Kala Pharmaceuticals Inc (NASDAQ: KALA) said it would focus its efforts on KPI-012, mesenchymal stem cell secretome (MSC-S), for rare and severe ocular diseases.
The company has ceased the development of its other preclinical pipeline programs, including KPI-287, its receptor tyrosine kinase inhibitor, and selective glucocorticoid receptor modulators.
Kala plans to initiate a Phase 2/3 trial of KPI-012 in Persistent corneal epithelial defect (PCED) patients in Q4. Topline data is expected in 1Q 2024.
In addition to PCED, Kala is evaluating the potential of KPI-012 for Partial Limbal Stem Cell Deficiency and ocular manifestations of moderate-to-severe Sjögren's.
Kala also plans to initiate preclinical studies for KPI-014, the company's program evaluating the utility of its MSC-S platform for retinal degenerative diseases such as Retinitis Pigmentosa and Stargardt Disease, to select a retinal indication for development in 2H of 2023.
Kala ended Q2 with cash, cash equivalents, and short-term investments of $44.6 million, which along with the net proceeds from the Alcon transaction, will enable it to fund its operations into Q2 of 2024.
Following the Alcon transaction, the company reduced its corporate infrastructure and anticipates approximately a 50% reduction in non-GAAP operating expenses in 2H of 2022 and a 60-70% reduction in non-GAAP total operating expenses for the full year 2023 compared to the full year 2021.
Price Action: KALA shares are up 14.90% at $0.40 on the last check Thursday.
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