Skinvisible Announces Proposed Merger with Quoin Pharmaceuticals
New company expected to have an exciting product portfolio addressing major unmet medical needs
Las Vegas, NV - November 27th, 2017 - Skinvisible, Inc. ("Skinvisible") (OTCQB: SKVI), announced that it has entered into a non-binding term sheet regarding a proposed merger of Skinvisible, Inc. with and into Quoin Pharmaceuticals Limited ("Quoin") subject to tax, accounting, legal, regulatory, and other considerations.
Founded by industry veterans, each with over 30 years of direct experience and a proven track record of success in drug delivery and specialty pharma, Quoin Pharmaceuticals is committed to developing products which address major societal issues including the opioid epidemic and the military veteran suicide rate. Quoin's two lead products are targeting crises that result in the death of almost 120 people in the US every day.
About Quoin Pharmaceuticals, Inc.
The company's proposed first lead product, QRX001, is a single use transdermal non-competitive NMDA receptor antagonist intended for the treatment of post-surgical pain. QRX001 will be designed to provide up to 72 hours of effective analgesia post-surgically while reducing opioid consumption. Opioid abuse has become a national epidemic, with over 90 deaths each day resulting from opioid overdose. It is estimated that half of these victims are first introduced to opioids in the post-surgical setting. QRX001, when developed, may provide surgeons with a more effective alternative to opioids and to current opioid sparing products such as intravenous NSAIDS and long acting local anesthetics. The current market for opioids in the US is estimated at $6 billion annually. The highly differentiated nature of QRX001 could position it to capture a significant market share either as monotherapy or as a key component of effective multi-modal therapy. Quoin intends to apply for Fast Track status for QRX001.
Quoin's proposed second product, QRX002, will be a once-daily transdermal NMDA receptor antagonist for the treatment of suicidal ideation in military veterans with PTSD. It is estimated that between 25-30 veterans commit suicide every day in the US. Currently, the only approved treatments are standard anti-depressants which are either ineffective or act very slowly resulting in a clear unmet medical need to address this growing crisis. Quoin believes QRX002 may be a candidate for both Orphan Drug status for QRX002 and Breakthrough Therapy status. Quoin will initiate formal development of both products and is targeting generating Phase 2 clinical data in 2018.
We believe that the value of the technology and product synergies between our two companies could be extremely strong," said Terry Howlett, President of Skinvisible. "This potential merger with Quoin is the best option for our company and may offer significant value to shareholders as Quoin commences and progresses with its clinical development plans. We look forward to working with Quoin's team of experts to maximize the product development opportunities."
"We are very pleased to announce this proposed merger with Skinvisible and we are excited by the growth platform the combined companies can present." said Dr. Michael Myers, Chairman and CEO of Quoin Pharmaceuticals. "Skinvisible has done an impressive job developing their technology and building a very robust patent portfolio. The utilization of their unique drug delivery technology could, we believe, enable us to achieve the performance targets of our proposed lead products whilst providing for strong patent protection. Quoin's management has extensive experience in developing and commercializing differentiated products that address unmet medical needs, including a strong background in post-surgical pain. We are looking forward to working with the team at Skinvisible to achieve our goals".
The completion of the merger is subject to the negotiation of a definitive agreement and thereafter other customary closing conditions. Post-merger, Quoin shareholders would own 72.5% of the new company and Skinvisible shareholders will own 27.5%, prior to any effect from financing activities. The new company will be named Quoin Pharmaceuticals Inc. and will continue to trade on the OTCQB. It is anticipated, should all parties agree, the merger will take place in early 2018.
Quoin Pharmaceuticals is a specialty pharmaceutical company dedicated to developing products that help address major societal issues including the opioid crisis and the military veteran suicide rate. Quoin's two lead products are expected to be different applications of an NMDA receptor antagonist delivered transdermally. QRX001 is a single use transdermal patch designed to provide up to 72 hours of effective post-operative analgesia whilst significantly reducing opioid consumption. QRX002 is a once-daily transdermal for the treatment of military related PTSD with suicidal ideation. Quoin believes QRX002 could be the first product approved to treat this major unmet medical need and could be a candidate for both Orphan Drug and Breakthrough Therapy Status. Quoin expects to commence development activities with respect to each of these products and to generate Phase 2 data in 2018.