PlantForm Corporation launches $20M private equity offering to advance three biosimilar drug candidates
Legacy Partners Wealth Strategies engaged to raise funds through private placement of common shares by projected closing date of February 15, 2015
GUELPH, Ont., January 26, 2015—PlantForm Corporation announced today that it has launched a $20-million round of funding to advance its biosimilar Herceptin® (trastuzumab) drug candidate into clinical trials and to begin preclinical development and testing of two additional biosimilar candidates. PlantForm has engaged Legacy Partners Wealth Strategies Inc. (LPWS) as an agent to present the offering of common shares to institutional and accredited investors in Ontario, British Columbia, Alberta, Saskatchewan and Manitoba. The projected closing date is on or before February 15, 2015.
“PlantForm is a leading innovator in plant technology for the low-cost production of high-value antibody and protein drugs,” said Dr. Don Stewart, PlantForm’s President and CEO. “Our technology has received important validation through several drug development contracts and agreements with the Government of Canada (Defence Research and Development Canada, National Research Council of Canada), the Gates Foundation, the U.S. Defense Advanced Research Projects Agency, the U.S. Army Medical Research Institute of Infectious Diseases as well as a leading biotechnology company.
“With this round of funding, we will advance into clinical trials of our biosimilar trastuzumab drug candidate for the treatment of breast cancer and proceed with preclinical development of two additional biosimilar cancer drugs.”
“PlantForm has a unique, patented process that produces biosimilar drugs for as little as 10% of the cost of conventional methods,” said Douglas Haydock, President and CEO of LPWS. “This is an opportunity for investors to participate in the growth of the company in its formative years as it prepares to help fight some of the world’s biggest and most urgent diseases, including breast cancer, HIV/AIDS, and Ebola.”
Over the past 18 months, PlantForm has achieved a number of key milestones, including:
a $2-million equity investment from U.K.-based Atlantic Assets Trust and $0.5-million in equity investment from a rights offering
Government of Canada support for a feasibility study on the production of Ebola (Sudan) virus drugs in collaboration with U.S. Army Medical Research Institute of Infectious Diseases
an $0.8-million contract with the Government of Canada to create stable glyco-modified Nicotiana benthamiana plant lines for the production of pharmaceutical proteins and continued supply of recombinant butyrylcholinesterase (BuChE) to Defence Research and Development Canada (BuChE is an antidote to nerve agent exposure)
two U.S. patents awarded for an innovative drug candidate (a plant-produced antidote to cobra toxin) – a total of four families of patents have been filed to date
establishment of a joint venture with PharmaPraxis of Brazil to develop, manufacture and commercialize biosimilar and/or biobetter versions of six key biopharmaceuticals for the Brazilian market, using PlantForm’s low-cost manufacturing system.
PlantForm intends to use the proceeds of the offering for product manufacturing and execution of a Phase I human clinical trial for its biosimilar trastuzumab drug candidate. The balance of the financing will be directed to Phase III trial manufacturing of biosimilar trastuzumab material (a Phase II trial is not required for biosimilar drugs), preclinical development of two more cancer-fighting biosimilar drugs (including efficacy studies), and general operating and capital expenditures.
Specific particulars relating to the transaction are available through an Offering Memorandum.
PlantForm is a Canadian biotech company with a low-cost proprietary manufacturing platform for a wide range of plant-made pharmaceuticals, including monoclonal antibodies, therapeutic proteins and vaccines for the treatment of cancer, HIV/AIDS, Ebola and other life-threatening illnesses. The company’s vivoXPRESS™ technology uses genetically modified tobacco plants to ‘grow’ biopharmaceuticals in fully contained greenhouse environments, while significantly lowering the cost of goods compared to industry standard fermentation systems for biopharmaceutical production. Learn more.
Legacy Partners Wealth Strategies Inc. (LPWS) is a forward-looking wealth management and financial services firm with its corporate values firmly anchored in the successful industry business models and traditions of the past. We are a true partnership of experienced and credible industry professionals, all of whom have been invited to join the enterprise, contributing their talent, their values, their intellectual capital and their energy and commitment. Legacy Partners is dedicated to helping accredited investors build their wealth responsibly through high quality investment opportunities. As an Exempt Market Dealer (EMD) regulated by the Ontario Securities Commission (OSC), Legacy Partners is licensed in Ontario, Manitoba, Saskatchewan, Alberta and British Columbia. In British Columbia, LPWS operates as LPWS Legacy Partners Wealth Strategies Inc. LPWS can promote and sell investments to Canadian clients residing in these jurisdictions. International investors interested in projects offered by our firm may do so once LPWS is able to confirm that their resident jurisdiction permits such activity.
For more information, please contact:
Certain information in this news release may contain forward-looking statements. This information is based on current expectations that are subject to risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. Neither the Company nor the Agent (Legacy Partners Wealth Strategies Inc.) assume an obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements unless and until required by securities laws applicable to the Company or the Agent. These offerings may be subject to potential risks associated with the investment, including market, liquidity and investment return risk. Please consult the offering documents for further information regarding these potential risks. Using borrowed money to finance the purchase of securities involves greater risk than a purchase using cash resources only. If you borrow money to purchase securities, your responsibility to repay the loan and pay interest as required by its terms remain the same even if the value of the securities purchased declines. In order to be eligible for subscription in these offerings, individuals must satisfy the criteria required for Accredited, Eligible and/or Sophisticated investors as described in the Offering Memorandum and subscription agreement.
NOTE: THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO QUEBEC, NEW BRUNSWICK, NOVA SCOTIA, PRINCE EDWARD ISLAND, NEWFOUNDLAND, THE TERRITORIES OR THE UNITED STATES.