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SIGA Technologies secures rights to monoclonal antibodies

Published 22/10/2024, 12:46
SIGA
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NEW YORK - SIGA Technologies, Inc. (NASDAQ: SIGA), a company specializing in infectious disease therapeutics, has announced an exclusive licensing agreement with Vanderbilt University for a portfolio of monoclonal antibodies (mAbs) targeting orthopoxviruses, such as smallpox and mpox. This development, announced today, builds on SIGA's expertise in combating infectious diseases, particularly orthopoxviruses.

The licensed mAbs, still in the preclinical phase, have shown potential in early models and could be used as standalone treatments or alongside SIGA's antiviral medicine, TPOXX®. The agreement grants SIGA the rights to develop, manufacture, and commercialize these antibodies globally.

Dr. James Crowe, Jr., the Vanderbilt University Medical Center scientist behind the mAbs, expressed enthusiasm for the collaboration with SIGA, emphasizing the significance of advancing these treatments amidst recurring poxvirus outbreaks.

The U.S. Department of Defense is supporting the mAbs' development through Phase 1 clinical trials, reflecting the government's interest in expanding its arsenal against orthopoxviruses.

SIGA's CEO, Diem Nguyen, underscored the strategic nature of the licensing deal, noting its alignment with the company's long-term growth objectives. Nguyen highlighted SIGA's established clinical development capabilities and partnerships with U.S. government agencies as advantages in bringing these potential therapies to market.

The financial specifics of the transaction have not been disclosed. SIGA, known for its antiviral drug TPOXX® approved for smallpox treatment in the U.S. and Canada and authorized for mpox and other related diseases in Europe and the UK, continues to focus on addressing severe infectious diseases.

Investors should note that this announcement contains forward-looking statements, which are subject to various risks and uncertainties. These include potential delays in product development and the need for further approvals, among others.

This report is based on a press release statement and aims to provide an unbiased overview of SIGA Technologies' latest business move in the field of infectious disease treatment.

In other recent news, SIGA Technologies reported a significant Q2 2024 revenue growth, reaching $21 million, driven by TPOXX deliveries to the Department of Defense and 11 international clients. The company also secured a $9 million Department of Defense contract for TPOXX procurement, marking the third such contract in recent years, with outstanding orders totaling approximately $154 million. Additionally, SIGA Technologies announced a milestone commercial sale of its antiviral medication TPOXX to Morocco, marking the company's first such transaction on the African continent.

On the executive front, SIGA Technologies announced amendments to the employment agreements of CFO Daniel J. Luckshire and Chief Scientific Officer Dr. Dennis E. Hruby, shifting their compensation towards long-term incentives. The company also reported the termination of Dr. Jay Varma, the Executive Vice President and Chief Medical Officer.

In terms of research and development, SIGA Technologies is progressing with clinical trials for a new monkeypox strain, aiming to file a supplemental New Drug Application by 2025. Preliminary data from a trial named PALM 007 indicated potential benefits of tecovirimat, an antiviral drug, for certain patient groups, despite not meeting its primary endpoint. These are among the recent developments at SIGA Technologies.

InvestingPro Insights

SIGA Technologies' recent licensing agreement for monoclonal antibodies aligns well with its strong financial position and growth trajectory. According to InvestingPro data, SIGA boasts a robust revenue growth of 76.9% over the last twelve months as of Q2 2024, with an impressive quarterly revenue growth of 271.05% in Q2 2024. This financial strength provides a solid foundation for the company to invest in new therapeutic developments.

InvestingPro Tips highlight that SIGA "holds more cash than debt on its balance sheet" and has "liquid assets exceed short term obligations." These factors suggest that the company is well-positioned to fund the development of the newly licensed mAbs without significant financial strain.

The company's profitability is also noteworthy, with an operating income margin of 59.39% and a return on assets of 49.52%. An InvestingPro Tip points out that SIGA has been "profitable over the last twelve months," which bodes well for its ability to sustain investment in new treatment options.

Despite these positive indicators, it's worth noting that the stock has "fared poorly over the last month," with a 1-month price total return of -18.39%. However, the YTD price total return stands at a strong 31.89%, suggesting overall positive momentum for 2024.

For investors seeking a deeper understanding of SIGA's potential, InvestingPro offers 8 additional tips, providing a comprehensive view of the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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