Shares of Bone Biologics Corporation (Nasdaq: BBLG) were up 7.37% at $0.3758 at the time of our latest check in after-hours trading, which was followed by a CEO letter to the company’s stockholders.
What did the CEO of BBLG disclose to the shareholders?
The letter from Bone Biologics (BBLG) president and chief executive officer, Jeffrey Frelick, was recently distributed to the company’s shareholders.
The highlights from BBLG’s letter:
As it prepares to start its first-in-human pivotal trial in 2023, Bone Biologics briefed shareholders on its development work with NELL-1 over the last year and reviewed its anticipated milestones over the next months. Recall that NELL-1 is a recombinant human protein that BBLG licensed for use in international applications under a technology transfer agreement with the UCLA Technology Development Group (UCLA TDG). Demineralized bone matrix (DBM) and NELL-1 come together to create our product candidate, NB1.
NELL-1 is said to have particular features that make it the perfect treatment for spinal fusion, trauma, osteoporosis, and other bone-related conditions. It may be especially helpful for “hard healers.” The key to this promise is its capacity to offer quick, focused, and directed control over bone repair. By enhancing the safety profile of an osteopromotive orthobiologic, NB1 may offer a significant option for a challenging clinical issue.
With an estimated $3 billion global market each year for items including growth factors, DBM, synthetic materials, stem cells, and allografts as bone graft alternatives in spine fusion, there is a sizable and established market for NB1. This is the market that BBLG wants to enter. Longer forward, NB1 will have access to new market potentials, such as the $8 billion market for treating trauma victims and the $11 billion market for treating osteoporosis.
A contract development manufacturing organization (CDMO), which offers a global site network from process development to recombinant protein production, was also hired by BBLG earlier this year. Engaging a CDMO was a crucial first step since NELL-1 is a recombinant human protein that must be synthesized in specialist facilities for usage in people.
BBLG updated its agreement with UCLA
NELL-1 was licensed by Bone Biologics (BBLG) from UCLA Technology Development Group in 2006. This agreement serves as BBLG’s framework. The business most recently changed that arrangement in May 2022 to allow BBLG to keep access to funds and resources for product development. According to the amendment, UCLA TDG will postpone paying the diligence fee until BBLG (or one of its sublicensees) sells any products in line with the new payment schedule.