Global Licensing and Commercialization Deal Catapults Collplant on Nasdaq

Tissue repair company Collplant Holdings Ltd. was up almost 70% in pre-market trading on Nasdaq after announcing Monday an agreement giving Nasdaq-listed United Therapeutics Corporation license, development and commercialization rights for 3D bio-printed lung transplants “throughout the universe.” The deal grants United Therapeutics the option of expanding its license to up to three additional organs.

Founded in 2004, Israel-based Collplant develops and manufactures collagen-based regenerative medical treatments and biological ink for the 3D printing of tissues and organs. The company combined human genes and tobacco plant DNA to create plants from which human collagen can be harvested.

Collplant's bio-ink. Photo: PR

The company listed on Nasdaq in January as part of a $5 million private investment agreement with Alpha Capital Anstalt, a hedge fund controlled by Austrian business magnet Martin Schlaff.

As part of the agreement with United Therapeutics, Collplant will receive an upfront payment of $5 million and milestone payments of up to $15 million. The company will also receive option exercise payments of up to $9 million, and additional developmental milestone payments of up to $15 million if the technology is expanded to other organs. Collplant will also be entitled to royalties.

For the second quarter ended June 30, CollPlant reported revenues of $170,000 and GAAP loss of $1.5 million.