Titan Pharmaceuticals Announces Sale of Certain ProNeura Assets
27 July 2023 - 9:30PM
Titan Pharmaceuticals, Inc. (NASDAQ: TTNP) ("Titan" or the
"Company") today announced that it has entered into an Asset
Purchase Agreement (the “Agreement”) with Fedson, Inc., a Delaware
Corporation (“Fedson”), for the sale of certain ProNeura assets
including Titan’s portfolio of drug addiction products, in addition
to other early development programs based on the ProNeura drug
delivery technology. The Company’s addiction portfolio consists of
the Probuphine and Nalmefene implant programs.
Under the terms of the Agreement, Fedson will
purchase the ProNeura assets from Titan for an upfront purchase
price of $2 million ($1 million at closing, $1 million to be held
in escrow pending completion of certain conditions) with potential
milestone payments to Titan of up to $50 million on future net
sales of the products. Titan would also receive single digit
royalties on future net sales of the products. Additionally, Fedson
will assume all liabilities related to a pending employment claim
against Titan. The transaction is expected to close 10 days
following signing of the Agreement.
“This transaction provides the opportunity for
two much-needed products for the treatment of Opioid Use Disorder
to continue, with the potential return of Probuphine as an
available treatment option and the possible continuation of the
development of the Nalmefene product, and allows Titan to renew our
focus on extracting value from our principal asset, TP-2021 for the
treatment of pruritus,” commented Kate Beebe DeVarney,
Ph.D., President and Chief Operating Officer of Titan
Pharmaceuticals.
“We are pleased to announce the sale of these
potentially lifesaving assets to Fedson,” stated David E. Lazar,
Chief Executive Officer of Titan Pharmaceuticals. “The injection of
this upfront non-dilutive capital, with the potential for future
milestone and royalty payments not only strengthens our current
balance sheet but provides future upside potential. This
transaction is in line with our focus to evaluate all options to
enhance shareholder value.”
About Titan Pharmaceuticals
Titan Pharmaceuticals, Inc. (NASDAQ: TTNP),
based in South San Francisco, CA, is a development stage
company developing proprietary therapeutics with its
ProNeura® long-term, continuous drug delivery technology. The
ProNeura technology has the potential to be used in developing
products for treating a number of chronic conditions, where
maintaining consistent, around-the-clock blood levels of medication
may benefit the patient and improve medical outcomes.
In December 2021, Titan commenced a process to explore and
evaluate strategic alternatives to enhance shareholder value.
Forward-Looking Statements
This press release may contain "forward-looking
statements" within the meaning of Section 27A of the Securities Act
of 1933 and Section 21E of the Securities Exchange Act of 1934.
Such statements include, but are not limited to, any statements
relating to our product development programs and any other
statements that are not historical facts. Such statements involve
risks and uncertainties that could negatively affect our business,
operating results, financial condition and stock price. Factors
that could cause actual results to differ materially from
management's current expectations include those risks and
uncertainties relating to our ability to raise capital, the
regulatory approval process, the development, testing, production
and marketing of our drug candidates, patent and intellectual
property matters and strategic agreements and relationships. We
expressly disclaim any obligation or undertaking to release
publicly any updates or revisions to any forward-looking statements
contained herein to reflect any change in our expectations or any
changes in events, conditions or circumstances on which any such
statement is based, except as required by law. A complete
discussion of the risks and uncertainties that may affect Schmitt's
business, including the business of its subsidiary, is included in
"Risk Factors" in the Company's most recent Annual Report on Form
10-K as filed by the Company with the Securities and Exchange
Commission.
Media & Investor Contacts:
Kate Beebe DeVarney, Ph.D.
President and Chief Operating Officer (650) 989-2268
Titan Pharmaceuticals (NASDAQ:TTNP)
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