Antibe Therapeutics Inc (TSX:ATE), a Toronto, Ontario-based clinical stage biotechnology company that develops novel pain and inflammation-reducing drugs, obtained CCAA protection on April 9.

Antibe has been developing its lead drug, a nonsteroidal anti-inflammatory drug termed ATB-346 or otenaproxesul (the “Drug”) since 2004. Once approved, Antibe believes the Drug can become the oral non-opioid pain reliever of choice for acute (short-term) pain, such as post-operative pain, and shows great promise for the treatment of chronic (long-term) pain, such as arthritis.

In February 2021, Antibe entered into a license agreement with Nuance Pharma Limited whereby Nuance helped to fund the development of the Drug in exchange for the rights to commercialize and market it in the Greater China Region.

In January 2022, Nuance commenced arbitration proceedings against Antibe alleging that Antibe had excluded certain correspondence with Health Canada from the data room, thereby inducing Nuance to enter into the license agreement.

On March 1, the tribunal released its decision finding in favour of Nuance and ordered that Antibe repay the USD$20 million that Nuance paid to it, plus Nuance’s costs and interest (in total, approximately CAD$33 million).

Deloitte is the monitor.

Counsel is Paliare Roland for Antibe, Bennett Jones for Nuance and Norton Rose for the monitor. Black Swan is the restructuring advisor.

By: Dina Milivojevic