Gamida Cell, a Jerusalem, Israel-base provider of stem cell expansion technologies and therapeutic products, has received a $35m investment from Novartis Pharma AG.
Led by president and CEO Dr. Yael Margolin, Gamida Cell Gamida Cell is currently engaged in a Phase I/II study of NiCord® as an investigational therapeutic treatment for hematological malignancies such as leukemia and lymphoma.
In the study, NiCord® is being used as the sole stem cell source. It is derived from a single cord blood unit and expanded and enriched with stem cells using the company’s proprietary NAM technology.
According to the agreement, Novartis will receive 15% equity and an option to fully acquire Gamida Cell. The option is exercisable for a limited period of time following achievement of certain milestones connected to the development of NiCord®, anticipated to be met during 2015.
The completion of the transaction is subject to customary closing conditions.
Upon exercising the option, Novartis would pay the other shareholders in Gamida Cell cash payments of approximately $165m. In addition, the sellers will be entitled to potential future payments which can reach a total of $435m, depending on certain development and regulatory milestones and on sales of Gamida Cell’s products.
FinSMEs
22/08/2014