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CAMBRIDGE, Mass. - Vor Bio, Inc. (NASDAQ:VOR), a clinical-stage biotech company currently trading at $0.54 per share, has secured exclusive rights to develop and commercialize telitacicept outside Greater China, the company announced Wednesday in a press release statement. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 3.88, though it faces significant cash burn challenges.
The agreement with RemeGen Co., Ltd. (HKEX:9995, SHA:688331) involves an initial payment of $125 million, consisting of a $45 million upfront payment plus $80 million in warrants. The deal also includes potential regulatory and commercial milestones exceeding $4 billion, along with tiered royalties. This strategic move comes as Vor Bio’s stock has shown significant volatility, with InvestingPro reporting a 48.64% return over the last week, despite a 74.35% decline over the past year.
Telitacicept is a dual-target fusion protein that inhibits BLyS and APRIL cytokines involved in B cell survival. The therapy is already approved in China for generalized myasthenia gravis (gMG), systemic lupus erythematosus, and rheumatoid arthritis. A global Phase 3 clinical trial for gMG is currently enrolling patients in the United States, Europe, and South America, with initial results expected in the first half of 2027.
Alongside this acquisition, Vor Bio announced the appointment of Jean-Paul Kress, M.D., as Chief Executive Officer and Chairman of the Board, replacing Robert Ang who resigned from both positions. Dr. Ang will remain as a strategic advisor through October 2025.
Dr. Kress previously served as CEO of MorphoSys, where he led the development and commercialization of Monjuvi and guided the company through its acquisition by Novartis in 2024. He also previously headed Syntimmune until its acquisition by Alexion Pharmaceuticals.
"Targeting BAFF/APRIL signaling with telitacicept represents a significant advancement in addressing autoantibody driven diseases," said Dr. Kress in the press release.
The agreement excludes rights in China, Hong Kong, Macau, and Taiwan, which remain with RemeGen. With an overall Financial Health score of "FAIR" according to InvestingPro, which offers comprehensive analysis through its Pro Research Reports covering 1,400+ US equities, Vor Bio’s strategic positioning in this deal could be crucial for its future growth trajectory. Investors can access detailed financial metrics, expert insights, and Fair Value assessments through InvestingPro’s extensive analysis tools.
In other recent news, Vor Biopharma has secured exclusive global rights to the autoimmune drug telitacicept from RemeGen Co., Ltd., excluding China, Hong Kong, Macau, and Taiwan. This agreement involves an initial payment of $125 million and potential future milestones exceeding $4 billion. Concurrently, Vor Biopharma announced a leadership change with Jean-Paul Kress, M.D., taking over as CEO and Chairman of the Board. However, the company is facing challenges, as Stifel and Baird have downgraded its stock rating due to clinical and financial concerns. Stifel reduced its price target to $0.30, while Baird lowered it to $0.25, reflecting a shift in Vor Biopharma’s operational strategy and financial outlook.
The company has announced a significant reduction in its workforce by approximately 95% and is exploring strategic alternatives, including potential sales or mergers. Despite these changes, Vor Biopharma reported $91.9 million in cash and equivalents as of December 31, 2024. The firm plans to provide its first-quarter financial results on May 14, 2025, which will be closely watched by investors. Additionally, Vor Biopharma has engaged Cooley LLP as its legal advisor to assist with the strategic review process.
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