Perspective Therapeutics Divests Brachytherapy Business
SEATTLE, Dec. 12, 2023 (GLOBE NEWSWIRE) -- (“Perspective” or “the Company”) (NYSE AMERICAN: CATX), today announced it agreed to fully divest its brachytherapy business, including its radioactive Cesium-131 seed assets and related business infrastructure, to GT Medical Technologies, Inc. (“GT Medical”). The transaction is expected to close in the first quarter of 2024 and is subject to customary closing conditions.
Under the terms of the transaction, Isoray Medical, Inc. (“Isoray”), a wholly-owned subsidiary of the Company, agreed to sell, and GT Medical agreed to purchase, the Company’s commercial Cesium-131 brachytherapy division and certain related assets including inventory and intellectual property. The assets to be sold consist primarily of customer and supplier lists, production line equipment, intellectual property associated with the brachytherapy division, computer equipment and software used in the brachytherapy division, and the assignment of the brachytherapy manufacturing facility lease in Richland, WA, along with the assignment of other vendor contracts. The Company will retain most liabilities that exist as of the closing date including environmental, warranty, taxes, accrued payroll and vacation, and accounts payable. The Company will retain all the accounts receivable as of the date of closing. As consideration for the transaction, Perspective will receive an equity interest in GT Medical and will have the right to receive certain cash royalties on net sales of Cesium-131 seeds and GT Medical’s GammaTile therapy utilizing Cesium-131 over the four-year period following the closing of the transaction.
The sale strengthens Perspective Therapeutics’ position in the lead (Pb)-based targeted alpha-particle therapeutic space with all Company resources now dedicated to early discovery, and clinical development of the Company’s melanoma (VMT01) and neuroendocrine tumor (VMT-α-NET) clinical programs.
“At Perspective Therapeutics, we are relentlessly focused on realizing the therapeutic potential for the best possible isotopes that can be used to benefit patients with difficult-to-treat oncological indications," said Perspective Therapeutics CEO Thijs Spoor. “The sale of our brachytherapy business marks a key strategic re-prioritization that allows us to focus on and dedicate resources towards accelerating the clinical development of our proprietary alpha-particle therapy portfolio. We believe that this focused allocation of resources will enable us to unlock shareholder value, with the added confidence that Cesium-131 as a brachytherapy technology, and the incredibly talented team dedicated to its production and commercialization, is in excellent hands.”
GT Medical has been a long-time customer of Perspective Therapeutics as their patented innovation of the GammaTile product contains Cesium-131 radioactive seeds. This Surgically Targeted Radiation Therapy (STaRT) starts radiation immediately after tumor removal to help eradicate residual tumor cells in patients with brain tumors. The acquisition strengthens its position in the market by ensuring access to and control over radioactive seed production. In addition, it expands GT Medical’s customer base to include multiple facilities treating patients with prostate, lung, head & neck, and gynecological tumors.
“As a longstanding customer, we are impressed by the infrastructure that Perspective Therapeutics established for its Cesium-131 brachytherapy business,” said GT Medical Technologies CEO Matthew Likens. “Our acquisition of these Cesium-131 related assets makes GT Medical Technologies well positioned to enhance the delivery of GammaTile Therapy in the U.S. market, building on our commitment to excellence for both patients and the clinicians. We are excited about integrating the Cesium-131 brachytherapy team following the closing of the transaction.”
About Perspective Therapeutics, Inc.
Perspective Therapeutics, Inc., is a diversified medical technology and radiopharmaceutical company that is pioneering advanced treatment applications for cancers throughout the body. The Company has a proprietary technology that utilizes the alpha emitting isotope 212Pb to deliver powerful radiation specifically to cancer cells via specialized targeting peptides. The Company is also developing complementary imaging diagnostics that incorporate the same targeting peptides which provide the opportunity to personalize treatment and optimize patient outcomes. This "theranostic" approach enables the ability to see the specific tumor and then treat it to potentially improve efficacy and minimize toxicity associated with many other types of cancer treatments.
The Company's melanoma (VMT01) and neuroendocrine tumor (VMT-α-NET) programs have entered Phase 1/2a imaging and therapy trials for the treatment of metastatic melanoma and neuroendocrine tumors at several leading academic institutions. The Company has also developed a proprietary 212Pb generator to secure key isotopes for clinical trial and commercial operations.
For more information, please visit the Company's website at .
About GT Medical Technologies, Inc.
Driven to raise the standard of care and improve the lives of patients with brain tumors, a team of brain tumor specialists formed GT Medical Technologies. GammaTile is FDA-cleared as a treatment for patients with newly diagnosed malignant intracranial neoplasms and patients with recurrent intracranial neoplasms. Since its full market release in the United States in March 2020, GammaTile has been offered in over 100 leading institutions, with more centers being added each month. For more information, visit and follow @GammaTile on and .
Safe Harbor Statement
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