T2 Biosystems Announces BARDA Exercise of Contract Option 3 Valued at $3.7 Million

Rhea-AI Summary

T2 Biosystems receives additional funding from BARDA to advance clinical trials and FDA submissions for T2Resistance and T2Biothreat panels.

Positive

• T2 Biosystems receives $3.7 million in additional funding from BARDA for clinical trials and FDA submissions.
• Total potential BARDA funding is $62.0 million.
• The funding will be used to advance the U.S. clinical trials for the T2Resistance Panel and T2Biothreat Panel.
• The new products have the potential to reduce the threat of antimicrobial resistance and protect against biothreat pathogens.

Negative

• None.

Advances U.S. Clinical Trials and FDA Submission for T2Resistance and T2Biothreat Panels

LEXINGTON, Mass., Sept. 29, 2022 (GLOBE NEWSWIRE) -- T2 Biosystems, Inc. (NASDAQ:TTOO), a leader in the rapid detection of sepsis-causing pathogens and antibiotic resistance genes, announced today that the Biomedical Advanced Research and Development Authority (BARDA), part of the Office of the Assistant Secretary for Preparedness and Response at the U.S. Department of Health and Human Services, is providing an additional $3.7 million in funding for the multiple-year cost-share contract between BARDA and T2 Biosystems. The total potential BARDA funding if all contract options are exercised is $62.0 million, reflecting a reduction in the scope of work under contract option 3.

The additional funding will be used to advance the U.S. clinical trials for the T2Resistance® Panel and T2Biothreat® Panel and file submissions to the U.S. Food and Drug Administration (FDA) for U.S. regulatory clearance.

• T2Resistance® Panel: a direct-from-blood test panel designed to run on the T2Dx Instrument and simultaneously detect thirteen antibiotic resistance genes from both Gram-positive and Gram-negative bacterial pathogens, which are known to cause antibiotic-resistant infections.
• T2Biothreat® Panel: a direct-from-blood test panel designed to run on the T2Dx Instrument and simultaneously detect six biothreat pathogens, including: Bacillus anthracis, Francisella tularensis, Burkholderia mallei, Burkholderia pseudomallei, Yersinia pestis, and Rickettsia prowazekii.

"We are pleased to advance the U.S. clinical trials for the T2Resistance Panel and T2Biothreat Panel, in collaboration with BARDA, and subsequently file submissions with FDA for U.S. regulatory clearance,” stated John Sperzel, Chairman and CEO of T2 Biosystems. “These new products will expand the test menu on our T2Dx Instrument and have the potential to reduce the threat of antimicrobial resistance and protect the nation from biothreat pathogens.”

This project has been funded in whole or in part with federal funds from the Department of Health and Human Services; Office of the Assistant Secretary for Preparedness and Response; Biomedical Advanced Research and Development Authority, under contract number 75A50119C00053.

About T2 Biosystems
T2 Biosystems, a leader in the rapid detection of sepsis-causing pathogens and antibiotic resistance genes, is dedicated to improving patient care and reducing the cost of care by helping clinicians effectively treat patients faster than ever before. T2 Biosystems’ products include the T2Dx® Instrument, T2Bacteria® Panel, T2Candida® Panel, T2Resistance® Panel, and T2SARS-CoV-2™ Panel and are powered by the Company’s proprietary T2 Magnetic Resonance (T2MR®) technology. T2 Biosystems has an active pipeline of future products, including the T2Cauris™ Panel, T2Lyme™ Panel, as well as additional products for the detection of bacterial and fungal pathogens and associated antimicrobial resistance markers, and biothreat pathogens.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the full value of the BARDA contract, the development of products under that contract, and the potential benefit of those products with respect to the diagnosis and management of bloodstream infections, antimicrobial resistance, and patient outcomes, as well as statements that include the words “expect,” “intend,” “plan”, “believe”, “project”, “forecast”, “estimate,” “may,” “should,” “anticipate,” and similar statements of a future or forward looking nature. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, (i) any inability to (a) realize anticipated benefits from commitments, contracts or products; (b) successfully execute strategic priorities; (c) bring products to market; (d) expand product usage or adoption; (e) obtain customer testimonials; (f) accurately predict growth assumptions; (g) realize anticipated revenues; (h) incur expected levels of operating expenses; or (i) increase the number of high-risk patients at customer facilities; (ii) failure of early data to predict eventual outcomes; (iii) failure to make or obtain anticipated FDA filings or clearances within expected time frames or at all; or (iv) the factors discussed under Item 1A. “Risk Factors” in the company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the U.S. Securities and Exchange Commission, or SEC, on March 23, 2022, and other filings the company makes with the SEC from time to time. These and other important factors could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While the company may elect to update such forward-looking statements at some point in the future, unless required by law, it disclaims any obligation to do so, even if subsequent events cause its views to change. Thus, no one should assume that the Company’s silence over time means that actual events are bearing out as expressed or implied in such forward-looking statements. These forward-looking statements should not be relied upon as representing the company’s views as of any date subsequent to the date of this press release.

Investor Contact:
Philip Trip Taylor, Gilmartin Group
ir@T2Biosystems.com
415-937-5406

FAQ

What is T2 Biosystems?

T2 Biosystems is a company that specializes in the rapid detection of sepsis-causing pathogens and antibiotic resistance genes.

What is BARDA?

BARDA is the Biomedical Advanced Research and Development Authority, part of the Office of the Assistant Secretary for Preparedness and Response at the U.S. Department of Health and Human Services.

How much funding did T2 Biosystems receive from BARDA?

T2 Biosystems received an additional $3.7 million in funding from BARDA.

What is the total potential BARDA funding for T2 Biosystems?

The total potential BARDA funding is $62.0 million.

What will the funding be used for?

The funding will be used to advance the U.S. clinical trials for the T2Resistance Panel and T2Biothreat Panel and file submissions to the U.S. Food and Drug Administration (FDA) for regulatory clearance.

What are the T2Resistance and T2Biothreat panels?

The T2Resistance panel is a direct-from-blood test panel designed to detect thirteen antibiotic resistance genes. The T2Biothreat panel is designed to detect six biothreat pathogens.

What is the potential impact of the new products?

The new products have the potential to reduce the threat of antimicrobial resistance and protect against biothreat pathogens.