UroGen acquires oncolytic virus, expands cancer treatment options

PRINCETON, N.J. - UroGen Pharma Ltd. (NASDAQ: URGN), a biotech company focused on urothelial and specialty cancers trading at $10.82 per share, has announced the acquisition of a novel oncolytic virus, ICVB-1042, from IconOVir Bio, Inc., as well as the initiation of strategic research collaborations to explore the potential of its RTGel technology in enhancing the effectiveness of various immunotherapies. The company, which boasts impressive gross profit margins of 90%, has demonstrated strong revenue growth of 15.6% over the last twelve months, according to InvestingPro data.

The acquisition, completed on February 14, 2025, involved UroGen issuing approximately $4.0 million in ordinary shares and agreeing to future milestone payments and royalties to IconOVir. This move is part of UroGen’s strategy to develop locally administered therapies for bladder cancer and other specialty cancers. With a current market capitalization of $457 million and a healthy current ratio of 9.0, the company appears well-positioned to fund its strategic initiatives, though InvestingPro analysis indicates rapid cash burn remains a key consideration for investors.

ICVB-1042 is designed to activate the immune system within the tumor microenvironment and selectively destroy cancer cells, potentially offering a significant advancement in bladder cancer treatment beyond the traditional Bacillus Calmette-Guérin (BCG) therapy.

UroGen’s President and CEO, Liz Barrett, emphasized the importance of this strategic investment in addressing unmet needs in cancer treatment and strengthening the company’s oncology leadership. Mark Schoenberg, M.D., UroGen’s Chief Medical (TASE:BLWV) Officer, highlighted the unique attributes of ICVB-1042 and the company’s eagerness to develop it as a new localized cancer treatment option.

The company also aims to leverage its proprietary RTGel technology, a reverse-thermal hydrogel-based platform, to improve the therapeutic profiles of existing drugs by enabling longer exposure to medications in the urinary tract.

UroGen’s management team will further discuss the company’s long-term growth strategy in a live conference call and webcast today.

This expansion and collaboration underscore UroGen’s commitment to innovation in cancer treatment, with the potential to offer more effective therapeutic options for patients. The information is based on a press release statement from UroGen Pharma Ltd. For investors seeking deeper insights, InvestingPro offers comprehensive analysis including 8 additional ProTips and a detailed Fair Value assessment, along with expert research reports covering over 1,400 US stocks including URGN.

In other recent news, UroGen Pharma Ltd. has shared promising developments regarding its cancer treatments. The company reported long-term study results for its FDA-approved JELMYTO, showing a median duration of response of nearly four years for patients with low-grade upper tract urothelial cancer (LG-UTUC). This data, published in The Journal of Urology, underscores JELMYTO’s potential for sustained disease control. Additionally, results from a separate study highlighted that 68% of patients remained free of disease recurrence at three years, indicating potential benefits of maintenance therapy. UroGen is also advancing its investigational drug UGN-102, which demonstrated a 79.6% complete response rate at three months in a Phase 3 study for low-grade intermediate-risk non-muscle-invasive bladder cancer. The company has completed a rolling New Drug Application submission to the FDA for UGN-102, with a decision expected by mid-2025. These findings emphasize the company’s commitment to developing treatments for complex urological conditions, as it continues to gather real-world data through the JELMYTO uTRACT Registry.

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