Corvus Pharmaceuticals Announces Co-Founding of Angel Pharmaceuticals in China

Corvus Pharmaceuticals today announced that it has entered into a strategic collaboration with Angel Pharmaceuticals that will enable the development and commercialization of its pipeline of precisely targeted investigational medicines in China.

Angel Pharmaceuticals is a new China-based biopharmaceutical company with a mission to bring innovative quality medicines to Chinese patients for treatment of serious diseases including cancer, autoimmune diseases and infectious diseases. It was formed as a Corvus wholly-owned subsidiary and was launched with a post-money valuation of $106 million, based on a $41 million cash investment from a Chinese investor group that includes funds associated with Tigermed and Betta Pharmaceuticals, Hisun Pharmaceuticals and Zhejiang Puissance Capital, which investments are subject to the satisfaction of certain customary conditions. Contemporaneously with the financing, Angel Pharmaceuticals licensed the rights to develop and commercialize Corvus’ three clinical-stage candidates – ciforadenant, CPI-006 and CPI-818 – in greater China and obtained global rights to Corvus’ BTK inhibitor preclinical programs. Under the collaboration, Corvus will initially retain a 49.7% equity stake in Angel Pharmaceuticals and will be entitled to designate three individuals on Angel’s five-person Board of Directors.

Richard A. Miller, M.D., president and chief executive officer of Corvus Said: The formation and launch of Angel Pharmaceuticals to develop our product pipeline in greater China opens a significant new opportunity for Corvus, We expect Corvus shareholders will benefit from this collaboration in two main ways: our ownership position in Angel in the rapidly growing Chinese biotech market, and the acceleration of our product development capabilities through the participation of patients in China. We believe Angel is positioned for success as a science-based Chinese biopharmaceutical company backed by an impressive group of investors with financial resources, and significant regulatory, drug development and commercialization experience. Their investment is strong validation of Corvus’ pipeline and its importance in addressing unmet needs in the Chinese and global markets. We have already begun working with the Angel leadership to initiate clinical trials in China with ciforadenant, CPI-006 and CPI-818 in cancer, autoimmune diseases and infectious diseases within the next 12 to 18 months. We believe that the expertise and development capabilities at Angel will accelerate and enhance Corvus’ global development capabilities.

Dr. Ted Wang, managing partner of Puissance Capital, co-founder and board member of Angel Pharmaceuticals Said: Dr. Miller is a world-renowned drug developer and he has built a first class management team at Corvus. The Angel team is fortunate to partner with Dr. Miller and his team on their novel product portfolio, which has demonstrated impressive results to date in the clinic, Angel is launching at an opportune time, benefiting from China’s explosive growth in demand for innovative medicines, reform in drug regulation and approvals, and change in IPO listing requirements specifically designed to encourage drug innovation.

“Our goal in launching Angel is to build a company that will have a long-term, positive impact on society. We have brought together a local team that is aligned with this mission and that is very experienced in the Chinese market, including expertise in research and development, clinical operations and regulatory affairs, business development, and intellectual property protection. By standing on the shoulders of Corvus, Angel can accelerate drug development and bring innovative medicines, including internally developed programs, to patients in China and globally faster.”

Strategic Rationale for Corvus

  • Establishes 49.7% ownership in a uniquely positioned biopharmaceutical company in the rapidly growing Chinese market.
  • Clinical study synergies and accelerated timelines, whereby data from patients enrolled in China studies could potentially be used as part of U.S. regulatory submissions as part of a global pivotal study protocol.
  • Research and development synergies, whereby Corvus will benefit from Angel’s research and development efforts and China’s deep pool of talented researchers.
  • Establishes collaboration with leading Chinese investors, biopharmaceutical companies and scientists with experience in regulatory affairs, clinical development, manufacturing and commercialization.

Launching with a Uniquely Positioned and Validated Oncology Pipeline

Angel Pharmaceuticals will be responsible for the clinical development and commercialization, including all related expenses, of the licensed pipeline programs in China, and for the pre-clinical BTK program globally. It plans to initiate clinical trials in China for ciforadenant, CPI-006 and CPI-818 in the next 12 to 18 months. In the United States, Corvus is planning to meet with the U.S. Food & Drug Administration (FDA) in December 2020 to discuss the study design and plans for a pivotal ciforadenant study in advanced refractory renal cell cancer (RCC) using the Adenosine Gene Signature as a biomarker. Angel Pharmaceuticals’ clinical trial activity in China is expected to be part of this global pivotal study. Angel Pharmaceuticals’ cash position at launch is expected to provide runway beyond its first two years. Such cash will not be available for uses by Corvus.

Strong Leadership Team, and Board of Directors

Angel Pharmaceuticals will have well-known, experienced local pharmaceutical executives with management experience in multinational companies in clinical, regulatory and research. At launch, the senior team includes seven leaders that hold a medical degree or Ph.D., and the company plans to expand its team with leading scientific talent in China. In addition, Dr. Miller, a co-founder of Angel, will serve as Chairman of the Board and interim chief executive officer, working closely with the founding leadership team.

The Angel Pharmaceuticals Board of Directors will initially be comprised of:

  • Richard Miller, chairman and chief executive officer of Corvus Pharmaceuticals
  • Leiv Lea, chief financial officer of Corvus Pharmaceuticals
  • Peter Thompson, Private Equity Partner with OrbiMed Advisors and co-founder and board member of Corvus Pharmaceuticals
  • Ted Wang, chief investment officer of Puissance Capital

Conference Call Details

Corvus will host a conference call and webcast today, Monday, October 5, 2020, at 8:30 a.m. ET (5:30 a.m. PT), to discuss the launch of Angel Pharmaceuticals. The conference call can be accessed by dialing 1-877-407-0784 (toll-free domestic) or 1-201-689-8560 (international) and using the conference ID 13711371. The live webcast may be accessed via the investor relations section of the Corvus website. A replay of the webcast will be available on Corvus' website for 90 days.

Source: Corvus Pharmaceuticals, Inc

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