Biopharmaceutical company Scinai Immunotherapeutics Ltd (Nasdaq:SCNI) on Thursday announced a binding option agreement to acquire Italian biotech company Pincell srl, developer of PC111, a monoclonal antibody targeting severe dermatological conditions such as pemphigus, Stevens-Johnson Syndrome (SJS) and Toxic Epidermal Necrolysis (TEN).

PC111 has received Orphan Drug Designation from the European Medicines Agency for pemphigus, and Scinai plans to apply for similar designations from the US Food and Drug Administration (FDA).

To fund the next development phase of PC111, Scinai's Polish subsidiary has submitted a EUR12m grant application under the European Funds for a Modern Economy (FENG) programme. Pincell has exclusively licensed PC111 to the subsidiary to facilitate the grant submission. A decision on the grant is expected by mid-July or early August 2025, subject to regulatory approvals.

The option agreement allows Scinai to fully acquire Pincell by the end of 2025, contingent upon meeting closing requirements and receiving Italian regulatory clearance. If the option is exercised, Pincell's shareholders will be eligible for milestone payments and low single-digit royalties from future net sales of PC111.

PC111 offers a non-immunosuppressive approach to blocking Fas ligand activation, which could address significant unmet medical needs in skin blistering disorders, reducing the severe side effects associated with current treatments.