MELBOURNE, AUSTRALIA: Telix Pharmaceuticals Limited, an Australian company that develops radiopharmaceuticals for cancer diagnosis and treatment, has announced its intention to acquire QSAM Biosciences, Inc., a U.S. based clinical stage company that is developing a novel therapy for bone cancer.
QSAM’s lead asset, CycloSam®, is a radioactive compound that selectively targets and kills cancer cells in the bone. CycloSam® has shown promising results in preclinical and early clinical studies for primary and metastatic bone cancer, as well as osteosarcoma, a rare bone cancer that affects children and young adults.
Telix believes that CycloSam® is highly complementary to its existing pipeline of radiopharmaceuticals for prostate cancer and sarcoma, and that the acquisition will strengthen its position as a leader in the field of nuclear medicine. Telix also expects to benefit from QSAM’s regulatory and commercial expertise, as well as the potential incentives and expedited approval process associated with the Orphan Drug and Rare Pediatric Disease Designations that CycloSam® has received from the U.S. Food and Drug Administration (FDA).
According to the terms of the deal, Telix will pay QSAM an upfront fee of US$2 million and a total purchase price of US$33.1 million in Telix shares. Telix will also pay up to US$90 million in cash or equity upon the achievement of certain clinical and commercial milestones.
Douglas Baum, QSAM CEO and Co-Founder, said that joining forces with Telix will enable them to realise the full potential of CycloSam® and to deliver a better quality of life to patients with bone cancer. Dr Christian Behrenbruch, Managing Director and Group CEO of Telix, said that they are pleased to announce the acquisition and that CycloSam® will add significant value to their portfolio of innovative radiopharmaceuticals.