Full Press Release Details
I-Mab Announces Positive Outcome in Arbitration
Relating to Agreements with Tracon
GAITHERSBURG, MD. and SHANGHAI, China -
April 25, 2023 - I-Mab (the "Company") (Nasdaq: IMAB), a clinical-stage biopharmaceutical company committed to the
discovery, development, and commercialization of novel biologics, today announced the positive outcome of its arbitration with TRACON
Pharmaceuticals ("Tracon") relating to (1) the collaboration agreement to co-develop I-Mab's proprietary CD73 antibody,
uliledlimab (TJD5) (the "TJD5 Agreement"), and (2) the collaboration agreement to potentially co-develop I-Mab's bi-specific
antibodies (the "BsAb Agreement").
The arbitration award concluded the multi-year
long dispute between I-Mab and Tracon. The award determined that the TJD5 Agreement has been terminated for a pre-agreed termination fee
of $9 million plus interest payable by I-Mab pursuant to the original TJD5 Agreement, and, therefore Tracon has no rights to share any
future economics with I-Mab. The arbitration award completely denied Tracon's groundless damages claim of over $200 million for
any breach under the BsAb Agreement and awarded no damages to Tracon. The Tribunal also confirmed the termination of the BsAb Agreement.
Based on the arbitration award, I-Mab will bear a portion of Tracon's legal fees and costs, totaling approximately $13.5 million.
The resolution is crucial for I-Mab to preserve
and further realize the value of uliledlimab and the bi-specific antibody portfolio through accelerating clinical development and on-going
global partnership discussions.
"This is an important victory for I-Mab
and its shareholders on multiple levels, both from a legal and business standpoint, as I-Mab successfully protected and preserved its
shareholder's value and I-Mab's rights of its proprietary CD73 antibody, uliledlimab, and bi-specific antibody assets,"
said Dr. Andrew Zhu, President and Acting CEO of I-Mab.
With these matters resolved, I-Mab is now in a
position to accelerate the development and global partnership for uliledlimab and bi-specific antibody assets, which have the potential
to create substantial value for the Company as soon as early 2024.
This arbitration award is final and binding on
the parties, and I-Mab intends to pursue confirmation of the award promptly.
I-Mab (Nasdaq: IMAB) is a dynamic, global biotech
company exclusively focused on discovery, development and soon, commercialization of novel or highly differentiated biologics in the
therapeutic areas of immuno-oncology and autoimmune diseases. The Company's mission is to bring transformational medicines to patients
around the world through innovation. I-Mab's innovative pipeline of more than 10 clinical and pre-clinical stage drug candidates
is driven by the Company's Fast-to-Proof-of-Concept and Fast-to-Market development strategies through internal R&D and global
partnerships and commercial partnerships. I-Mab has established its global footprint in Shanghai, Beijing, Hangzhou, Lishui and Hong
Kong in China, and Maryland and San Diego in the United States. For more information, please visit http://www.i-mabbiopharma.com
and follow I-Mab on LinkedIn, Twitter, and WeChat.
I-Mab Forward Looking Statements
contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities
Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes," "estimates,"
"confident" and similar statements. I-Mab may also make written or oral forward-looking statements in its periodic reports
to the U.S. Securities and Exchange Commission (the "SEC"), in its annual report to shareholders, in press releases and other
written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical
facts, including statements about I-Mab's beliefs and expectations, are forward-looking statements. Forward-looking statements involve
inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking
statement, including but not limited to the following: I-Mab's ability to demonstrate the safety and efficacy of its drug candidates;
the clinical results for its drug candidates, which may not support further development or NDA/BLA approval; the content and timing of
decisions made by the relevant regulatory authorities regarding regulatory approval of I-Mab's drug candidates; I-Mab's ability
to achieve commercial success for its drug candidates, if approved; I-Mab's ability to obtain and maintain protection of intellectual
property for its technology and drugs; I-Mab's reliance on third parties to conduct drug development, manufacturing and other services;
I-Mab's limited operating history and I-Mab's ability to obtain additional funding for operations and to complete the development
and commercialization of its drug candidates; and the impact of the COVID-19 pandemic on the Company's clinical developments, commercial
and other operations, as well as those risks more fully discussed in the "Risk Factors" section in I-Mab's most recent
annual report on Form 20-F, as well as discussions of potential risks, uncertainties, and other important factors in I-Mab's subsequent
filings with the SEC. All forward-looking statements are based on information currently available to I-Mab, and I-Mab undertakes no obligation
to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except
as may be required by law.
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