Cellular Biomedicine Group acquires GVAX vaccine
The acquisition of the next-generation GVAX vaccine includes the related technologies and knowledge. Finalizing this acquisition allows Cellular Biomedicine Group to provide comprehensive immuno-oncology cell therapy within the company’s portfolio. The company can also now provide patients with a wider variety of treatment options.
Cellular Biomedicine Group has agreed to pay $2.5 million in cash as an initial consideration as well as up to $1.75 million in the company’s shares of common stock. The stock is established on the 20-day volume, which is the weighted average price as of the closing date on June 20. Now that the company is a licensee of the vaccine, it may need to pay over $25 million for future sales and milestones.
"We are extremely pleased with this strategic acquisition which strengthens our cancer immunotherapy vaccine and vaccine combination technology platform,” William (Wei) Cao, chief executive officer of Cellular Biomedicine Group, said. “This inroad into the U.S. market is a significant milestone for the company and we look forward to seeking approval to conduct international clinical trials with leading medical centers."