Soligenix Funding Model Fuels Critical Pharma Research
A sustainable solution to funding critical pharma research may sound too good to be true, but for pharmaceutical research company, Soligenix (SNGX), sustainable success is a reality. Beyond specializing in treatments for orphan and infectious diseases, Soligenix develops essential vaccines for civilian and military use, all while ensuring shareholder value is not only maintained, but bolstered.
So, what is the Soligenix secret to success? It’s largely based in the company’s funding model. Rather than raising capital solely through private equity and stock sales, the innovative company is growing its pipeline with the support of non-dilutive government funding. This funding helps maintain share values for its stockholders without the dilution that comes with traditional methods for raising money.
The Tip of the Iceberg
Following its most recent award of $865,000 from New Jersey’s Technology Business Tax Certificate Transfer Program, Soligenix has now received roughly $6.5 million in Net Operating Loss (NOL) funding since 2010. That’s just the tip of the iceberg. Other government grants and funds from the National Institutes of Health (NIH) are helping Soligenix lead the way in critical pharmaceutical research.
Developing Essential Vaccines for Civilian and Military Use
With funding provided by the US government, Soligenix has developed medical countermeasures (MCMs) for civilian and military use. RiVax®, the Company’s vaccine for Ricin toxin pre-exposure, has received $30 million to date in NIH contract awards. RiVax® has received an orphan drug and fast-track designation from the FDA and has taken the vaccine through large animal model and Phase 1 clinical trial testing.
Soligenix has also been granted $1.5 million by the NIH to further develop CiVax™, a heat stable vaccine for Covid-19 that utilizes the Company’s vaccine proprietary thermostabilization technology, ThermoVax®, which is also being used with the RiVax® vaccine. Unlike other Covid-19 vaccines, CiVax™ is being designed to remain stable at temperatures of up to 104 degrees Fahrenheit. This will not only increase accessibility to people around the world, it also significantly reduces refrigeration and storage costs, a savings that could be passed on to providers.
Other projects funded by government grants in this pipeline include SGX943 a therapeutic for emerging infectious diseases, as well as Filovirus vaccines for Ebola, Sudan and Marburg viruses. SGX943 has been fast-tracked for FDA approval and is in the proof-of-concept stage of development.
Medical Sector Endorsements of Soligenix HyBryte™
With US government funding feeding the company’s public health pipeline, Soligenix has been able to diversify and offer potential solutions in the orphan drug space. The most successful of these has been SGX301, a treatment for early-stage cutaneous T-Cell lymphoma (CTCL). With a positive Phase 3 clinical trial and (FDA) conditional acceptance of HyBryte™ as the proposed brand name for SGX301, Soligenix is poised and prepped to pursue a new drug application to FDA for potential approval in the US.
On July 6th, 2021, MarketWatch published the results of an interview with Dr. Ellen Kim, Medical Director of the Dermatology Clinic for the Perelman Center for Advanced Medicine; Professor of Dermatology at the University of Pennsylvania and Lead Principal Investigator on the Phase 3 FLASH trial of HyBryte™.
“After participating in the FLASH study as the overall study PI, I’ve been impressed with the efficacy and tolerability of HyBryte™,” Dr. Kim reported. “Any localized skin application side effects have been very mild and manageable compared to other current skin directed therapies. When it receives final FDA approval, I will definitely use it in my practice.”
Dr. Kim is not alone in her praise for HyBryte™. Dr. Brian Poligone, a Lead Enrolling Investigator in the FLASH study had this to say: “Current treatments for CTCL are generally less effective against plaques and deeper lesions. The ability of HyBryte™ to target both patches and thicker plaques in CTCL is an important feature.”
Benefits of Non-Dilutive Funding in the Public Health Sector
Soligenix’s unique funding model helps keep the company at the forefront of pharmaceutical research for public health, while allowing it the resources to strengthen other projects that are not government -funded.
The company’s management team has robust experience spanning preclinical, manufacturing, regulatory, clinical and marketing expertise, positioning it strongly for continued growth.
As of May 2021, Soligenix’s market cap was $51.3 million, with over $30 million in cash on hand. The company also has access to convertible debt with respected venture debt firm Pontifax Medison. Funds drawn on this agreement are not convertible until the stock is well over $4.00 per share – far above today’s price and therefore minimally dilutive to shareholders, thus allowing Soligenix to fully fund future US marketing activities for HyBryte, where the potential peak annual net sales can exceed $90 million and where its global market potential is approaching $250 million..
Soligenix is showing the market that a sustainable funding model not only works but is a clear path to success.
To find out more, visit soligenix.com