A month and a half after multidisciplinary biomed company OPKO Health Inc. (NYSE: OPK; TASE: OPK) signed a deal to sell marketing rights for its improved growth hormone to drug giant Pfizer, the company announced today that it is submitting a request to begin clinical trials for another product, based on the same technological platform - an enhanced drug for the treatment of hemophilia. If approved, the product will enter phase II clinical trials directly.
The two drugs both have origins at Israel’s Prolor Biotech, which Opko acquired under the management of Phillip Frost (former Teva chairman), a year and a half ago. Hemophilia is a genetic disease, characterized by blood clotting problems, which can be life threatening in the case of a bleeding wound, internal or external. Opko says that, today, hemophiliacs need multiple, repeated injections of clotting agents to treat a bleeding wound, and there are some patients who receive regular injections their whole lives, or for their entire childhoods, to prevent complications in the case of injury. The product that is currently entering trails is meant to reduce the number of injections necessary in both these situations.
Animal trials showed an increased survival rate among animals treated with the product. Opko acquired Israeli Prolor in the summer of 2013, for $560 million in Opko shares.
Prolor develops drugs with a “tail” attached, which delays the breakdown of the molecule in the blood, which extends the life of the drug, making it possible to inject it less frequently.
Opko sold the rights to its leading product, a growth hormone, which is in phase III clinical trials, for $295 million in cash, plus $275 in milestone payments and potential royalties. When the product is approved for children as well, the deal will switch to a revenue-sharing model. The companies announced the final closing of the deal today.
Following these two announcements, Opko’s shares jumped 5.3% on the Tel Aviv Stock Exchange (TASE), and the company, which is developing a broad range of additional products, is trading at a market cap of NIS 20.2 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on February 1, 2015
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