Kyto Biopharma enters agreement with Targeted Payload Therapeutics

Apr 3 2010

Kyto Biopharma Inc. (OTCBB: KBPH), is a Florida biotechnology company focused on developing monoclonal antibody and oligonucleotide targeting therapeutics based on a proprietary vitamin B₁₂ platform for the treatment of various forms of cancer.

“Having Bionest Partners, Bionest Finance from Paris (France) (Website) and Healthcare Capital Advisors from Clearwater (Florida) (Website) sponsoring our deal provides us with confidence that the financing of TPT will be completed.”

Vitamin B₁₂ regulates one of two major cellular pathways for the production of folates, the progenitor for the synthesis of DNA. Cancer cells require increased levels of vitamin B₁₂ for proliferation than do normal cells and in turn over-express the receptor for the uptake of vitamin B₁₂. Using its technology, Kyto is targeting the over-expression of the vitamin B₁₂ receptor in the treatment of various forms of cancer. The primary approach developed by Kyto is directed at selective targeting of the vitamin B₁₂ receptor in cancer cells by monoclonal antibodies. This approach intends to minimize many of the potential complications arising from current chemotherapy treatments such as acute systemic toxicity. The Kyto technology is intended to exploit the over-expression of vitamin B₁₂ receptors in cancer cells by coupling toxins to Vitamin B₁₂ receptor targeting monoclonal antibodies.

Further to announcing on March 4, 2010, the signing of its Licensing Agreement with the Research Foundation of New York, (Read News Release Here) Kyto Biopharma ("Kyto") has entered into an agreement with a newly founded US based biotechnology company, Targeted Payload Therapeutics Inc. ("TPT"). Two of the founders of Kyto, Mr. Georges Benarroch and Dr. Uri Sagman, are also the founders of TPT. TPT was created to commercialize licensed technology which was developed at leading medical centers of excellence in the USA.

The TPT portfolio consists of monoclonal antibodies and oligonucleotide targeting therapeutics for the treatment of various cancers and ophthalmic diseases. TPT employs a unique and proprietary platform technology focused on highly cytotoxic protein payloads which can be either chemically conjugated or genetically fused to virtually any cell-targeting molecule such as monoclonal antibodies, growth factors or immune cytokines. Phase I protocols are already approved and human trials are set to begin by early 2011 for two lead product candidates.

TPT has secured the assistance of specialized firms in Europe and the USA to prepare its Business Plan and strategy and to coordinate a capital fund raising of US$15 million through a Private Placement Offering. "Having Bionest Partners, Bionest Finance from Paris (France) (Website) and Healthcare Capital Advisors from Clearwater (Florida) (Website) sponsoring our deal provides us with confidence that the financing of TPT will be completed." said Georges Benarroch, CEO of Kyto. Kyto has provided seed financing to TPT through a loan. The funds advanced will be reimbursed to Kyto upon completion of the Private Placement Offering. Kyto has also entered into a secondary agreement with TPT in which Kyto will obtain a percentage ownership of TPT as well as a commitment from TPT to spend a maximum of US $2 million for the research and development of Kyto's lead product following closing of the Private Placement transaction.

Bionest provides companies in the biotechnology sector with resources and advice on building business plans, developing relationships with strategic partners, and by acting as lead agent in capital fund raisings. Healthcare Capital Advisors assists companies with raising capital and creating strategic relationships in the healthcare sector. Both firms have a strong track record of successful business consultation, and successful fundraising efforts for biopharmaceutical firms from the start-up phase to mature multinational corporations.

"Our goal is not to advance our products into late stage clinical trials but rather we intend to partner with pharmaceutical companies in the development of our products in early phase clinical trials" said Dr Uri Sagman", who will be the President and CEO of TPT.