Kinarus Therapeutics to file for bankruptcy

Kinarus Therapeutics Holding AG, a clinical-stage biopharmaceutical company developing novel therapeutics to treat viral, respiratory and ophthalmic diseases, will file for bankruptcy with the competent courts in Basel. As described in Kinarus' previous communication, Kinarus signed a strategic convertible loan agreement for an investment by ChaoDian (Hangzhou) Investment Management Co., Ltd., China. However, the funds were not transferred to Kinarus and there are no signs that the funds will be paid to Kinarus.

The Board of Directors of Kinarus has worked hard to find alternative financing solutions to ensure liquidity. However, given that there is still no indication that the Company’s liquidity can be ensured in a reasonable period of time and all immediate options have been explored with exigence, the Board of Directors determined that the presumption of going concern is no longer given. Therefore, based on the interim balance sheet of Kinarus on liquidation values, the company is over-indebted and has no other option than to file for bankruptcy.

Kinarus was founded in 2017 by experienced pharmaceutical executives and went public in June 2022. Kinarus possesses the exclusive worldwide license to pamapimod, covering all indications, and has patented KIN001, its novel mechanism in combination with pioglitazone. Clinical trials are running in three application fields: COVID-19 ambulatory patients (mild-to-moderate), Wet-AMD patients (maintenance of vision) and Idiopathic Pulmonary Fibrosis. A Phase 2 study of KIN001 in hospitalized COVID-19 patients was discontinued in autumn 2022.

(Press release / SK)