Catalyst Receives $1.5M in Milestones

Catalyst Biosciences has received $1.5 million in milestone payments following the completion of two triggering events for its neuronal nicotinic receptor (NNR) asset TC-6499, sold in Oct. 2016. 

The first milestone payment of $500,000 was received following dosing of the first patient in a clinical trial for TC-6499, and a second milestone payment of $1 million was received for the dosing of the first patient in a Phase 2 clinical trial with TC-6499.

“We are very pleased with the continued clinical development of the TC-6499 NNR program,” said Nassim Usman, Ph.D., president and chief executive officer of Catalyst. “Although not central to our mission of developing hematology treatments, the continued development of these NNR programs may provide Catalyst with further non-dilutive financing to make additional investments in our non-clinical pipeline programs, specifically our next generation Factor Xa for hemostasis and our anti-C3 protease for dry AMD. Our clinical programs for our Factor VIIa and Factor IX candidates are well funded through our recent $115 million financing in February 2018.”

In Oct. 2016, Catalyst entered into a definitive agreement to sell TC-6499, one of its legacy neuronal nicotinic receptor (NNR) assets that was under development by Targacept prior to its 2015 reverse merger with Catalyst. The divestiture provided an upfront payment to Catalyst of $750,000 and after receipt of the $1.5 million, Catalyst may additionally receive up to a total of $35.5 million in development, regulatory and commercial milestone payments along with tiered mid-single digit net sales royalties and double-digit percentage sub-license fees.