Business
Nektar Therapeutics Announces Strategic Reorganization Plan and Corporate Outlook
Company focusing on key pipeline programs NKTR-358, NKTR-255 and core research programs Cost restructuring plan results in cash runway into the first half of
About this update from Nektar Therapeutics
[{"type":"text","content":"Company focusing on key pipeline programs NKTR-358, NKTR-255 and core research programs\nCost restructuring plan results in cash runway into the first half of 2025 \nAnalyst and investor conference call today at 5:00 PM ET (2:00 PM PT)\nSAN FRANCISCO, April 25, 2022 /PRNewswire/ -- Nektar Therapeutics (Nasdaq: NKTR) today announced a new strategic plan focused on prioritizing key research and development efforts that will be most impactful to the company's future, including its NKTR-358, NKTR-255 and several core research programs. In connection with this new strategic plan, Nektar also announced a cost restructuring plan aimed at ensuring Nektar has significant capital to fund key programs through value-enhancing data and other milestones without a need to raise incremental capital for at least 3 years.\n\n \n \n \n \n \n \n\n \nNektar's strategic plan going forward is built upon three core pillars:\nSuccess-based development funding of NKTR-358 for maximum royalty participation: In partnership with Eli Lilly, the NKTR-358 program has continued to advance. Built upon early promising data, the Phase 2 program for NKTR-358 includes the ongoing 280-patient Phase 2 study in lupus, a second Phase 2 study planned to start shortly in 300 patients with atopic dermatitis and a third Phase 2 study being planned in a yet to be announced autoimmune indication to potentially start in 2023. Under the terms of its agreement with Eli Lilly, Nektar is eligible for up to $250 million in development and regulatory milestones. Nektar will have the option to participate in Phase 3 development up to 25% on an indication-by-indication basis and can receive significant double-digit royalties on global sales of NKTR-358 with the first tier in the mid-teens and the second tier in the low twenties of global sales of NKTR-358. Lilly is responsible for all costs of global commercialization and Nektar has an option to co-promote NKTR-358. Prudently develop NKTR-255 in its areas of strength and differentiation: Nektar's development plan for 255 is focused on key preclinical and emerging clinical data driven areas of differentiation of this unique IL-15 agonist. The company will continue the Merck KGaA-sponsored JAVELIN Bladder Medley Study. In addition, new development efforts will focus on the potential to use NKTR-255 as a cell therapy potentiator, based u...