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Sonnet BioTherapeutics secures patent for cancer drug candidates

Published 06/11/2024, 13:38
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PRINCETON, NJ - Sonnet BioTherapeutics Holdings, Inc. (NASDAQ:SONN), a clinical-stage biotech firm, announced today the issuance of U.S. Patent No. 12,134,635 for its novel immunotherapeutic proteins SON-1411 and SON-1400, which are anticipated to advance cancer treatment options.

The patent, effective until June 2044, covers the company's proprietary fusion proteins that have been engineered to specifically target and modulate the immune system's response to cancer. SON-1411 and SON-1400 are designed to bind to the interleukin-18 receptor (IL-18Rc) while avoiding the inhibitory effects of the interleukin-18 binding protein (IL-18BP), which is known to dampen the immune response against tumors.

SON-1411 is a bifunctional fusion protein, integrating IL-18 with interleukin-12 (IL-12) on Sonnet's Fully Human Albumin Binding (FHAB) platform, which aims to extend the half-life and enhance the biological activity of these cytokines. SON-1400, on the other hand, is a monofunctional fusion protein that also utilizes the FHAB platform but without the addition of IL-12.

The FHAB technology is designed to deliver these therapeutic agents directly to the tumor microenvironment, potentially transforming 'cold' tumors that are typically unresponsive to the immune system into 'hot' tumors that are susceptible to immune attack. This approach could significantly improve the efficacy of immunotherapies for cancer patients.

Sonnet's CEO, Pankaj Mohan, Ph.D., remarked on the importance of this patent as a differentiator in the competitive landscape of cancer immunotherapy, especially considering the potential synergy between IL-18 and IL-12 in oncology applications.

The company's lead program, SON-1010, is currently in clinical trials in combination with Roche (LON:0QQ6)'s atezolizumab for the treatment of platinum-resistant ovarian cancer. Another candidate, SON-1210, is being prepared for a study targeting pancreatic cancer.

While the press release included forward-looking statements regarding the company's clinical trials and product development, it is important to note that these are subject to various risks and uncertainties. The information is based on a press release statement and reflects the company's current expectations for its drug candidates' potential in cancer treatment.

In other recent news, Sonnet BioTherapeutics has met Nasdaq listing requirements, regaining compliance with the minimum bid price rule. The company has also entered into a licensing agreement with Alkem Laboratories for the development and commercialization of SON-080 in India, addressing the need for neuropathy treatments. Additionally, Sonnet has secured preliminary approval to sell New Jersey State net operating losses and research and development tax credits, potentially raising up to $0.795 million.

Significant strides have been made in its clinical trials, reporting positive results from its Phase 1b clinical trial of SON-080, and advancing SON-1210, an immunotherapeutic for metastatic pancreatic cancer, in collaboration with the Sarcoma Oncology Center. The company has also enacted a one-for-eight reverse stock split and entered an agreement for the immediate exercise of warrants allowing the purchase of up to 2,828,500 shares of common stock at a reduced price.

In a move to enhance transparency, Sonnet introduced the CEO Corner, a communication platform providing shareholders with information on the company's progress and plans. These are the recent developments in Sonnet's ongoing efforts.

InvestingPro Insights

As Sonnet BioTherapeutics (NASDAQ:SONN) advances its novel immunotherapeutic proteins, investors should consider some key financial metrics and insights from InvestingPro. The company's market capitalization stands at a modest $2.74 million, reflecting its early-stage status in the biotech industry.

An InvestingPro Tip indicates that Sonnet holds more cash than debt on its balance sheet, which could be crucial for funding ongoing research and development efforts for SON-1411 and SON-1400. This financial cushion may provide some runway as the company works towards commercializing its patented technologies.

However, it's important to note that Sonnet is not currently profitable, with a negative gross profit of $6.33 million in the last twelve months as of Q3 2023. This is not unusual for clinical-stage biotech companies, which often prioritize research and development over immediate profitability.

The stock's recent performance has been challenging, with a 71.71% decline over the past six months. This volatility is often characteristic of early-stage biotech firms, whose valuations can fluctuate significantly based on clinical trial results and regulatory decisions.

For investors seeking a more comprehensive analysis, InvestingPro offers additional tips and insights. There are 11 more InvestingPro Tips available for Sonnet BioTherapeutics, which could provide valuable context for understanding the company's financial health and market position as it progresses with its innovative cancer treatments.

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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