Celldex Reports Second Quarter and Six Month 2009 Financial Results - Conference Call Wednesday, August 5, at 9:00 a.m. Eastern Time - NEEDHAM, Mass.--(BUSINESS WIRE)

Reports Second Quarter and Six Month 2009 Financial Results

Conference Call Wednesday, August 5, at 9:00 a.m. Eastern Time -

NEEDHAM, Mass.--(BUSINESS WIRE)--August 5, 2009--Celldex Therapeutics,

Inc. (NASDAQ: CLDX) today reported financial results for the second

quarter and six-month period ended June 30, 2009. Celldex reported a net

loss of $8.7 million, or $0.55 per share, for the second quarter of 2009

compared to a net loss of $10.3 million, or $0.67 per share, for the

second quarter of 2008. For the six months ended June 30, 2009, Celldex

reported a net loss of $16.4 million, or $1.04 per share, compared to a

net loss of $32.4 million, or $2.56 per share, for the six months ended

June 30, 2008. At June 30, 2009, Celldex reported cash and cash

equivalents of $31.6 million.

On May 29, 2009, Celldex Therapeutics announced that the Company has

entered into a definitive agreement to acquire CuraGen Corporation

(NASDAQ: CRGN). The transaction, subject to shareholder approval, is

expected to close in the third quarter of 2009.

"Celldex launched a major strategic initiative one year ago to acquire a

series of selected assets to fuel our Precision Targeted Immunotherapy

Platform for future growth," said Anthony S. Marucci, Celldex's

President and Chief Executive Officer. "The proposed acquisition of

CuraGen - the fourth and most significant transaction of the last twelve

months - fulfills this initiative and adds a portfolio of

oncology-focused antibodies to our platform and substantial cash

The second quarter also brought considerable progress in our current

clinical development programs as we presented data on multiple studies

at the American Society of Clinical Oncology Annual Meeting including

poster presentations on updated results from Phase 2 studies of our lead

candidate, CDX-110 in glioblastoma multiforme, and an oral presentation

on CDX-1307, the first antibody-based dendritic cell targeted vaccine

resulting from our platform. As we transition to the second half of

2009, we believe we are very well positioned with a pipeline of

immunotherapy-based product candidates, multiple upcoming value-driving

milestones and a strong balance sheet, made stronger by the CuraGen

merger," concluded Marucci.

Second quarter and recent highlights:

Delivered an oral presentation at the American Society of Clinical

Oncology (ASCO) Annual Meeting in Orlando, Florida on data from the

CDX-1307 Phase 1 studies in combination with multiple immune

modulators from Celldex's proprietary platform, including recently

in-licensed assets that demonstrated a favorable safety profile and

strong immune responses.

Presented mature data at ASCO from the Phase 2 ACTIVATE trial (n=21)

and updated data from the continuation study, ACT II (n=23), of

CDX-110 in patients with newly diagnosed EGFRvIII-positive

glioblastoma multiforme (GBM). In both studies, CDX-110 was generally

well-tolerated with local injection site reactions being the most

commonly reported toxicity.

In the single-arm Phase 2 ACTIVATE study, median overall survival

(OS) was 26 months and median time to progression (TTP) was 14.2

months. Additionally, three patients remain without relapse more

than four years from surgery and continue to receive the vaccine

within the clinical trial.

In the single-arm Phase 2 ACT II study, median TTP is 15.2 months

and three patients continue without relapse after more than two

years. Results to date from this ongoing study estimate median OS

to be 23.6 months. In addition, and in line with preclinical data

that suggested the combination of CDX-110 with temozolomide could

augment immune responses, patients demonstrate clear serological

evidence of an immune response against EGFRvIII.

Enhanced our Precision Targeted Immunotherapy Platform by:

Acquiring exclusive rights to the immune-stimulatory molecules

FMS-like tyrosine kinase 3 ligand (Flt3L) and CD40 ligand (CD40L)

Announcing the definitive agreement to acquire CuraGen Corporation

in a stock-for-stock transaction, which values CuraGen at

approximately $93.5 million to $94 million, subject to certain

adjustments described within the definitive agreement. In addition

to its pipeline of oncology-focused antibodies, CuraGen is

expected to have a cash balance of approximately $53.5 million to

$54 million net of certain acquisition-related costs and CuraGen

convertible debt at the transaction's close.

Further Financial Highlights

The net loss of $8.7 million for the second quarter of 2009 represents a

decrease of $1.6 million when compared to the net loss for the same

period in 2008 and is primarily due to an increase in revenue and a

decrease in operating expense. R&D expense in the second quarter of 2009

increased by $0.2 million compared to R&D expense in 2008 due primarily

to increased personnel-related expenses, laboratory materials and

services and clinical trials costs for CDX-110 and CDX-1307. G&A

expenses in the second quarter of 2009 decreased by $1.1 million to $3.5

million as compared to $4.6 million in 2008, primarily due to a decrease

in personnel-related expenses in 2009. G&A expenses for this quarter

included approximately $1 million, or $0.06 per share, of transaction

expenses recorded in connection with the CuraGen acquisition.

The net loss of $16.4 million for the first six months of 2009

represents an improvement of $16.0 million when compared to the net loss

for the same period in 2008, primarily due to the non-cash charge of

$14.8 million for purchased in-process R&D recorded in 2008. R&D expense

in the first six months of 2009 increased by $4.4 million compared to

R&D expense in 2008 due primarily to the combined operations of AVANT

and Celldex for the full six-month period in 2009, including increased

personnel-related expenses, royalty and license fee expenses, clinical

trials costs for CDX-110 and CDX-1307 and facility-related costs. G&A

expenses decreased by $0.8 million to $6.9 million in 2009 as compared

to G&A expense of $7.6 million in the first six months of 2008,

primarily due to reduced personnel-related expenses.

Revenues for the first six months of 2009 increased by $4.3 million

compared with revenues for 2008. The increase in product development and

licensing revenue in 2009 primarily reflects recognition of $2.1 million

in Pfizer deferred revenue related to CDX-110 in 2009. The decrease in

contracts and grants revenue in 2009 compared to 2008 primarily reflects