Sangamo Therapeutics (SGMO) is focused on developing and commercializing novel genomic therapies. Its genome editing and gene regulation platform is based on the engineering of a type of transcription factors called zinc finger DNA binding proteins (or ZFP) that naturally occur in humans. Sangamo has entered into key collaborations with Kite Pharma, a subsidiary of Gilead Sciences (GILD) and Pfizer (PFE).
Sangamo entered into a collaboration with Kite in February 2018 to develop and commercialize potential engineered cell therapies for treating cancer. Sangamo received an upfront payment of $150 million.
In May 2017, Sangamo entered into a global collaboration with Pfizer to develop and commercialize SB-525, which is targeted for hemophilia A. In December 2017, the two companies entered into a separate collaboration to develop and commercialize potential gene therapy products that utilize ZFP transcription factors for treating amyotrophic lateral sclerosis (or ALS) and frontotemporal lobar degeneration (or FTLD).
Sangamo is currently conducting a Phase 1/2 trial of SB-525. The preliminary data from the trial showed that that the drug was well tolerated with no serious adverse events related to the treatment. A dose-dependent effect was observed in the study where patients in the second dose cohort reported a reduced use of factor replacement. Sangamo expects to present detailed data from this study in the fourth quarter of 2018.
Sangamo Therapeutics generated total collaboration and research grant revenues of $21.42 million in the second quarter compared to $8.25 million in Q2 2017.
For fiscal 2018 and fiscal 2019, Sangamo is expected to generate revenues of $82.73 million and $89.39 million, respectively, compared to $36.57 million in fiscal 2017.
We’ll look at Sangamo Therapeutics’ valuation metrics in the next part.