Lattice Biologics Ltd V.LBL.H

>> Lattice begins enrolling patients for AmnioBoost trial <<

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https://www.stockwatch.com/News/Item?bid=Z-C%3aLBL-2878697&symbol=LBL&region=C

Mr. Guy Cook reports

LATTICE BIOLOGICS LTD. ANNOUNCES INITIAL RECRUITMENT OF PATIENTS FOR A PHASE 1 CLINICAL TRIAL TO ACCESS SAFETY AND EFFICACY OF AMNIOBOOST FOR TREATMENT OF COVID-19

Lattice Biologics Ltd. has begun enrolling patients in its phase 1 clinical trial to address safety and efficacy of its novel stem cell technology, AmnioBoost, for the treatment of severe acute respiratory syndrome (SARS) related to Covid-19 infection.

AmnioBoost is derived from amniotic fluid taken from non-related, healthy, living donors during a Caesarian delivery. The baby is not harmed in any way.

To be eligible for the U.S. trial, individuals must have laboratory-confirmed infection with Covid-19 and evidence of lung involvement requiring supplemental oxygen or mechanical ventilation. The study will not enroll individuals with mild symptoms or individuals who are asymptomatic.

All potential patients will undergo a physical exam, participants will then be randomized into the investigational group or the placebo group. Individuals enrolled into the investigational group will receive about five million stem cells of AmnioBoost on the first day of enrolment and will receive another about five million stem cells on the second day of enrolment.

Clinicians will monitor the patients' temperature, blood pressure, need for supplemental oxygen and other factors daily to determine daily scores based on a scale of clinical outcomes.

In the initial stage of investigation, the clinicians will compare participant outcomes on day seven in both groups to assess if AmnioBoost treatment has produced any clinical benefit.

The study will be halted if there is no evidence of a treatment difference between AmnioBoost and placebo.

Initial patient enrolment in the trial will be limited to 10 patients and conducted in the Seattle area, as it is one of the most concentrated areas of Covid-19 infection in the United States.

"We thank the patients in advance for their participation in this cost free to the patient trial. We look forward to using a novel technology in the treatment of this highly infectious disease and to make sure the trial is carried out in the most effective manner possible," said Guy Cook, chief executive officer of Lattice Biologics.

In addition, the company announces that it was named in a statement of claim filed January, 2019, by Cheryl Farmer, the former chief financial officer of the company, for wrongful dismissal in the amount of $2.5-million (U.S.). The company and the plaintiff have come to a satisfactory resolution and Lattice Biologics trusts that Ms. Farmer will have success in her future endeavours.

The company reserved $600,000 (Canadian) in its most recent audited financial statements. The settlement includes a severance payment of $100,000 to be paid over nine months, and 18 million shares at five Canadian cents. The shares are subject to TSX Venture Exchange approval, and all regulatory restrictions.

Further, the company has arranged a non-brokered private placement of up to 10 million units at a price of 10 cents per unit for aggregate gross proceeds of $1-million. Each unit will comprise one common share and one-half transferable share purchase warrant of the company. Each full warrant will entitle the subscriber to purchase one warrant share for a 24-month period after the closing date at an exercise price of 10 cents per share. Proceeds raised from the offering will be used for the expansion of its stem cell technology to address Covid-19. Finders' fees may be payable on the private placement, subject to the policies of the TSX Venture Exchange.

This offering is subject to TSX Venture Exchange acceptance and expected to close March 30, 2020.

The company also announces that its board of directors has today approved the grant of three million stock options to directors, and six million shares to employees and consultants, which are exercisable into common shares of the company at a price of 7.5 cents per common share in accordance with TSX Policy 4.4, subject to the rules of the TSX Venture Exchange and the corporation's stock option plan. The options have a term of five years and will expire on March 16, 2025.

About Lattice Biologics Ltd.

The company is an emerging personalized/precision medicine leader in the field of cellular therapies and tissue engineering, with a focus on bone, skin and cartilage regeneration.