Santhera and Idorsia, both pharmaceutical companies from the canton Basel-Landschaft, have entered into an agreement for an option for the exclusive sub-license of Idorsia’s steroid Vamorolone, announced Santhera in a statement. The drug developed to treat Duchenne muscular dystrophy (DMD) is currently undergoing a Phase IIb study for approval. Following the release of the trial results, Santhera will acquire the option to license Vamorolone in all countries worldwide except Japan and South Korea.
“Vamorolone is a highly promising drug candidate for the treatment of patients with DMD and a perfect strategic fit alongside idebenone,” commented Thomas Meier, Chief Executive Officer of Santhera, in the statement. “Our late-stage DMD drug portfolio covers a broad DMD patient spectrum, irrespective of genetic background, disease stage or age.”
For entering into the agreement, Idorsia will receive one million in new registered shares from Santhera’s existing authorized share capital and an upfront cash component of 20 million US dollars. The agreement will make Idorsia the largest shareholder in Santhera with a 13.3 per cent equity position.
To finance the initial payment of 20 million dollars, Santhera is proposing an ordinary share capital increase via an extraordinary general meeting on December 11. It will propose an ordinary capital increase of up to 3.5 million registered shares with a nominal value of 1 Swiss franc each.
“Through an ordinary capital increase in a public offering in Switzerland and private placements to certain qualified institutional investors outside Switzerland to be effected by way of an accelerated bookbuilding (ABB)”, Santhera plans to raise approximately 50 million francs of gross proceeds, according to a second statement.