Scimitar Equity Blog

Over $17M has been given out to about 34 (so far) under the Qualifying Therapeutic Discovery Project, which was created by Congress as part of the Patient Protection and Affordable Care Act of 2010. It provides a tax credit or grant equal to eligible costs and expenses for tax years 2009 and 2010. Each grant is for a maximum amount of $244,479.25.

• Only companies that had no more than 250 employees were eligible for the program;
• Additionally, projects had to show reasonable potential to result in new therapies to treat areas of unmet medical need; prevent, detect, or treat chronic or acute disease and conditions; reduce long-term healthcare costs in the US; or significantly advance the goal of curing cancer within a 30-year period;
• In addition, preference was given to projects that showed the greatest potential to create and sustain high-quality, high-paying jobs in the US and advance the US’ competitiveness in the fields of life, biological, and medical sciences.

The following projects were selected jointly by the Treasury Department and the Department of Health and Human Services:

• Advanced Cell Technology received 4 grant totaling $977,917: the blastomere program, the myoblast program, the RPE program for Stargardt’s disease, and the iPS program.
• Adventrx Pharmaceuticals received two grants totaling $488,958.50: ANX-530 (Exelbine™) and ANX-514, emulsion formulations of chemotherapy drugs vinorelbine and docetaxel, respectively. 
• Aradigm received three grants totaling $733,437.75: ARD-3100 liposomal ciprofloxacin for cystic fibrosis (CF), ARD-3150 liposomal ciprofloxacin for the non-CF bronchiectasis, and ARD-3100 liposomal ciprofloxacin for non-CF bronchiectasis.
• ArQule received 4 grants totaling $977,917: ARQ 197, ARQ 621, ARQ 736, ARQ 087, which are all anticancer agents.
• Biomoda received 1 grant totaling $244,479.25: CyPath® diagnostic assay for the detection of early-stage lung cancer.
• Bionovo received 2 grants totaling $488,958.50: Menerba and Bezielle programs for menopausal symptom alleviation and the treatment of advanced breast cancer.
• Bluebird bio received 2 grants totaling $488,958.50:  programs for the treatment of childhood cerebral adrenoleukodystrophy and beta-thalassemia/sickle cell anemia.
• Catalyst Pharmaceutical Partners received 2 grants totaling $488,958.50: CPP-109 for the treatment of stimulant dependence and CPP-115 for various forms of epilepsy and stimulant dependence.
• Cell Therapeutics received 4 grants totaling $977,917: pixantrone, OPAXIO, brostallicin, and bisplatinates, which are all focused in the area of oncology.
• Curemark received 1 grant: CM-AT for autism.
• CytRx received 3 grants totaling $733,437.75: INNO-206, tamibarotene, and bafetinib, which are being studied in various cancers.
• Cytori Therapeutics recieved 1 grant for $244K.
• DARA BioSciences received 2 grants totaling $488,958.50: KRN5500 for treating neuropathic pain in cancer patients and DB959 for type 2 diabetes.
• Durect received 3 grants totaling $733,437.75: Posidur in postoperative pain relief, Oradur for treating attention deficit disorder, and the biologics program for chronic diseases including cancer, diabetes, and multiple sclerosis.
• Exact Sciences received 1 grant totaling $244,479.25: Cologuard™, an sDNA screening test aimed at detecting both colorectal cancers and precancers.
• Genta received 2 grants totaling $488,958.50: Genasense® Injection for advanced melanoma and Tesetaxel, an oral taxane.
• GenVec received 1 grant totaling  $244,479.25: TNFerade in oncology.
• Geron received 5 grants totaling $1,222,396.25: GRN163L for cancer, GRNVAC1 as a therapeutic vaccine for acute myelogenous leukemia, human embryonic stem cell (hESC) therapy GRNOPC1 for the treatment of spinal cord injury and other neurodegenerative disorders, hESC therapy GRNCM1 for heart disease, and hESC therapy GRNIC1 for diabetes.
• Inovio Pharmaceuticals received 3 grants totaling $733,437.75: VGX-3100, a therapeutic vaccine for cervical dysplasia and cancer; development projects for Syncon™ universal flu and dengue vaccines.
• Ligand Pharmaceuticals received 8 grants totaling $1,955,834: eight drug development programs.
• Micronics received 1 grant totaling $244,479.25: PanNAT molecular diagnostic platform.
• MultiCell Technologies received 3 grants totaling $733,437.75: MCT-465 and MCT-475 for the treatment of cancer and MCT-125 for fatigue in multiple sclerosis.
• Neuralstem received 3 grants totaling $733,437.75: small molecule treatment for depression, spinal cord stem cells for ALS, and IGF1-expressing neural stem cell therapy.
• Oxygen Biotherapeutics received 1 grant totaling $244,479.25: Oxycyte perfluorocarbon emulsion for traumatic brain injury and spinal cord injury.
• Pain Therapeutics received multiple grants totaling over $2,000,000: biomedical research for nervous system disorders and oncology.
• Pozen received 3 grants totaling $730,000: Vimovo, a pain-relieving non-steroidal anti-inflammatory drug; as well as PA32540 and PA6502 for GI ulcers and other GI complications.
• Pressure BioSciences received 1 grant totaling $244,479.25.
• Pro-Pharmaceuticals received 2 grants totaling $488,958.50: Davanat for colorectal cancer, and GR-Series of antifibrotic cirrhosis compounds.
• RXi Pharmaceuticals received 4 grants totaling $977,917: three programs focused on the development of self-delivering siRNA drugs for fibrotic disease, age-related macular degeneration, and ALS as well as an oral glucose-encapsulated siRNA therapeutic for rheumatoid arthritis.
• StemCells recieved 4 grants totaling $977,917 for projects related to the development of cell-based therapeutics targeting the central nervous system (CNS) and the liver to advance the preclinical and clinical development of the HuCNS-SC^® product candidate (purified human neural stem cells) for diseases and disorders affecting the brain, the spinal cord and the eye, as well as the further development of the  hLEC™ human liver engrafting cells.
• Vaccinex received 3 grants: VX15 in oncology and multiple sclerosis, VX5 in autoimmune diseases, and VX35 in oncology.
• X-BODY BioSciences received 1 grant totaling $244,479.25: mAb project targeting metastatic tumor stem cells.
• XOMA received 4 grants totaling $977,917: XOMA 052, an anti-IL-1 beta anti-inflammatory therapeutic mAb; antibotulinum toxin mAb program including XOMA 3AB; mAb therapeutics for metabolic diseases; and mAb therapeutics for oncology.
• Zalicus received 1 grant totaling $244,000: Synavive for immuno-inflammatory diseases.
• AgeneBio, CS-Keys, FAST, GRest, Pericardial Access, and SonarMed also reported receiving QTDP grants.

Thus far Pain Therapeutics seems to have received the most money, reportedly winning more than $2M  to further drug R&D for central nervous system diseases and oncology. Ligand Pharmaceuticals comes in 2nd, with 8 development programs winning grant awards totaling over $1.96M. (HWM and GEN)