercise value of £2 million. The terms of the Definitive Licence Agreement were expected to include, inter alia, (i) Incanthera paying a licence payment to ImmuPharma of £1m, with this payment to be made via the issuance of new ordinary shares in Incanthera; (ii) that Incanthera will be responsible for all of the development costs for the Nucant programme; and (iii) all future commercialisation revenues will be shared equally between the two companies.
A subsequent announcement on 31 December 2018 extended the exclusivity period to 31 March 2019.
The Company and Incanthera have to date not concluded the Definitive Licence Agreement. The exclusivity period has now expired and ImmuPharma is free, should it wish, to discuss collaborations with other parties for the Nucant cancer programme. Notwithstanding the expiry of the exclusivity period, discussions with Incanthera are continuing in good faith for a broader collaboration.
There can be no guarantee that any agreement will be reached with Incanthera on a broader collaboration.
If an agreement is reached, the Company will make a further announcement.