GAITHERSBURG, Md., Nov. 5, 2014 /PRNewswire/ -- GenVec, Inc. GNVC, +1.46% today announced that the company has achieved a milestone in its collaboration with Novartis for the development of treatments for hearing and balance disorders. Novartis has dosed the first patient in a clinical study to assess the safety, tolerability, and efficacy of intra-labyrinthine (IL) CGF166 in patients with severe hearing loss. Under the terms of the collaboration agreement this triggers a $3 million milestone payment to GenVec.
"We are very excited about the initiation of this clinical trial," said Douglas E. Brough, Ph.D., GenVec's Chief Scientific Officer. "At every step of the study, key safety and efficacy data will be carefully monitored and evaluated and we expect to learn a great deal about the potential of CGF166 to restore hearing and balance function in the coming months."
"There are currently limited options and no drugs approved to treat hearing loss, and this trial is an important step in the development of a first-in-class therapy," said Douglas J. Swirsky, GenVec's President and CEO. "This milestone payment will enhance GenVec's operating runway as we continue our efforts to form additional collaborations and effectively exploit the potential of our proprietary technology."
About the Collaboration
In January 2010, GenVec entered into a worldwide licensing and collaboration agreement with Novartis to discover and develop novel treatments for hearing loss and balance disorders. Under the terms of the agreement, if certain clinical, regulatory, and sales milestones are met, GenVec is eligible to receive up to $213.6 million, including upfront and milestone payments, in addition to royalties on future sales.
GenVec is a clinical-stage biopharmaceutical company focused on leveraging its adenovector gene delivery platform to develop a pipeline of cutting-edge therapeutics and vaccines. The company is a pioneer in the design, testing and manufacture of adenoviral-based product candidates that can deliver on the promise of gene-based medicine. Current GenVec partners and collaborators include leading organizations such as Novartis and the U.S. Government. The company also licenses its proprietary technology platform, including vectors and production cell lines, for the development and manufacture of therapeutics and vaccines to the biopharmaceutical industry. GenVec's lead program, in the field of regenerative medicine, is licensed to Novartis for the development of novel treatments for hearing loss and balance disorders. Additional information about GenVec is available at www.genvec.com and in the company's various filings with the Securities and Exchange Commission.
Statements herein relating to future financial or business performance, conditions or strategies and other financial and business matters, including with respect to the continued development of CGF166 and receipt of milestone payments, if any, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. GenVec cautions that these forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Factors that may cause actual results to differ materially from the results discussed in the forward-looking statements or historical experience include risks and uncertainties, such as adverse clinical results, adverse regulatory actions or the decision of Novartis for any reason not to advance GenVec's hearing loss and balance disorders program. Further information on the factors and risks that could affect GenVec's business, financial conditions and results of operations, are contained in GenVec's filings with the U.S. Securities and Exchange Commission (SEC), which are available at www.sec.gov. These forward-looking statements speak only as of the date of this press release, and GenVec assumes no duty to update forward-looking statements.
Contact: GenVec, Inc.
SOURCE GenVec, Inc.