RXi to separate RNAi, cancer assets

RXi Pharmaceuticals Corp. (NASDAQ:RXII) said Monday it will separate its cancer and RNAi assets into two public companies. The first -- named Galena Biopharma Inc. -- will develop cancer vaccines, including NeuVax and a recently in-licensed vaccine that targets folate binding protein-E39 (FBP). The second -- named RXi Pharmaceuticals -- will develop RXI-109, a self-delivering rxRNA compound that is slated to begin clinical testing next year for dermal scarring. The separation is expected to complete this year.

NeuVax, gained through RXi's March acquisition of Apthera Inc., is slated to start Phase III testing next half to treat breast cancer. Last week, RXi in-licensed the FBP vaccine from a university and its not-for-profit partner. The vaccine is slated to start Phase I trials by year end in ovarian/endometrial and breast cancers (see BioCentury Extra, March 31). ...