Brooklyn ImmunoTherapeutics Completes Reverse Merger with NTN Buzztime

Rhea-AI Summary

Brooklyn ImmunoTherapeutics (NYSE American: BTX) has completed a reverse merger with NTN Buzztime, Inc., enhancing its focus on the IRX-2 cytokine therapy for cancer treatment. The merger allows Brooklyn to advance clinical trials of IRX-2, which has received fast track and orphan drug designations from the FDA for its potential in treating advanced head and neck cancer. Post-merger, approximately 96.25% of Brooklyn's outstanding common stock is held by former members of Brooklyn ImmunoTherapeutics LLC, with around 41.5 million shares outstanding.

Positive

• Completion of the reverse merger with NTN Buzztime, enabling strategic focus on IRX-2 development.
• IRX-2 has fast track and orphan drug designations from the FDA, indicating significant market potential.
• Ongoing clinical trials suggest potential efficacy in multiple oncology indications.

Negative

• None.

Brooklyn ImmunoTherapeutics, Inc. (NYSE American: BTX) (“Brooklyn”), a biopharmaceutical company focused on exploring the role that cytokine-based therapy can have in treating patients with cancer, today announced the completion of the reverse merger with NTN Buzztime, Inc. Brooklyn will focus on the advancement of IRX-2, its cytokine-based compound for the treatment of various cancers, as well as opportunities in the area of gene editing/cell therapy through its option agreement with Factor Bioscience/Novellus. Brooklyn's common stock will trade on the NYSE American Exchange under the ticker symbol “BTX” commencing on March 26, 2021.

"The reverse merger with NTN Buzztime is a major step forward for Brooklyn,” said Ronald Guido, MS, MS Pharm. Med., Chief Executive Officer of Brooklyn. “We look forward to continuing to evaluate IRX-2, a human cell-derived IL-2 therapeutic in neoadjuvant (pre-surgical) and adjuvant (post-operative) treatment for advanced head and neck squamous cell cancer. IRX-2 has received both fast track designation and orphan drug designation from the FDA for this indication with topline results from our Phase 2b clinical trial expected in the first half of next year. IRX-2 is also being studied in clinical trials in multiple oncology indications, both as a single agent and in combination with other anti-cancer drugs including checkpoint inhibitors.”

At the closing under the merger agreement, Brooklyn ImmunoTherapeutics LLC merged with a wholly owned subsidiary of NTN Buzztime and became a wholly owned subsidiary of NTN Buzztime, which changed its name to Brooklyn ImmunoTherapeutics, Inc. Immediately following the closing, the former members of Brooklyn ImmunoTherapeutics LLC collectively own approximately 96.25% of the outstanding common stock of Brooklyn and the stockholders of NTN Buzztime prior to the merger own the remaining 3.75% of Brooklyn’s outstanding common stock. Further, following the closing of the merger, there are approximately 41.5 million post-reverse split shares of common stock outstanding.

In connection with the transaction, Maxim Group LLC served as the financial advisor for Brooklyn.

About IRX-2

IRX-2 is an allogeneic, reproducible, primary, human cell-derived IL-2 therapeutic with multiple active cytokine components that act on various parts of the immune system, to activate the entire tumor microenvironment. In addition to IL-2, IRX-2 contains multiple human cytokines that promote or enhance an immune response. IRX-2 is administered as a subcutaneous injection around lymph node beds.

IL-2 is a powerful immune factor that plays an important role in maintaining and restoring T cell response. IL-2 has induced response in cancer patients however recombinant formulations of IL-2 have been limited by toxicity and high doses of recombinant IL-2 results in significant immune-related adverse effects.

About Brooklyn ImmunoTherapeutics, Inc.

Brooklyn is focused on exploring the role that cytokine-based therapy can have in treating patients with cancer, both as a single agent and in combination with other anti-cancer therapies. The company is also exploring opportunities to advance therapies using leading edge gene editing/cell therapy technology through its option agreement with Factor Bioscience/Novellus.

Brooklyn’s most advanced program is studying the safety and efficacy of IRX-2 in patients with head and neck cancer. In a Phase 2A clinical trial in head and neck cancer, IRX-2 demonstrated an overall survival benefit. Additional studies are either underway or planned in other solid tumor cancer indications.

For more information about Brooklyn and its clinical programs, please visit www.BrooklynITx.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210325005960/en/

FAQ

What was the significance of the reverse merger between Brooklyn and NTN Buzztime?

The reverse merger allows Brooklyn to focus on advancing its IRX-2 therapy for cancer treatment, enhancing its financial and operational capabilities.

What is IRX-2 and its relevance to Brooklyn ImmunoTherapeutics?

IRX-2 is a cytokine-based compound being developed by Brooklyn for various cancers, noted for its fast track and orphan drug designations by the FDA.

When will Brooklyn ImmunoTherapeutics stock begin trading under the ticker symbol BTX?

Brooklyn's common stock began trading under the ticker symbol BTX on March 26, 2021.

What percentage of Brooklyn's stock is owned by former members of Brooklyn ImmunoTherapeutics LLC?

Former members of Brooklyn ImmunoTherapeutics LLC collectively own approximately 96.25% of Brooklyn's outstanding common stock post-merger.

What are the expected outcomes of the Phase 2b clinical trial for IRX-2?

Topline results from the Phase 2b clinical trial for IRX-2 are expected in the first half of next year, which will provide insights into its effectiveness against advanced head and neck squamous cell cancer.