TheraTarget

 

I am writing to share with you TheraTarget’s current SAFE investment opportunity and solicit input, advice and gauge the potential for collaborations.  We have two nanomedicine assets, KT-1 and MPPA (both new NCEs to FDA), designed and tested in Dr Jindřich “Henry” Kopeček’s laboratory at the University of Utah, that are preparing for clinical trials. KT-1 is the 
di-block HPMA copolymer delivered epirubicin, a topoisomerase II inhibitor which causes immunogenic cell death and converts immunologically “cold” to “hot” tumors. It is patent protected through 2033 and has multiple additional new orphan drug designation indications with seven-year patent protection options. The di-block HPMA copolymer delivery platform provides tumor targeting, a long circulating time, advantageous sub-cellular trafficking, avoidance of the p-glycoprotein drug efflux pump, and reduced off-target adverse effects. MPPA is a new, first-in-class di-block HPMA copolymer delivered multivalent peptide PD-L1 checkpoint inhibitor. MPPA causes traditional PD-L1/PD-1 checkpoint inhibition, which releases the immune system to attack cancer cells. Additionally, a secondary mechanism of action is to traffic the PD-L1 ligand to the lysosome for degradation. By inhibiting PD-L1 recycling, MPPA reduces the inherent pro-oncogenic activities of the PD-L1 ligand. Finally, MPPA, in combination with KT-1, causes immunity enhancing changes in the tumor microenvironment that further inhibits cancer growth. All of these activities are accomplished with reduced side effects. Furthermore, there are manufacturing, stability, infrastructure, administrative and economic advantages that are particularly beneficial in resource restricted environments. Preclinical testing shows efficacy and safety in triple negative breast, colon, non-small cell lung, multi-drug resistant ovarian and pancreatic cancer demonstrating the broad applicability in the various refractory solid tumor markets. The mechanisms of action can be reviewed in the video: https://youtu.be/CtCrHNUAAqg .   

  

We plan to initiate a clinical trial after we complete the investigational new drug requirements: approved manufacture and animal testing of the agents. The initial KT-1 activities are expected to require about $3M. We plan to raise the $3M in SAFE notes with a 20% discount on the shares of stock to be issued in the series A funding round for the clinical trial. The markets for anthracyclines and topoisomerase inhibitors (KT-1) are $4.9 and $20B, respectively. While the market for immune checkpoint inhibitors (MPPA) is $117B. If we were to capture only 1% of the markets, the conservative ROIs at acquisition/out-licensing valuations would be: KT-1 – ROI 1,122% (ARR 49.6%, MOIC 11.2X), and MPPA – ROI 5,732% (ARR 96.4%, MOIC 57.3X), respectively. There are many unmet needs in the clinical refractory solid tumor markets and a variety of exit strategies for these highly de-risked agents (regulatory pathways significantly streamlined). KT-1 out-licensing alone may be able to fund the Phase I trial of MPPA, without additional funding. If you would like to review TheraTarget’s assets, their individual and combined deployment strategies and our SAFE Note investment opportunities, I would be honored to review them with you.  To address specifics of our request, I have included a presentation which summarizes the SAFE Note opportunity with specifics about the assets KT-1 and MPPA and network effects of the Di-block HPMA platform. The comprehensive presentation can be viewed at: https://www.youtube.com/watch?v=B6LICw9k7Xs . 

  

Thank you for your time and consideration,   

  

Matt  

   

C Matthew Peterson, MD, CEO    
THERATARGET
[email protected]  

https://theratarget.com  

2500 South State D-224  

Salt Lake City, Utah 84115-3164  

801-550-5400