Arrowhead and Spring Bank Announce Clinical Collaboration for ARC-520 and SB 9200 in Chronic Hepatitis B

PASADENA, Calif. & HOPKINTON, Mass.–(BUSINESS WIRE)–

Arrowhead Pharmaceuticals Inc. (NASDAQ: ARWR) and Spring Bank

Pharmaceuticals, Inc. (NASDAQ: SBPH), a clinical-stage biopharmaceutical

company developing novel therapeutics for the treatment of viral

infections, cancer, and inflammatory diseases, today announced an

agreement to perform collaborative studies on Arrowhead’s ARC-520 and

Spring Bank’s SB 9200, for the treatment of chronic Hepatitis B (HBV).

The companies plan to first conduct preclinical models with both agents

together and then study the agents clinically in a cohort to be added to

Arrowhead’s ongoing MONARCH Phase 2b study, in which patients will

receive a dosing regimen that includes ARC-520, SB 9200, and an oral

direct-acting antiviral.

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“The MONARCH Phase 2b combination study was specifically designed to be

iterative in nature, allowing us to seamlessly add cohorts when

additional novel agents are available to study in combination with

ARC-520,” said Bruce Given, M.D., chief operating officer and head of

R&D at Arrowhead. “We see ARC-520, which is designed to silence the

production of all HBV gene products, as a potential backbone therapy for

combinations. Spring Bank’s SB 9200 is a promising immunomodulatory

agent with an interesting mechanism that we think has significant

therapeutic potential in combination with ARC-520 and a NUC.”

“Our collaboration with our colleagues at Arrowhead Pharmaceuticals will

be the first study of two completely novel agents in HBV, both focused

on delivering a functional cure,” said Nezam Afdhal, M.D., chief medical

officer at Spring Bank Pharmaceuticals. “We believe combining SB 9200

with Arrowhead’s ARC-520, along with an approved nucleotide(side)

polymerase inhibitor, has the potential to lead to a functional cure.

Together, we hope to demonstrate in the MONARCH trial that triple

therapy can increase HBV functional cure rates with a more favorable

tolerability profile and perhaps a shorter duration of treatment

relative to current standard of care with interferon-based regimens.”

About SB 9200

SB 9200 is Spring Bank’s novel small molecule, orally-available

selective immunomodulator compound being developed as both monotherapy

and combination therapy as a backbone for the treatment of chronic HBV

and other viral diseases. SB 9200 is currently being studied in the

ACHIEVE Phase II global trial. Part A of the ACHIEVE study is a

placebo-controlled, sequential cohort, double blind trial to evaluate

increasing doses of SB 9200 as monotherapy for 12 weeks followed by

tenofovir disoproxil fumarate 300mg (Viread Gilead Sciences Inc.) for a

further 12 weeks. Part B of the ACHIEVE study will evaluate SB 9200 in

combination with tenofovir and as monotherapy versus tenofovir

monotherapy after the optimal doses of SB 9200 are determined in Part A.

About ARC-520

Arrowhead’s ARC-520 is being investigated for its potential to produce

functional cures in patients with chronic hepatitis B virus (HBV)

infection. ARC-520 intervenes upstream of the reverse transcription

process where current standard-of-care nucleotide and nucleoside analogs

act, and is designed to silence the production of all HBV gene products.

The small interfering RNAs (siRNAs) in ARC-520 engage the body’s normal

cellular RNAi machinery and direct specific cleavage of HBV RNA

transcripts, thereby reducing the levels of HBV proteins and the RNA

template used to produce viral DNA. Arrowhead is investigating ARC-520

specifically to determine if significantly reducing circulating and

non-circulating viral proteins and RNA will allow for re-constitution of

an effective host immune response and ultimately HBsAg seroclearance

resulting in functional cure. As many as 350-400 million people

worldwide are chronically infected with the hepatitis B virus, which can

lead to cirrhosis of the liver and is responsible for 80% of primary

liver cancers globally. Arrowhead is currently conducting Phase 2b

multiple dose and combination studies in chronic HBV patients. In

clinical studies to date, the most common reported adverse events in all

subjects completing treatment were upper respiratory infection and

headache.

About Arrowhead Pharmaceuticals

Arrowhead Pharmaceuticals develops medicines that treat intractable

diseases by silencing the genes that cause them. Using a broad portfolio

of RNA chemistries and efficient modes of delivery, Arrowhead therapies

trigger the RNA interference mechanism to induce rapid, deep, and

durable knockdown of target genes. RNA interference, or RNAi, is a

mechanism present in living cells that inhibits the expression of a

specific gene, thereby affecting the production of a specific protein.

