Coya Therapeutics’ CEO gives update, sufficient cash for COYA 302 Phase 2 trial

As the year comes to a close, … I am pleased to say that our team rose to the occasion. Throughout the year, we notched several “wins,” culminating in a transformative licensing transaction, announced December 6th , with Dr. Reddy’s Laboratories (RDY). This partnership for COYA 302 in Amyotrophic Lateral Sclerosisor ALS provides up to $733 MM in non-dilutive upfront payments and potential sales and regulatory milestones …$677.25 MM in sales based milestones and net sales; $40 MM of development and regulatory milestones; $7.5 MM upfront payment, and $8.4 MM in aggregate milestone payments upon IND filing and first patient first dosed. Coya also successfully closed a private placement financing of $26.5 MM in gross proceeds, at a time when capital raising for biotech has been limited. We anticipate that the cumulative proceeds from these two transactions will finance us into 2026…Cash Runway into 2026. One of our key objectives for 2023 was to raise additional capital through business development or partnering transactions. This goal was successfully achieved on December 6th when we announced a significant partnership with DRL for the development and commercialization of COYA 302, our proprietary low dose IL-2 and CTLA-4 Ig . This partnership is important both financially and strategically. Financially, the cash proceeds from this partnership, combined with the proceeds from our private placement, is anticipated to provide a cash runway which extends into 2026. Consequently, we believe it will also provide sufficient cash resources to complete the Phase 2 trial of COYA 302 while retaining long-term financial growth from this asset in ALS. Proceeds to us from the partnership with DRL include a $7.5 MM upfront payment, $8.4 MM in aggregate milestone payments upon IND filing and first patient first dose of COYA 302 in a Phase 2 trial, $40 MM of development and regulatory milestones, $677.25 MM of sales-based milestones and net sales royalties from the low to middle teens.