Basilea Pharmaceutica - Antibiotic addition to further replenish pipeline

Basilea has announced a preclinical antibiotic programme asset purchase agreement, aligning with management’s pre-emptive efforts to refill its pipeline with novel anti-infectives. This follows on the heels of three antifungal and antibacterial acquisitions/in-licensing, including fosmanogepix. As part of the agreement, Basilea will pay Spexis (SIX: SPEX) up to CHF2m, consisting of an upfront payment, an asset-transfer payment and a potential final milestone payment related to the availability of near-term funding to further develop the programme. Basilea will also assume the rights and obligations of Spexis, including potential low single-digit percentage royalties on sales. The programme is based on an Outer Membrane Protein Targeting Antibiotics (OMPTA) platform and the compounds have shown in vitro and in vivo activity against Gram-negative bacteria (GNB), including multidrug-resistant strains, several of which are listed as priority pathogens by the World Health Organization (WHO).