Arrowhead’s RNAi-based therapeutics leverage this natural pathway of

gene silencing. The company’s pipeline includes ARC-520 and ARC-521 for

chronic hepatitis B virus infection, ARC-AAT for liver disease

associated with alpha-1 antitrypsin deficiency, ARC-F12 for hereditary

angioedema and thromboembolic disorders, ARC-LPA for cardiovascular

disease, and ARC-HIF2 for renal cell carcinoma.

For more information please visit www.arrowheadpharma.com,

or follow us on Twitter @ArrowheadPharma.

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DYNAMIC POLYCONJUGATES is a trademark of Arrowhead

Pharmaceuticals, Inc.

About Spring Bank Pharmaceuticals

Spring Bank Pharmaceuticals is a clinical-stage biopharmaceutical

company engaged in the discovery and development of a novel class of

therapeutics using its proprietary small molecule nucleic acid hybrid,

or SMNH, chemistry platform. The company is developing its most advanced

SMNH product candidate, SB 9200, for the treatment of viral diseases,

including hepatitis B virus.

Arrowhead Safe Harbor Statement under the Private Securities

Litigation Reform Act:

This news release contains forward-looking statements within the

meaning of the “safe harbor” provisions of the Private Securities

Litigation Reform Act of 1995. These statements are based upon our

current expectations and speak only as of the date hereof. Our actual

results may differ materially and adversely from those expressed in any

forward-looking statements as a result of various factors and

uncertainties, including our ability to finance our operations, the

future success of our scientific studies, our ability to successfully

develop drug candidates, the timing for starting and completing clinical

trials, rapid technological change in our markets, and the enforcement

of our intellectual property rights. Our most recent Annual Report on

Form 10-K and subsequent Quarterly Reports on Form 10-Q discuss some of

the important risk factors that may affect our business, results of

operations and financial condition. We assume no obligation to update or

revise forward-looking statements to reflect new events or circumstances.

Spring Bank Safe Harbor Statement:

Any statements in this press release about Spring Bank’s future

expectations, plans and prospects, including statements about Spring

Bank’s financial prospects, future operations and sufficiency of funds

for future operations, clinical development of Spring Bank’s product

candidates, expectations regarding future clinical trials and future

expectations and plans and prospects for Spring Bank and other

statements containing the words “believes,” “anticipates,” “estimates,”

“expects,” “intends,” “plans,” “predicts,” “projects,” “targets,” “may,”

“potential,” “will,” “would,” “could,” “should,” “continue,” and similar

expressions, constitute forward-looking statements within the meaning of

The Private Securities Litigation Reform Act of 1995. Actual

results may differ materially from those indicated by such

forward-looking statements as a result of various important factors,

including whether Spring Bank’s cash resources will be sufficient to

fund its continuing operations for the periods anticipated; whether

results obtained in clinical trials will be indicative of results

obtained in future clinical trials; whether Spring Bank’s product

candidates will advance through the clinical trial process on a timely

basis; whether the results of such trials will warrant submission for

approval from the United States Food and Drug Administration or

equivalent foreign regulatory agencies; whether Spring Bank’s product

candidates will receive approval from regulatory agencies on a timely

basis or at all; whether, if product candidates obtain approval, they

will be successfully distributed and marketed; and other factors

discussed in the “Risk Factors” section of Spring Bank’s quarterly

report on Form 10-Q for the quarter ended June 30, 2016, which is on

file with the SEC, and in other filings Spring Bank makes with

the SEC from time to time. In addition, the forward-looking statements

included in this press release represent Spring Bank’s views as of the

date hereof. Spring Bank anticipates that subsequent events and

developments will cause Spring Bank’s views to change. However, while

Spring Bank may elect to update these forward-looking statements at some

point in the future, Spring Bank specifically disclaims any obligation

to do so. These forward-looking statements should not be relied upon as

representing Spring Bank’s views as of any date subsequent to the date

hereof.

Source: Arrowhead Pharmaceuticals, Inc.

Arrowhead Contacts:
Arrowhead Pharmaceuticals, Inc.
Vince

Anzalone, CFA
626-304-3400
ir@arrowheadpharma.com
or
Investor

Relations:
The Trout Group
Chad Rubin, 646-378-2947
ir@arrowheadpharma.com
or
Media:
Russo

Partners
Matt Middleman, M.D.
212-845-4272
matt.middleman@russopartnersllc.com
or
Spring

Bank Contacts:
Jon Freve
Chief Financial Officer
508-500-4956
jfreve@springbankpharm.com

Source: Arrowhead Pharmaceuticals Inc.

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