Kalos Therapeutics prepares for public listing in Frankfurt via Reverse-Merger or traditional IPO
Kalos Therapeutics, Inc., announces that it has signed an agreement with GEM Global Yield LLC SCS ("GEM"), the Luxembourg based private alternative investment group, to provide Kalos Therapeutics, Inc. with up to Euro €55 Million over a 36-month term following the public listing of common stock. Kalos Therapeutics will use the funds to advance its three preclinical programs into clinical development and broaden the pipeline based on its proprietary, small peptide technology. "Kalos is positioned to move the first three drug candidates forward into clinical development, based on the agreement with GEM," announced George Colberg, Chief Executive Officer of Kalos Therapeutics.
Kalos Therapeutics will control the timing and a maximum number of drawdowns under this facility and has no minimum drawdown obligation. Concurrent with a public listing of Kalos Therapeutics' shares, Kalos Therapeutics will issue warrants to GEM to purchase up to 9.9% of the company's common stock.
Kalos Therapeutics anticipates a proof-of-concept study to be completed in canines and to leverage that data to advance the pancreatic cancer indication.
This approach will allow for revenue in the next 24-36 months from out-licensing agreements to allow the development of a canine cancer product in a virulent canine cancer with outcomes similar to human pancreatic cancer. This project's success will also provide ongoing revenue to Kalos Therapeutics in the form of royalties.
Kalos Therapeutics will, in parallel, advance its pancreatic cancer candidate, KTH-222, for which it has already secured an Orphan Drug designation, into clinical development and will explore its utility in treating Metastatic disease. Kalos will also seek to ensure an FDA-designated Breakthrough Therapy designation for the use of KTH-222 in other rare and orphan cancers.
Kalos further plans to develop therapeutics for use against COVID 19. Early data show its peptides' ability to block the virus's binding to its receptor on human cells. This activity can inhibit infectivity or reduce the severity of symptoms in those who are infected. Also, this mechanism shows promise to be more effective
than vaccines when treating immunocompromised patients and could be more resistant to being circumvented by virus mutations.
"We are very excited to advance this unique technology, which has shown much promise in basic research studies, into clinical development," stated Dr. Michael R. Kozlowski, CSO for Kalos Therapeutics. "And we look forward to seeing it used to help patients suffering from a number of serious diseases." About GEM
Global Emerging Markets (“GEM”) is a $3.4 billion, alternative investment group with offices in Paris, New York, and Los Angeles. GEM manages a diverse set of investment vehicles focused on emerging markets and has completed over 400 transactions in 70 countries. Each investment vehicle has a different degree of operational control, risk-adjusted return, and liquidity profile. The family of funds and investment vehicles provide GEM and its partners with exposure to: Small-Mid Cap Management Buyouts, Private Investments in Public Equities and select venture investments. For more information: http://www.gemny.com
About Kalos Therapeutics
Kalos is devoted to treating the unmet needs of people living with incurable diseases while doing so with less toxic and debilitating side effects commonly associated with chemotherapies. Kalos has utilized its learnings in cancer to begin work developing a new therapeutic to treat patients infected with the Covid-19 virus and its mutations. Kalos believes that by leveraging nature and all of the body's mechanisms, they have created new, safer approaches to cancer and diseases that affect the eye as well. Kalos has several applications for animal health based on both its eight amino acid and a 15 amino acid drug KTV-111. Kalos aims to treat dangerous and debilitating diseases and improve the quality of life for the patient and their families.
Certain of the matters discussed in this announcement contain forward-looking statements that involve material risks to and uncertainties in the Company's business that may cause actual results to differ materially from those anticipated by the statements made herein. Such risks and uncertainties include risks related to licensing arrangements and joint ventures, including the need to negotiate the definitive agreements for the relationships; possible failure to realize anticipated benefits of business relationships; and, costs of providing funding to these business relationships. Other risks and uncertainties relating to the Company include, among other things, current negative operating cash flows and a need for additional funding to finance our operating plan; the terms of any further financing, which may be highly dilutive and may include onerous terms; unexpected costs and operating deficits, and lower than expected sales and revenues; uncertain willingness and ability of customers to adopt new technologies and other factors that may affect further market acceptance; adverse economic conditions; adverse results of any legal proceedings; the volatility of our operating results and financial condition; inability to attract or retain qualified senior management personnel, including sales and marketing personnel; our ability to establish and maintain the proprietary nature of our technology through the patent process, as well as our ability to possibly license from others patents and patent applications necessary to develop products; the Company's ability to implement its long range business plan for various applications of its technology; the Company's ability to enter into agreements with any necessary marketing and/or distribution partners and with any strategic or joint venture partners; the impact of competition; the obtaining and maintenance of any necessary regulatory clearances applicable to applications of the Company's technology; management of growth; and, other risks and uncertainties. This is not a solicitation to buy or sell securities and does not purport to be an analysis of the Company's financial position.