Imugene to divest drug delivery platform

Imugene (ASX:IMU) has decided to divest its drug delivery platform Linguet to allow it to focus on its HER-Vaxx immuno-oncology program.

The company is asking for expressions of interest over a potential sale, licence or backdoor listing agreement for the Linguet assets. Imugene shareholders might be given priority rights.

Linguet is a technology involving allowing the active ingredients of drugs to be absorbed directly inside the bloodstream when placed inside the cheek or under the tongue.

It is designed to improve the efficacy and safety of prescription and OTC medicines with a less-direct delivery mechanism.

Imugene had been developing a vitamin D supplement tablet which melts in the mouth and will include this technology in the sale or licence.

The divestiture is planned to free up resources for the development of HER-Vaxx, which is due to enter phase II trials in gastric cancer in the second half of 2015.

HER-Vaxx targets the HER-2+ tumour receptor expressed on the surface of multiple tumour types, including gastric, breast, ovarian and pancreatic cancers.

Imugene yesterday announced that HER-Vaxx fusion peptide antigens were found to generate high HER-2 specific antibody levels during preclinical testing.

The Medical University of Vienna is conducting the testing. The team also found that HER-Vaxx generated antibodies recognise native HER-2 protein.

“These pleasing results form part of our preclinical testing needed to submit an IND and begin clinical testing with HER-Vaxx in patients with gastric cancer,” Imugene CEO Charles Walker said.

“It is gratifying to see strong results continuing to be generated, particularly with our more potent fusion peptides. We look forward to reporting continued progress in line with our plan to develop HER-Vaxx.”

Imugene (ASX:IMU) shares were trading unchanged at $0.011 as of around 12.30 pm on Tuesday.