MELBOURNE, Australia, March 21, 2016 /PRNewswire/ — Propanc Health Group Corporation (OTCQB: PPCH) (“Propanc” or “the Company”), an emerging healthcare company focusing on development of new and proprietary treatments for cancer patients suffering from solid tumors such as pancreatic, ovarian and colorectal cancers, today announced the Company received $1.2 million from an institutional investor in order to fast track its preclinical activities, including GMP (Good Manufacturing Practice) manufacturing and preparation for future patient trials, which the Company hopes to file an application for this year.
The additional funds provides an opportunity for the Company to fast track the development of PRP into patient trials. Key activities anticipated include completion of a 28 day animal safety toxicology study, development of bioanalytical methods for animals and humans in order to assess the movement of the drug within the body, and preparation of GMP manufacture of PRP for patient trials.
“We are grateful for the ongoing support of our institutional investor providing the additional funds to undertake these important development activities for PRP in the lead up to patient trials,” said James Nathanielsz. “These funds provide a real vote of confidence and belief in the Company, its products and team to deliver on some very important milestones in the Company’s relatively young history. We have a great team behind us who are very enthusiastic about our program and its potential to reduce the threat of metastatic cancer in aggressive tumor types. We will do everything we can to ensure we proceed as efficiently as possible, without compromising on quality and safety. This is our commitment.”
The Company and institutional investor entered into an Addendum to their previous Agreement, pursuant to which they agreed to new terms where the balance of the deposit control account will be released to the Company in two installments. The initial installment which the Company received of $1.2 million and the second of$375,000 within 60 days after execution of the Addendum. Further information has been provided regarding this recent financing in a Form 8-K filed with the SEC onMarch 11, 2016.
To date, the Company has received a total of approximately $3.6 million from the institutional investor since the Securities Purchase Agreement, Debenture and Warrant were executed by both parties on October 28, 2015.
Upcoming milestones for the Company includes a scientific advice meeting with the MHRA (Medicines and Healthcare Products Regulatory Agency), UK, which has been confirmed towards the end of April, followed by a commitment to submit applications for orphan drug designation in the US and EU for pancreatic and ovarian cancers.
In further news, the Company is presently compiling results from its recent 14 day dose range finding study in rats, which will be used to determine appropriate dosing levels for the upcoming 28 day toxicology study. The data will be incorporated into the submission for the MHRA in order to discuss the next stage of development activities, which could lead into early stage patient trials in 2016, or first quarter 2017.
The Company aims to fast track the development of proenzyme related oncology products into clinical trials initially for pancreatic and ovarian cancers, followed by colorectal cancer. According to Global Analyst Reports, the combined world market for pancreatic, ovarian and colorectal cancers are expected to reach over$12 billion by 2020.