VICTORIA, B.C., Nov. 7, 2022
/CNW/ - Eupraxia Pharmaceuticals Inc. ("Eupraxia" or the
"Company") (TSX: EPRX), a Phase 2 clinical-stage biotechnology
company with an innovative drug delivery technology platform, today
announced its unaudited financial results (prepared in accordance
with International Financial Reporting Standards or "IFRS") and
operational highlights for the third quarter ended September 30, 2022. All amounts are expressed in
Canadian dollars unless otherwise indicated.
"We continued to advance our innovative drug delivery technology
platform in the third quarter with the addition of a Phase
1b/2a trial of EP-104 in eosinophilic
esophagitis, or EoE," said Dr. James
Helliwell, CEO of Eupraxia. "EoE as a therapeutic target has
a potential Orphan Drug development pathway and this first
in-patient open-label study could offer interim readouts in advance
of our osteoarthritis Phase 2 trial top-line readout expected in Q2
2023."
Dr. Helliwell continued, "In addition, the Company continues to
advance additional opportunities for the exploitation of our
delivery technology and further expansion of our pipeline, with a
primary focus on oncology targets. In parallel with our ongoing
pipeline expansion, we recently announced the appointment of
Paul Brennan as Chief Business
Officer as we look to fully resource and fund each of our advancing
programs. We remain confident in the expanding potential of our
delivery technology and the design and rigour of our two ongoing
Phase 2 trials, and look forward to delivering on our upcoming
clinical milestones."
The Company anticipates that top-line data from its Phase 2
osteoarthritis ("OA") study will be available in the second quarter
of 2023. Eupraxia anticipates that data from its Phase 1b/2a, open-label eosinophilic esophagitis
("EoE") clinical study, will begin reading out in the first half of
2023.
Selected Operational and Financial
Highlights for the Third Quarter
- Advanced the ongoing Phase 2 clinical trial for EP-104 in OA,
which is enrolling patients at sites in Poland, the Czech
Republic and Denmark to
support completion of patient screening.
- Concluded the quarter ended September
30, 2022, with cash and short-term investments of
$30.0 million. The Company
anticipates its current cash will fund the business through to the
fourth quarter of 2023.
- Announced that it was awarded The Emerging Life Sciences
Company of the Year Award by Life Sciences British Columbia. The
Emerging Life Sciences Company of the Year Award is presented to an
early-stage life sciences company which, although not yet achieving
commercial success, has demonstrated outstanding performance, and
realized significant milestones from April
1st, 2021 – March
31st, 2022, and is positioned well for potential
future commercial success.
- Subsequent to quarter end, announced the appointment of
Paul Brennan to the role of Chief
Business Officer. Mr. Brennan will work closely with the executive
management team to secure partnership opportunities to help advance
the Company's pipeline of drug candidates.
- Subsequent to quarter end, and relative to the Phase 2 OA
trial, announced the completion of Data Safety Monitoring Board
reviews; the inclusion of patients with diabetes into the trial;
and the inclusion of Magnetic Resonance Imaging in the trial's
protocol.
- Subsequent to quarter end, announced the initiation of a Phase
2 trial of EP-104 in adult patients afflicted with EoE, a rare
disease that restricts the ability to swallow food and greatly
impacts quality of life.
Clinical Pipeline Discussion
Eupraxia now has two distinct clinical development programs, one
targeting chronic OA pain in the knee and the second targeting EoE.
Both programs are broadly based upon the same drug candidate
EP-104IAR. This injectable drug is dispensed together with a
"vehicle" specifically designed for the target and co-administered
with the active pharmaceutical ingredient ("API"). Although
using the same underlying API and extended-release formulation,
therapeutic targets may be differentiated by dosing levels, vehicle
and delivery methods (e.g intra-articular). All regulatory filings
to-date and communication from the Company have been made
referencing EP-104IAR. In the interest of providing greater
clarity for investors, the Company will drop the suffix IAR and
simply refer to the product candidate as EP-104 in conjunction with
the specific indication.
Third Quarter 2022 Financial
Review
The Company continued to enroll and dose patients in its
300-patient Phase 2 clinical trial of EP-104 for OA. Operating
expenses for the three months ended September 30, 2022 were $4.9 million, versus $5.1
million in the prior-year period. The slight decrease for
the third quarter, 2022, was primarily driven by lower general and
administrative costs during the period.
The Company incurred a net loss of $4.8
million for the three months ended September 30, 2022, versus $5.1 million for the quarter ended September 30, 2021. The decrease in net loss was
driven by lower general and administrative costs incurred during
the third quarter, 2022.
The Company had a cash and short-term investments balance of
$30.0 million as of September 30, 2022. Management believes it has
sufficient resources to fund the Company through to the fourth
quarter of 2023.
As of September 30, 2022, the
Company had 21,393,145 common shares issued and outstanding.
