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NetScientific plc

("NetScientific" or the "Company")

PDS Biotech Announces Exclusive Global License Agreement for Investigational IL-12 Tumour-Targeted Cytokine from Merck KGaA, Darmstadt, Germany

PDS Biotech bolsters immuno-oncology portfolio with a clinical-stage product synergistic with its Versamune® platform

NetScientific Plc (AIM: NSCI), the investment and commercialisation group with an international portfolio of innovative life science, sustainability and technology companies, reports that its portfolio company, PDS Biotechnology Corporation (Nasdaq: PDSB), a clinical-stage immunotherapy company developing a growing pipeline of targeted immunotherapies for cancer and infectious disease, today announced an exclusive global license agreement with Merck KGaA, Darmstadt, Germany for the tumour-targeting IL-12 fusion protein M9241 (formerly known as NHS-IL12), which will join the pipeline as PDS0301.

M9241 appears to enhance the proliferation, potency, and longevity of T cells in the tumour. The combination of Versamune® and IL-12 is patented by PDS Biotech and is designed to overcome tumour immune suppression utilizing a different mechanism from checkpoint inhibitors.

Under the terms of the agreement, PDS Biotech will receive from Merck KGaA, Darmstadt, Germany an exclusive license to M9241. PDS Biotech will assume responsibility for future development, commercialization, and manufacturing of M9241.

Under the terms of the agreement, Merck KGaA, Darmstadt, Germany will receive an upfront cash payment of $5 million and will be entitled to up to $11 million in development and regulatory milestone payments including first commercial sales for the first 2 indications, and up to $105 million in commercial milestones, and a 10% royalty on future sales of M9241 with standard step-down provisions.  Merck KGaA will receive 378,787 shares of PDS Biotech's common stock having a value of $5 million, based on the closing price of PDS Biotech's common stock on December 30, 2022.

Dr Frank Bedu-Addo, President and Chief Executive Officer of PDS Biotech, said:

"We are pleased to have partnered with Merck KGaA, Darmstadt, Germany to advance the development of M9241, a highly innovative cytokine therapy.  Under the licensing arrangement between Merck KGaA, Darmstadt, Germany and PDS Biotech, assumption of an equity stake by Merck KGaA, Darmstadt, Germany in PDS Biotech further confirms the potential of the Versamune® platform and the data generated to date with this combination therapy. I would like to thank the Merck KGaA, Darmstadt, Germany team for their support of PDS Biotech's mission to potentially offer more cancer patients improved treatment options."

M9241 was studied in a novel triple combination at the National Cancer Institute in a Phase 2 trial (NCT04287868) in combination with PDS0101, a Versamune® based HPV16-targeted immunotherapy, and bintrafusp alfa, a bifunctional fusion protein targeting two independent immunosuppressive pathways (PD-L1 and TGF-β). The triple combination was studied in checkpoint inhibitor (CPI)-naïve and -refractory patients with advanced HPV-positive anal, cervical, head and neck, vaginal, and vulvar cancers who have failed prior therapy.

Data highlights for patients who had failed prior treatments including CPIs:

·   Median overall survival for treated patients is 21 months in 29 CPI refractory patients. The reported historical median OS in patients with CPI refractory disease is 3-4 months.

·    63% (5/8) of treated patients with the optimal dose combination had significant tumour shrinkage of over 30% (objective response). With the standard of care, the reported percentage of patients having an objective response is less than 10%.

·     79% (11/14) of treated patients demonstrated a greater than two-fold increase in HPV16-targeted T cells.

Results for patients who had failed prior treatments but were CPI-naïve also continue to appear to be encouraging:

·     88% (7/8) of CPI naïve patients had an objective response.

·     38% (3/8) of responders had a complete response.

·    In CPI naïve subjects, 75% (6/8) remain alive at a median follow-up of 27 months. As a result, median OS has not  yet been reached. Historically median OS for similar patients with platinum experienced CPI naïve disease is 7-11 months.

PDS Biotech has a scheduled meeting with the Food and Drug Administration (FDA) to discuss a registrational trial for investigating the triple combination of M9241, PDS0101 and a checkpoint inhibitor in recurrent/metastatic HPV-positive cancers.

Dr Lauren V. Wood, Chief Medical Officer at PDS Biotech, commented:

"M9241 seems to be unique in its ability to target the tumour's microenvironment and appears to further promote proliferation of Versamune®-induced T cells in the tumours while also potentially enhancing the killing potency of the T cells.  With the addition of M9241 to our Versamune®-based pipeline products, our goal is to develop and achieve checkpoint inhibitor-agnostic and independent combinations in advanced cancers. We look forward to expanding clinical development of our novel investigational combination products."

Dr Ilian Iliev, CEO of NetScientific, also commented:

"This is another important milestone in PDS' development, working with leading global pharma companies in enhancing its platform and pipeline commercial potential.  After a successful 2022, the PDS team is off to a great start for 2023."

A full version of PDS Biotech's announcement can be accessed here:

https://www.pdsbiotech.com/index.php/investors/news-center/press-releases/press-releases1/125-2023-news/763-iotechnnouncesxclusivelobalicensegreementfo20230103

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For more information, please contact:

#NetScientific

Ilian Iliev, CEO                                                                                     Via Belvedere Communications

WH Ireland (NOMAD, Financial Adviser and Broker)

Chris Fielding / Darshan Patel / Enzo Aliaj                                   +44 (0)20 7220 1666

Belvedere Communications

John West / Llew Angus                                                                   +44 (0) 203 008 6867

Email: [email protected]

About NetScientific

NetScientific plc (AIM: NSCI) is an investment and commercialisation group with an international portfolio of innovative life science, sustainability and technology companies.

NetScientific identifies, invests in, and builds high growth companies in the UK and internationally. The company adds value through the proactive management of its portfolio, progressing to key value inflection points, and delivering investment returns through partial or full liquidity events.

NetScientific differentiates itself by employing a capital-light investment approach, making judicial use of its balance sheet and syndicating investments through its wholly owned VC subsidiary, EMV Capital. The group secures a mixture of direct equity stakes and carried interest stakes in its portfolio of companies, creating a lean structure that can support a large portfolio.

NetScientific is headquartered in London, United Kingdom, and is admitted to trading on AIM, a market operated by the London Stock Exchange.

www.netscientific.net

About PDS Biotechnology 

PDS Biotech is a clinical-stage immunotherapy company developing a growing pipeline of targeted cancer and infectious disease immunotherapies based on our proprietary Versamune^® and Infectimune™ T cell-activating technology platforms. We believe our targeted Versamune^® based candidates have the potential to overcome the limitations of current immunotherapy by inducing large quantities of high-quality, potent polyfunctional tumour specific CD4+ helper and CD8+ killer T cells. To date, our lead Versamune^® clinical candidate, PDS0101, has demonstrated the potential to reduce tumours and stabilize disease in combination with approved and investigational therapeutics in patients with a broad range of HPV-positive cancers in multiple Phase 2 clinical trials. Our Infectimune™ based vaccines have also demonstrated the potential to induce not only robust and durable neutralizing antibody responses, but also powerful T cell responses, including long-lasting memory T cell responses in pre-clinical studies to date. To learn more, please visit www.pdsbiotech.com or follow us on Twitter at @PDSBiotech.