Kalytera Therapeutics Inc (OTCMKTS:KALTF) intends to take over Salzman Group. The company already signed an LOI and expects to acquire West Tisbury, MA based Salzman, soon after conducting due diligence. Kalytera will halt trading of its shares in compliance with the TSX Venture Exchange for the proposed takeover. The company will issue 130 million common shares within 30 days of signing a definitive accord to takeover Salzman Group. In return, Salzman Group will provide a license to Kalytera for the development and commercialization of R-107 to cure coronavirus related lung illness in Canada.
On signing the definitive agreements, Kalytera will seek the approval of its shareholders in a special meeting within 120 days to issue an additional 394 million shares to Salzman Group.
Owns a proprietary drug – R-107
Salzman holds R-107, the new drug that holds patents for methods of use in 40 nations that comprise India, Europe, Australia, the US, South Korea, Russia, Japan, Brazil, and China. R-107 is used to cure coronavirus related lung disease, PAH (pulmonary arterial hypertension), and CILI (chlorine inhalation lung injury).
A liquid prodrug – R-107 that comprises nitric oxide is approved to treat newborns suffering from acute respiratory failure. According to the clinical study, the antiviral property of nitric oxide acts against coronavirus strains. Salzman Group is at the forefront in developing R-107 to cure coronavirus associated lung disease.
Salzman Group is at advanced stages of developing innovative R-107 for the treatment of CILI with investment support from the Department of HHS (Health and Human Services), BARDA contract, and the Assistant Secretary’s office for preparedness and response.
Will file a separate application
Salzman Group will apply to get additional BARDA contract and promote the development of R-107 to cure coronavirus related lung ailment. The company expects to receive funding of $84.9 million under the BARDA contract for curing CILI. Salzman Group expects to receive $20 million in funding for the new BARDA contract to develop R-107 for the treatment of lung illness caused by coronavirus.
Kalytera to realize profits of $4.2 million
Kalytera expects to realize a $4.2 million profit in the next three years if Salzman Group meets the new BARDA contract’s milestones. The company will earn $1.2 million under the new BARDA contract on achieving all the developmental milestones.
 Expects To Sign Definitive Accord To Buy Salzman Group By June 15, 2020){kind=link}