Financial Statements and
Management Discussion & Analysis
Please see the unaudited interim condensed consolidated
financial statements and related Management's Discussion &
Analysis ("MD&A") for more details. The unaudited interim
condensed consolidated financial statements for the quarter ended
September 30, 2022, and related
MD&A have been reviewed and approved by Eupraxia's Audit
Committee and Board of Directors. For a more detailed explanation
and analysis, please refer to the MD&A that has been filed
under the Company's profile on SEDAR at www.sedar.com and is also
available on the Company's website at www.eupraxiapharma.com.
About Eupraxia Pharmaceuticals
Inc.
Eupraxia is a clinical-stage biotechnology company focused on
the development of locally delivered, extended-release alternatives
to currently approved drugs. Each of Eupraxia's product candidates
has the potential to address therapeutic areas with high unmet
medical need and strives to provide improved patient benefit by
delivering targeted, long-lasting activity with fewer side
effects.
Eupraxia's lead product candidate, EP-104, is currently in Phase
2 development for the treatment of pain due to osteoarthritis of
the knee. The EP-104 platform has expanded into gastrointestinal
disease with the launch of a Phase 1b/2a program to treat eosinophilic esophagitis.
Eupraxia is also developing a pipeline of later- and earlier-stage
long-acting formulations. Potential pipeline indications include
candidates for both other inflammatory joint indications and
oncology, each designed to improve on the activity and tolerability
of currently approved drugs. For further details about Eupraxia,
please visit the Company's website at: www.eupraxiapharma.com.
Notice Regarding Forward-looking
Statements and Information
This news release includes forward-looking statements and
forward–looking information within the meaning of Canadian
securities laws. Often, but not always, forward–looking information
can be identified by the use of words such as "plans", "is
expected", "expects", "scheduled", "intends", "contemplates",
"anticipates", "believes", "proposes" or variations (including
negative and grammatical variations) of such words and phrases, or
state that certain actions, events or results "may", "could",
"would", "might" or "will" be taken, occur or be achieved. Forward
looking statements in this press release include statements
regarding the Company's business strategies and objectives,
including current and future plans and opportunities, expectations
and intentions; statements regarding the Company's Phase 2 clinical
trials; the ability of the Company to execute on its business
strategy; the Company having sufficient resources, including
anticipated funding from its current cash; the advancement of
opportunities stemming from the Company's delivery technology and
expansion of pipeline designs; the resourcing and funding of
programs; the expectations regarding Mr. Brennan and his role as
Chief Business Officer; potential partnership opportunities;
expected availability of data; expected trial timelines for data
readout; the potential of Eupraxia's product candidates; the
Company's expectations regarding its product designs, including
with respect to patient benefit, duration and effectiveness; the
results gathered from studies of Eupraxia's product candidates; the
potential for the Company's technology to impact the drug delivery
process; the competitive advantages of the Company's technology;
the benefits to patients from the Company's drug platforms; and the
translation of the Company's technologies and expansion of its
offerings into clinical applications.
Such statements and information are based on the current
expectations of Eupraxia's management, and are based on
assumptions, including but not limited to: future research and
development plans for the Company proceeding substantially as
currently envisioned; industry growth trends, including with
respect to projected and actual industry sales; the Company's
ability to obtain positive results from the Company's research and
development activities, including clinical trials; and the
Company's ability to protect patents and proprietary rights.
Although Eupraxia's management believes that the assumptions
underlying these statements and information are reasonable, they
may prove to be incorrect. The forward–looking events and
circumstances discussed in this news release may not occur by
certain dates or at all and could differ materially as a result of
known and unknown risk factors and uncertainties affecting
Eupraxia, including, but not limited to: the Company's limited
operating history; the Company's novel technology with uncertain
market acceptance; if the Company breaches any of the agreements
under which it licenses rights to its product candidates or
technology from third parties, the Company could lose license
rights that are important to its business; the Company's current
license agreement may not provide an adequate remedy for its breach
by the licensor; the Company's technology may not be successful for
its intended use; the Company's future technology will require
regulatory approval, which is costly and the Company may not be
able to obtain it; the Company may fail to obtain regulatory
approvals or only obtain approvals for limited uses or indications;
the Company completely relies on third parties to provide supplies
and inputs required for its products and services; the Company
relies on external contract research organizations to provide
clinical and non-clinical research services; the Company may not be
able to successfully execute its business strategy; the Company
will require additional financing, which may not be available; any
therapeutics the Company develops will be subject to extensive,
lengthy and uncertain regulatory requirements, which could
adversely affect the Company's ability to obtain regulatory
approval in a timely manner, or at all; the impact of the COVID-19
pandemic on the Company's operations; and other risks and
uncertainties described in more detail in Eupraxia's public filings
on SEDAR (www.sedar.com). Although Eupraxia has attempted to
identify important factors that could cause actual actions, events
or results to differ materially from those described in
forward–looking statements and information, there may be other
factors that cause actions, events or results to differ from those
anticipated, estimated or intended. No forward–looking statement or
information can be guaranteed. Except as required by applicable
securities laws, forward–looking statements and information speak
only as of the date on which they are made and Eupraxia undertakes
no obligation to publicly update or revise any forward–looking
statement or information, whether as a result of new information,
future events or otherwise.
SOURCE Eupraxia Pharmaceuticals Inc.