Sources inform ''Globes'' that Israeli oncology research start-upBioCancell Therapeutics Ltd. is set to make an IPO on the Tel Aviv Stock Exchange (TASE) in which it aims to raise NIS 24-28 million. The underwriters for the IPO will be Clal Finance Underwriting, Altshuler Shaham Mutual Funds Management Ltd, Leader Underwriters (1993) Ltd. and Leumi & Co. Investment House Ltd. The institutional tender will held this Thursday, in which institutional investors will be offered 50% of the shares to be issued. The company has not confirmed the report.
BioCancell was founded by Professor Avraham Hochberg, of the Hebrew University of Jerusalem and the technology was licensed from Yissum Technology Transfer Company of the Hebrew University of Jerusalem. Yissum was the first investor in the company and currently holds a 36% stake. The rest of the finance came from private investors. Former Yissum CEO Avi Barak now serves as company chairman, while Atox-Bio CEO and former Teva department manager Uri Danon is president. BioCancell is currently in Phase I clinical trials for approval by the US Food and Drug Administration (FDA).
The team at professor Hochberg’s laboratory has discovered a gene called H-19 gene called H-19 which is the first oncofetal gene ever discovered that is present at high levels in human cancer tissues, while existing at a nearly undetectable level in the surrounding normal tissues but present in 33 different types of tumor cell. In an interview with “Globes” several months ago, Hochberg explained that BioCancell has developed a DNA-based drug that enters the cancer cell and creates the toxin diphtheria. The treatment works by entering and focusing solely on cancerous cells.
In its preliminary clinical trial, BioCancell did not experiment on healthy participants, but proceeded to testing directly on cancer patients, that is to say, it bypassed clinical trial Phase I and proceeded directly to Phase IIa. The company said several months ago that it needed $6-9 million to complete Phase II for treatment of bladder cancer, which is probably why it is organizing the upcoming IPO. BioCancell has so far raised $3.3 million.
Published by Globes [online], Israel business news - www.globes.co.il - on July 26, 2006
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