Genprex plans to launch separate company to focus on gene therapy

Genprex announced its intention to transfer the company’s diabetes clinical development program and its diabetes gene therapy assets into a new, wholly-owned subsidiary. NewCo would focus on developing and commercializing GPX-002, a diabetes gene therapy drug candidate for the treatment of Type 1 and Type 2 diabetes. The planned spin-out transaction would allow both Genprex and NewCo to enhance each company’s focus on meeting the needs of their respective markets, patients and stakeholders. The spin-out, if completed as presently contemplated, would result in NewCo focusing on developing GPX-002, while Genprex would retain its oncology clinical development programs and other oncology pipeline assets. The decision to pursue the reorganization demonstrates Genprex’s strong ongoing commitment to the company’s streamlined, focused strategies and ongoing research and development prioritization initiative. The potential formation and transfer of the clinical development program into the wholly-owned subsidiary is currently anticipated to occur by the end of 2024, subject to adequate financing, the satisfaction of customary conditions and final approval from the Genprex management and Board of Directors.