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Teva completes $13.5 million investment in Andromeda and receives a worldwide exclusive license to commercialize DiaPep277
Yavne, Israel | June 22, 2009 | Andromeda Biotech Ltd. (www.andromedabio.com), announced today that Teva Pharmaceutical Industries Ltd. (NASDAQ: TEVA) has decided to exercise its option to complete a $13.5 million investment and license Andromeda's DiaPep277 for the treatment of Type 1 diabetes. Pursuant to the agreements, Teva is receiving worldwide marketing rights for the DiaPep277 product.
"We are very pleased with Teva's decision to support the commercialization of DiaPep277 as our partner. This is a significant milestone which will greatly contribute to the clinical development of the product line and reduce the time in bringing it to the market," said Dr. Shlomo Dagan, CEO of Andromeda.
A Phase III Study using DiaPep277 for the treatment of newly diagnosed Type 1 diabetes patients is currently being conducted at 40 medical centers in Europe, South Africa and Israel. The study is the largest and most advanced study intended to treat Type 1 diabetes patients. Approximately 1% of the population is affected by Type 1 diabetes and currently, there is no treatment for the disease.
About Andromeda Biotech
Andromeda Biotech Ltd., a subsidiary of Clal Biotechnology Industries Ltd. (TASE: CBI), is focused on the development of an innovative treatment for autoimmune diabetes. Andromeda's DiaPep277, currently in Phase III Clinical Studies, is a novel therapeutic approach in treating Type 1 diabetes. It is a unique peptide derived from the human protein, HSP60, which immunomodulates the immune system, prevents the destruction of pancreatic cells that secrete insulin and preserves their natural function.
To date, there is no therapy capable of preventing the destruction of insulin secreting beta cells. Initially, DiaPep277 is designed to treat newly diagnosed Type 1 diabetes adult patients with residual insulin secreting cells. Other potential target populations are Type 1 diabetic children, patients with high risk of Type 1 diabetes and Type 1 diabetes patients with slow progressing disease. Type I diabetes affects approximately 1% of the world's population and the potential drug market for DiaPep277 is estimated by the company to be more than half a billion dollars per year.
SOURCE: Andromeda Biotech |
