Koligo Therapeutics Limited (ASX:KOL) CEO, Matthew Lehman and Chairman, Peter James talk about the company's therapies, IPO and strategy, and the incidence of chronic pancreatitis.
Jessica Amir: Hi I’m Jessica Amir for the Finance News Network. With me today from Koligo Therapeutics (ASX:KOL) is CEO, Matthew Lehman and Chairman, Peter James. Gentlemen, welcome.
Peter James: Hi Jessica.
Matthew Lehman: Hello.
Jessica Amir: Thanks for coming and welcome to Sydney. First up let’s start with you, just give us an introduction to the company Matt?
Matthew Lehman: Koligo Therapeutics, we are planning to conduct our IPO here in Australia on the ASX, in the next month. We are a regenerative medicine company. And we do 3D bioprinting for organ replacement technologies; this is the platform technology to develop a number of interesting products. Our first commercial product is a product called Kyslecel. This is a curative treatment for pancreatitis, chronic pancreatitis that we’ve started marketing in the US. And we’re looking to raise money at this time, to scale up our production and sales capacity for that product, Kyslecel.
Jessica Amir: Now let’s talk about your treatment and your portfolio of treatments.
Matthew Lehman: So first and our first commercial product is Kyslecel, so this is a solution for TP-IAT. This is available currently in the eastern half of the United States. And we will be looking to expand that nationwide, across the United States and North America. And into next year, we will be looking at a potential international expansion as well. So Kyslecelis a product made of your own islets. Islets are the cells that make insulin in your pancreas.
So in this TP-IAT procedure, when we remove the patient’s pancreas, we’re able to isolate and save those islets. We formulate those into an IV bag called Kyslecel. We send that Kyslecel back to your doctor and the doctor will then infuse that into your liver, to achieve longer-term glycaemic control. So this is a process that has been transformative for patients with chronic pancreatitis. And improves quality of life, drastically improves pain and is growing inacceptance in the medical community, both in the US and internationally.
Jessica Amir: What can you tell us about the Kyslecel Version Two?
Matthew Lehman: Kyslecel Version Two is an extended stability version of Kyslecel. We will be looking at a shelf life of about 24 to 48 hours. And with that type of shelf life, that opens up larger markets across the US, as well as internationally.
Jessica Amir: Thanks Matt. Now can you tell me about your 3DV technology and the products that you’re developing in that area?
Matthew Lehman: What we’re doing with our 3DV technology is to pre-vascularise cell and tissue that improve transplant technology. And then also put those cells or tissues into a three-dimensional sphere. And we use a 3Dbioprinter to actually print these spheres that include the cell or tissue, in this pre-vascularisation technology. So we believe you’ll have less issues with rejection of transplants and we have better engraftment. And ultimately, a safer and more efficacious product, as compared to current approaches in cell and tissue transplant.
The first two products that we’re looking to develop out of that 3DV technology are one: Stylecel-L, as we call it. This is a treatment for Type One Diabetes. So using islets that we’re able to obtain from pancreas tissue, to bioprint those islets into three-dimensional structures that have been pre-vascularised. And provide those for implant into type 1 diabetics. So that is a development stage product and we look forward to seeing that through.
Our second product that we’re developing out of the 3DB technology platform is an improvement, even over our current product Kyslecel, for the treatment of chronic pancreatitis. We see this product as a multibillion-dollar opportunity, with shelf stable three-dimensional structures with the islets that have been pre-vascularised inside.
Jessica Amir: Over to you now Peter. How much are you looking to raise and where will the funds be invested?
Peter James: There are numerous opportunities for us to invest that money. First we’ll be employing additional sales people, to take this proven technology, this platform into the market. Additional marketing expertise will be brought to bear, building out our profile in the US. And then in the coming period, we’ll be moving internationally.
Jessica Amir: How can people find more information?
Peter James: Jessica, they can access the replacement prospectus of course online, through also APP Securities and Novus Capital and of course, also through their own broker.
Jessica Amir: Peter you’ve got some extremely profound experience. Maybe you can tell us what really attracted you to Koligo?
Peter James: I’ve got a lot of experience in commercialising companies and taking them to market. Perhaps household names that people might know of, such as iiNet (ASX:IIN) and more recently Nearmap (ASX:NEA). And for me, Koligo is an absolute standout. Firstly, we’ve got biotechnology in market. We’re addressing this significant problem that Matthew talked about. And we have a platform that is changing lives, is making a difference, is saving lives. Koligo for me is an absolute standout.
Jessica Amir: Lastly to you both. Why should investors really get behind this IPO?
Matthew Lehman: We have a proven product, it’s in the market, we have demonstrated sales. We understand our target market and the real critical need for these patients. This is a product that is reimbursed by every commercial insurer in the US, so we understand what the reimbursement is and there’s a lot of room to grow.
Jessica Amir: Peter James, Matthew Lehman, it’s been a pleasure and good luck with the IPO.
Peter James: Thank you Jessica.
Matthew Lehman: Thanks Jessica.