Orgenesis Announces Collaboration with Hemogenyx to Develop Blood Stem Cell Replacement Product

Orgenesis Inc. announced it has entered into a collaboration agreement with Hemogenyx Pharmaceuticals Plc (LSE: HEMO) to collaborate on the development and commercialization of Hemogenyx’s Human Postnatal Hemogenic Endothelial (Hu-PHEC) technology. Hu-PHEC is a cell replacement product candidate that is being designed to generate cancer-free, patient-matched blood stem cells after transplantation into the patient.

According to the terms of the agreement, Orgenesis shall manufacture and supply all Hu-PHEC related products both during and following completion of clinical trials. Orgenesis shall also receive the worldwide rights to market the products and shall serve as a global distributor of Hemogenyx’s Hu-PHEC related products.

In consideration for the license, Orgenesis and/or its affiliates will advance to Hemogenyx a convertible loan in an amount of no less than $1.0 million for advancing the development of the Hu-PHEC technology. Orgenesis shall also pay a royalty of 12% of Orgenesis’ net revenues resulting from the sale or licensing of products involving the use of Hemogenyx’s Hu-PHEC technology.

Vered Caplan, Chief Executive Officer, stated, “We are excited to expand our collaboration with Hemogenyx, as this Hu-PHEC technology addresses a sizable and underserved market. Sadly, for patients suffering from diseases such as leukemia and lymphoma, as well as severe autoimmune diseases, a bone marrow transplant is often necessary. However, this procedure also carries risks of toxicity and death. Through this novel platform, our goal is to develop cancer-free hematopoietic stem cells (HSC) for use in transplants to treat blood cancers and other conditions with superior results. We look forward to building upon the expertise we developed the past few years, including transdifferentiation and manufacturing of liver cells, as we expand into development and industrialization of additional products.”

Dr. Vladislav Sandler, CEO & Co-Founder of Hemogenyx, commented: “As a company committed to the discovery and development of novel therapeutic products for patients suffering from blood and severe autoimmune diseases, we are pleased to partner with Orgenesis, a premier service provider in the regenerative medicine industry and a pioneer in cell reprogramming. The collaboration agreement is a testimony of the value of Hemogenyx’ Hu-PHEC technology.”