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FLORHAM PARK, N.J. - Cellectar Biosciences, Inc. (NASDAQ:CLRB), a clinical-stage biopharmaceutical company with a market capitalization of $14.2 million, and Nusano have entered into a multi-year supply agreement for iodine-125 and actinium-225 radioisotopes, according to a press release statement issued Thursday. According to InvestingPro data, the company maintains a strong liquidity position with more cash than debt on its balance sheet.
The agreement will provide Cellectar with radioisotopes for its clinical studies and potential future commercial needs. These materials are essential components for the company’s radiotherapeutic pipeline, including its CLR-125 program for triple-negative breast cancer and CLR-225 for pancreatic cancer. While the company’s current ratio of 2.47 indicates strong short-term liquidity, InvestingPro analysis shows the company is rapidly burning through its cash reserves.
Nusano will produce the radioisotopes at its facility in Utah, which is designed to address supply chain challenges for rare medical radioisotopes.
"Securing a reliable supply of both iodine-125 and actinium-225 is a critical milestone in advancing our targeted radiotherapy programs," said James Caruso, chief executive officer of Cellectar. The company’s stock has experienced significant volatility, with shares down nearly 28% in the past week, though three analysts have recently revised their earnings estimates upward for the upcoming period.
Cellectar Biosciences is developing cancer treatments using its Phospholipid Drug Conjugate delivery platform. The company’s lead candidate, iopofosine I 131, has received Breakthrough Therapy Designation from the FDA.
The agreement comes as Cellectar prepares to initiate a Phase 1b clinical trial of CLR-125 for triple-negative breast cancer.
Radioisotopes are increasingly important in precision cancer treatment, with targeted radiotherapeutics delivering radiation directly to cancer cells while minimizing damage to healthy tissue.
The financial terms of the agreement were not disclosed in the announcement.
In other recent news, Cellectar Biosciences has announced several developments that may interest investors. The company reported a one-for-thirty reverse stock split of its common stock, which was approved by stockholders and implemented to reduce the number of outstanding shares from over 54 million to approximately 1.8 million. This reverse split was facilitated by Equiniti Trust Company and affects all stockholders uniformly. Additionally, Cellectar Biosciences disclosed initial results from its CLOVER-2 Phase 1 clinical trial, showing improved survival rates in pediatric patients with high-grade glioma treated with iopofosine I 131. The trial results indicated an average progression-free survival of 5.4 months and ongoing overall survival of 8.6 months for certain patients, compared to typical rates reported in medical literature.
Furthermore, Cellectar Biosciences has entered into agreements to raise $2.5 million through the sale of common stock, with proceeds allocated for general corporate purposes. The funding comes from the exercise of outstanding warrants at a reduced price, facilitated by Ladenburg Thalmann & Co. Inc. as the exclusive placement agent. In another significant development, the FDA has granted Breakthrough Therapy Designation for Cellectar’s iopofosine I 131 for treating relapsed/refractory Waldenstrom macroglobulinemia. This designation aims to expedite the drug’s development and review process due to its potential to improve treatment outcomes significantly. The company also highlighted promising data from the Phase 2 CLOVER WaM study, with an overall response rate of 83.6%. These recent advancements reflect Cellectar’s ongoing efforts to enhance cancer treatment options and may lead to further collaborations or partnerships in the future.
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