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BioLineRx Issues Letter to Shareholders
BLRXBioLineRx(BLRX) Prnewswire·2025-01-21 12:00

Core Viewpoint - BioLineRx Ltd. has outlined its strategic long-term vision and financial outlook following a significant licensing agreement for its product APHEXDA, aiming to maximize shareholder value while rebuilding its pipeline with new assets [2][10]. Licensing Agreements - The exclusive license agreement with Ayrmid Ltd. allows for the development and commercialization of APHEXDA outside Asia, with BioLineRx receiving a 10millionupfrontpaymentandpotentialadditionalmilestonesofupto10 million upfront payment and potential additional milestones of up to 87 million, plus royalties of 18% to 23% on net sales [4]. - The agreement with Guangzhou Gloria Biosciences Co., Ltd. grants rights for development and commercialization in Asia, with BioLineRx receiving a 15millionupfrontpaymentandpotentialmilestonesofapproximately15 million upfront payment and potential milestones of approximately 50 million for development and regulatory achievements, along with up to 200millionbasedonsalestargets[5].FinancialPosition−Thecompanyhasstrengtheneditsbalancesheetwith200 million based on sales targets [5]. Financial Position - The company has strengthened its balance sheet with 29.5 million in cash and a reduced operating burn rate of approximately 12millionperyear,providingacashrunwaythroughthesecondhalfof2026[11][14].−Recentequityfinancingof12 million per year, providing a cash runway through the second half of 2026 [11][14]. - Recent equity financing of 10 million further supports the company's financial stability and operational goals [11]. Strategic Focus - BioLineRx is returning to its core competency as a lean drug development company, focusing on in-licensing additional assets in oncology and rare diseases over the next two years [6][8]. - The company aims to develop innovative assets while offsetting development costs through royalties and milestones from existing partnerships [10]. Clinical Development - BioLineRx retains rights to develop motixafortide for solid tumor indications outside Asia, with ongoing and planned Phase 2b trials at minimal cost to the company [7]. - The company is actively scouting for promising opportunities that can be acquired or licensed with modest upfront payments and affordable clinical development programs [9]. Nasdaq Compliance - To maintain compliance with Nasdaq's minimum bid price requirement, BioLineRx plans to implement a reverse stock split, changing the ratio of American Depositary Shares to ordinary shares from 15 to 600, effective January 30, 2025 [12][13].