BUFFALO, N.Y., Nov. 27, 2012 (GLOBE NEWSWIRE) -- Cleveland BioLabs, Inc. (Nasdaq:CBLI) and Panacela Labs, Inc. today announced award of a contract valued at 146 million rubles, or approximately $4.6 million (based on current exchange rates), with the Ministry of Industry and Trade of the Russian Federation for development of Xenomycins, a family of compounds in development as anti-infective agents. The contract, issued under the Russian Federation's "Pharma 2020" development initiative, provides matching funding over a period of approximately three years, which will be used to support preclinical and clinical studies.
Dmitry Tyomkin, MBA, Chief Executive Officer of Panacela Labs, commented: "We are very pleased to have secured additional funding for Xenomycins through this highly competitive program. We believe that our success underscores the quality of our science and ability to generate exciting drug candidates. We expect that the contract will enable us to accelerate our preclinical program and evaluate the potential application of Xenomycins against life threatening infectious diseases."
Xenomycins exhibit a novel mode of targeting DNA in pathogenic microbes. Preclinical studies demonstrated efficacy of these compounds against a range of parasites and pathogenic fungi causing clinically significant infections such as candidiasis and aspergillosis.
More information about the Pharma 2020 program may be found at:
About Panacela Labs
Panacela Labs is a biotechnology startup company developing a portfolio of novel treatments in the fields of oncology and infectious diseases. Panacela Labs, Inc. was founded in 2011 as a joint venture between Cleveland BioLabs, Inc. and Open Joint Stock Company "RUSNANO", a Russian investment company, in collaboration with Roswell Park Cancer Institute, Children's Cancer Institute of Australia and Cleveland Clinic Foundation. Panacela Labs is 54.6% owned by Cleveland BioLabs. To learn more about Panacela Labs, please visit the Company's website at http://www.panacelalabs.com
About Cleveland BioLabs
Cleveland BioLabs, Inc. is a clinical-stage biotechnology company leveraging deep mechanistic understanding of the cell death process, apoptosis, to develop a robust pipeline of compounds primarily focused on oncology applications and mitigation of radiation injury. The Company's lead compound is being developed as both a radiation countermeasure and a cancer treatment. The Company has two operating subsidiaries, Incuron, LLC, and Panacela Labs, Inc., and strategic relationships with the Cleveland Clinic, Roswell Park Cancer Institute, the Children's Cancer Institute Australia and the Armed Forces Radiobiology Research Institute. To learn more about Cleveland BioLabs, Inc., please visit the Company's website at http://www.cbiolabs.com.
The Cleveland BioLabs, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=11668
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current expectations, as of the date of this press release, and involve certain risks and uncertainties. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors.
These factors include, among others, the Company's history of operating losses and the potential for future losses; the Company's need for substantial additional financing to meet its business objectives; the potential for the loss of funding from the Company's R&D grants and contracts and its ability to win additional funding under such grants and contracts; the Company's failure to successfully and timely develop new products; the risks inherent in the early stages of drug development and in conducting clinical trials; the Company's inability to obtain regulatory approval in a timely manner or at all; the Company's collaborative relationships and the financial risks related thereto; the Company's ability to comply with its obligations under license agreements; the potential for significant product liability claims; and the Company's ability to comply with various safety, environmental and other governmental regulations. Some of these factors could cause future results to materially differ from the recent results or those projected in forward-looking statements. See also the "Risk Factors" and "Forward-Looking Statements" described in the Company's periodic filings with the Securities and Exchange Commission.
Rachel Levine, Director Investor Relations & Communications
Cleveland BioLabs, Inc.
T: (646) 284-9439