BioPharmX And Timber Pharmaceuticals Announce Entry into Merger Agreement
[caption id="attachment_9277" align="aligncenter" width="747"] Press Release[/caption]
SAN JOSE, Calif.?and?WOODCLIFF LAKE, N.J.,?Jan. 28, 2020?/PRNewswire/ --BioPharmX Corporation?(NYSE American: BPMX)?("BioPharmX") and Timber Pharmaceuticals LLC ("Timber"),?a privately held biopharmaceutical company focused on the development and commercialization of treatments for orphan dermatologic diseases, today announced that they have entered into a definitive merger agreement. Under the terms of the merger agreement, subject to the approval of BioPharmX's stockholders and Timber's members, a wholly-owned subsidiary of BioPharmX will be merged with and into Timber, with Timber surviving the merger as a wholly-owned subsidiary of BioPharmX. As a condition to the closing of the Merger, Timber has agreed to secure not less than?$20 million?of financing for the combined company. The Merger is currently expected to be completed in the second calendar quarter of 2020.?Upon completion of the Merger, BioPharmX will change its name to Timber Pharmaceuticals, Inc. and the officers and directors of Timber will become the officers and directors of BioPharmX.
"We are pleased to reach a merger agreement with BioPharmX, which provides us with the opportunity once the merger is completed to have our shares traded in the public market and to expand our investor base as we strategically build our pipeline in rare dermatologic diseases that have no approved treatments," said?John Koconis, chief executive officer of Timber. "This merger also expands our resources and expertise to build momentum in our development programs targeting new therapies for underserved patient populations living with some of the most serious conditions in medical dermatology."
"This transaction with Timber reflects the continued commitment of our management team and Board of Directors to deliver value to our stockholders," stated?David S. Tierney, M.D., chief executive officer of BioPharmX. "Following a comprehensive strategic process led by Locust Walk, a global life sciences transaction firm, we have determined that a merger with Timber and the?$20 million?financing they are bringing to the transaction, will enable BioPharmX stockholders to participate in Timber's broader pipeline of drugs to treat rare and orphan dermatological diseases and is in the best interest of our stockholders."
Timber is currently advancing a late-stage clinical development pipeline?in rare dermatologic diseases, comprising:
- TMB-001, a proprietary topical formulation of isotretinoin currently being evaluated in a Phase?2b?clinical trial for the treatment of moderate to severe subtypes of congenital ichthyosis (CI), a group of rare genetic keratinization disorders that lead to dry, thickened, and scaling skin. A prior Phase 1/2 study involving 19 patients with CI demonstrated safety and preliminary efficacy of TMB-001, as well as minimal systemic absorption. In 2018, the U.S. Food & Drug Administration (FDA) awarded?$1.5 million?to support clinical trials evaluating TMB-001 through its Orphan Products Grant program.
- TMB-002, a proprietary topical formulation of rapamycin currently being evaluated in a Phase?2b?clinical trial for the treatment of facial angiofibromas (FAs) in tuberous sclerosis complex (TSC), a multisystem genetic disorder resulting in the growth of hamartomas in multiple organs. TSC results from dysregulation in the mTOR pathway, and as a topical mTOR inhibitor, TMB-002 may address FAs in TSC without the systemic absorption of an oral agent.
- TMB-003, a proprietary formulation of sitaxsentan, a new chemical entity in the U.S., which is a selective endothelin-A receptor antagonist currently in preclinical development as a topical or subcutaneous agent for the treatment of localized scleroderma, a rare autoimmune connective tissue disorder (CTD) that leads to inflammation and thickening of the skin.