CAPRICOR THERAPEUTICS, INC. (NASDAQ:CAPR) Files An 8-K Entry into a Material Definitive AgreementItem 1.01. Entry into a Material Definitive Agreement.
Amendment to Exclusive License Agreements
As previously disclosed, Capricor, Inc. (“Capricor”), a wholly-owned subsidiary of Capricor Therapeutics, Inc., a Delaware corporation (“Capricor Therapeutics”), and Cedars-Sinai Medical Center (“CSMC”) are parties to an Exclusive License Agreement (the “Exosomes License”) pertaining to the technologies related to extracellular vesicles, including exosomes and microvesicles. On December 26, 2017, Capricor and CSMC entered into a Fourth Amendment to Exclusive License Agreement, thereby amending the Exosomes License (the “Exosomes License Amendment”). Under the Exosomes License Amendment, (i) the description of patent rights in Schedule A has been replaced by a Revised Schedule A that includes seven additional patent applications; and (ii) Capricor is required to reimburse CSMC approximately $50,000 for attorneys’ fees and filing fees that were incurred in connection with the additional patent rights.
Additionally, as previously disclosed, Capricor and CSMC are parties to an Amended and Restated Exclusive License Agreement (the “CDCs License”) pertaining to the technologies related to cardiosphere-derived cells (“CDCs”). On December 26, 2017, Capricor entered into a Third Amendment to Exclusive License Agreement with CSMC thereby amending the CDCs License (the “CDCs License Amendment”). Under the CDCs License Amendment, (i) the description of patent rights in Schedule A has been replaced by a Revised Schedule A that includes seven additional patent applications; and (ii) Capricor is required to reimburse CSMC approximately $50,000 for attorneys’ fees and filing fees that were incurred in connection with the additional patent rights.
CSMC holds more than 10% of the outstanding capital stock of Capricor Therapeutics. Capricor Therapeutics is also party to a lease agreement with CSMC. Additionally, Dr. Eduardo Marbán, who holds more than 10% of the outstanding capital stock of Capricor Therapeutics, is the Director of the Cedars-Sinai Heart Institute and the Co-founder and Scientific Advisory Board Chairman of Capricor.
Capricor Therapeutics expects to file the Exosomes License Amendment and CDCs License Amendment (the “License Amendments”) as exhibits to its next filing in which the License Amendments are required to be included, and intends to seek confidential treatment for certain terms and provisions of the License Amendments as they contain competitively sensitive information pertaining to the subject matter of the patent applications described therein. The foregoing description is a summary of the material terms of the License Amendments, does not purport to be complete, and is qualified in its entirety by reference to the text of the License Amendments when filed.
About CAPRICOR THERAPEUTICS, INC. (NASDAQ:CAPR)
Capricor Therapeutics, Inc. is a clinical-stage biotechnology company focused on the discovery, development and commercialization of therapeutics. The Company focuses on discovering, developing and commercializing regenerative medicine and large molecule products for the treatment of disease, with a primary focus on the treatment of cardiovascular diseases, including orphan indications. Its product candidate, CAP-1002, a cardiosphere-derived cell product, is being tested in the ALLSTAR Phase II clinical study on patients having suffered a myocardial infarction (MI), while the DYNAMIC clinical study is testing CAP-1002 in patients in the advanced-stage of heart failure. CAP-1002 is also being tested in the HOPE-Duchenne Phase I/II clinical study for use in connection with Duchenne muscular dystrophy-related cardiomyopathy. Cenderitide, a dual receptor natriuretic peptide agonist, is being tested in a Phase II clinical study. Exosomes are nano-sized, membrane-enclosed vesicles.