Prima's M&A target lines up AU cancer patent

Prima BioMed’s (ASX:PRR) acquisition target Immutep has lined up an Australian patent covering its cancer immunotherapy technology.

The Australian Patent Office has issued a Notice of Allowance for an application related to using its Lymphocyte Activation Gene 3 (LAG-3) technology to boost a monocyte-mediated immune response.

Immutep’s lead candidate IMP321 and its derivatives are designed to use this response to elicit an increase in the number of monocytes in the blood, to stimulate an increased cytotoxic T cell response against cancer antigens.

Immutep is trialling the technology as a monotherapy, an adjuvant and in combination with chemotherapy.

Prima BioMed announced earlier this month that subject to shareholder approval, the company plans to acquire Immutep in a deal worth up to US$28 million ($32 million) in cash and shares.

Shareholders will vote on whether to increase Prima’s share placement capacity to help fund the purchase at the company’s AGM next month.

“We congratulate Immutep on the allowance of the patent, which is quite timely given that the first patent to issue as a merged entity is likely to be Australian,” Prima CEO Marc Voigt said.

Prima BioMed (ASX:PRR) shares were trading unchanged at $0.038 as of around 1.30 pm on Tuesday.