Cubist Announces Exclusive Option to Acquire Adynxx
Posted on February 25, 2013
Cubist Pharmaceuticals, Inc. (NASDAQ: CBST) and Adynxx, Inc. announced today that they have entered into an option agreement under which Cubist has the exclusive right to acquire Adynxx following the data readout of Adynxx's Phase 2 trial for its lead product candidate, AYX1.
Adynxx, a privately held, clinical-stage pharmaceutical company focused on developing novel analgesic therapies, is studying AYX1 as a potential treatment for the reduction of acute pain and prevention of persistent and chronic pain following surgery. The current Phase 2 study is designed to assess the ability of a single administration of AYX1 at the time of unilateral total knee arthroplasty to reduce movement evoked pain, as well as improve the rate and extent of functional recovery. AYX1 targets EGR1 which is a key transcription factor in the establishment of pain that is rapidly induced after painful stimuli or injury.
"This option agreement with Adynxx is an example of our disciplined efforts to expand our acute care pipeline, consistent with our Building Blocks of Growth goals," said Steven Gilman, Executive Vice President, Research & Development and Chief Scientific Officer of Cubist. "We are impressed with the pre-clinical and Phase 1 results to date of AYX1 and believe this program has the potential to become an important, new therapy that may help patients to address the significant issue of post-surgical and chronic pain. We are pleased to continue to advance AYX1 through this mutually beneficial agreement which provides Cubist exclusive rights to acquire Adynxx in the future."
Added Rick Orr, Chief Executive Officer of Adynxx, "We believe AYX1 has the potential to revolutionize the treatment of post-surgical pain. Based on the growing need for new pain therapies that offer more than temporary symptom relief, Adynxx is committed to developing AYX1 as rapidly and robustly as possible. Given Cubist's proven expertise in the hospital setting, this agreement maximizes our chances of bringing this transformative therapy to market."
Pursuant to the agreement, Cubist will pay Adynxx to secure the option right. Cubist will fund the consideration with cash on hand. If Cubist exercises its right to acquire Adynxx, Cubist will make additional payments to the Adynxx stockholders.
Cubist Pharmaceuticals, Inc. is a biopharmaceutical company focused on the research, development, and commercialization of pharmaceutical products that address significant unmet medical needs in the acute care environment. Cubist is headquartered in Lexington, Mass. Additional information can be found at Cubist's web site at www.cubist.com.
Adynxx, Inc., located in San Francisco, California, is a clinical stage pharmaceutical company developing a transformative technology platform addressing pain at its molecular roots – preventing the development of pain following surgery or trauma and resolving established chronic pain syndromes. Adynxx's unique approach is to transform pain management by approaching pain as a disease rather than a symptom. Adynxx is funded exclusively by Domain Associates, LLC. For more information, visit www.adynxx.com.
Cubist Safe Harbor Statement
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Any statements contained herein which do not describe historical facts, including but not limited to, statements regarding: (i) the potential for Cubist to ultimately acquire Adynxx and the anticipated strategic benefit to Cubist of any such acquisition; (ii) the therapeutic potential of AYX1 for post-surgical and chronic pain; and (iii) the ability of Adynxx to successfully continue to develop AYX1, are forward-looking statements which involve risks and uncertainties that could cause actual results to differ materially from those discussed in such forward-looking statements.
Such risks and uncertainties include, without limitation: that we do not control the execution of the current Phase 2 trial, which will be managed and executed by Adynxx; that drug discovery and development is an uncertain, complex, time-consuming and expensive process that is fraught with risk and a high rate of failure; general risks related to drug development, including adverse side effects or safety issues; the potential that the Phase 2 clinical program for AYX1 will not yield positive results or support further development of AYX1; the scope and validity of patent protection for AYX1; manufacturing issues related to the production of AYX1; and those additional factors discussed in our most recent quarterly report on Form 10-Q filed with the Securities and Exchange Commission. We caution investors not to place considerable reliance on the forward-looking statements contained in this press release. These forward-looking statements speak only as of the date of this document, and we undertake no obligation to update or revise any of these statements.
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Cubist Pharmaceuticals Contacts
Cubist Pharmaceuticals, Inc.
Eileen C. McIntyre, 781-860-8533
Senior Director, Investor Relations
Cubist Pharmaceuticals, Inc.
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Senior Director, Corporate Communications
Ian Stone, 619-308-6541