May 27, 2014
Inovio Pharmaceuticals, Inc. today announced that its 90%-owned subsidiary, VGX Animal Health, Inc. (VAH), has concluded an agreement for the sale of its animal health assets to Plumbline Life Sciences, Inc. (PLS) of Korea. The assets being transferred include an exclusive license with Inovio for animal applications of its growth hormone-releasing hormone (GHRH) technology and animal DNA vaccines plus a non-exclusive license to Inovio electroporation delivery systems. VGX Animal Healthwill receive $2 million in cash in multiple payments and 20% of the outstanding shares of PLS. VAH’s 20% equity ownership position in PLS will be maintained without dilution up to $10 million of additional equity fundraising by PLS. Inovio Pharmaceuticals will receive milestone payments and royalties on product sales. Inovio retains the human applications of its GHRH technology.
Dr. J. Joseph Kim , President and CEO, said, “Inovio is sharply focused on its human immunotherapy products, consequently we own promising assets that are not being allocated appropriate resources. Our animal GHRH product candidates have notably improved cancer-related morbidity in dogs and increased herd productivity in livestock animals. We are pleased to monetize these assets with a deal that will result in a committed development of these products and market opportunities.”
About Plumbline Life Sciences, Inc.
PLS is a venture capital-backed animal health company based in Seoul, Korea, a strategic location in the fast-growing Asian market. The PLS management team includes experienced biotech managers from the US and Koreaas well as a former manager of Korea Development Bank. More information about PLS can be found at www.plumblinels.com.
About Inovio Pharmaceuticals, Inc.
Inovio is revolutionizing vaccines to prevent and treat today’s cancers and challenging infectious diseases. Its SynCon® vaccines, in combination with its proprietary electroporation delivery, are generating best-in-class immune responses, with therapeutic T-cell responses exceeding other technologies in terms of magnitude, breadth, and response rate. Human data to date have shown a favorable safety profile. Inovio’s lead vaccine, a therapeutic against HPV-caused pre-cancers and cancers, is in phase II. Other phase I and preclinical programs target prostate, breast, and lung cancers as well as HIV, influenza, malaria and hepatitis. Partners and collaborators include Roche, the University of Pennsylvania, NIH, HIV Vaccines Trial Network, National Cancer Institute, U.S. Military HIV Research Program, US Dept. of Homeland Security, and University of Manitoba. More information is available at www.inovio.com.