Exhibit 99.1
![LOGO](https://capedge.com/proxy/8-K/0001193125-18-354685/g661617n2.jpg)
Intrexon and Merck KGaA, Darmstadt, Germany, Announce Agreement Realizing Precigen’s Vision
for Full Developmental Autonomy of itsCAR-T Program
– Merck KGaA, Darmstadt, Germany, to assign its Chimeric Antigen ReceptorT-cell(CAR-T) rights to Intrexon
– Intrexon to issue Merck KGaA, Darmstadt, Germany, $150 million in Intrexon stock and a $25 million
convertible note, and Intrexon to receive a $25 million cash investment
Germantown, Maryland, December 20, 2018 –Intrexon Corporation (NASDAQ: XON), a leader in the engineering and industrialization of biology to improve the quality of life and health of the planet, and its wholly-owned subsidiary Precigen, a biopharmaceutical company specializing in the development of innovative gene and cellular therapies to improve the lives of patients, today announced Intrexon has assumed its agreement with Merck KGaA, Darmstadt, Germany, a leading science and technology company, through its wholly-owned subsidiary Ares Trading, for the development of Chimeric Antigen ReceptorT-cell(CAR-T) therapies, which are genetically engineeredt-cells with synthetic receptors that recognize a specific antigen expressed on tumor cells. Upon closing, the agreement will enable Precigen’s complete autonomy of itsCAR-T program and allow Merck KGaA, Darmstadt, Germany, to maintain an investment in the future potential of next generationCAR-T development.
Under the terms of the agreement, Merck KGaA, Darmstadt, Germany, will assign its exclusiveCAR-T development rights to Intrexon, allowing Precigen to continue autonomous development of its proprietaryCAR-T technology platform. Merck KGaA, Darmstadt, Germany will receive $150 million in Intrexon stock in exchange for assigning itsCAR-T rights.
“Strategically for Precigen, this evolution supports our vision and transition from an exclusive channel collaboration model to an agile R&D engine with full developmental autonomy over our portfolio of assets,” said Helen Sabzevari, PhD, President of Precigen. “We look forward to continued development of these promisingCAR-T assets with the goal of delivering more cost-effective and precise therapies to patients in need.”
Merck KGaA, Darmstadt, Germany, and Intrexon first entered into a collaboration and license agreement in 2015 to develop and commercializeCAR-T cancer therapies utilizing Intrexon’s proprietary RheoSwitch Therapeutic System® and its Sleeping Beautynon-viral gene integration technology. The combination of these platforms enables regulation of gene expression and delivery with anon-viral approach, and preclinical data indicate the potential to improve therapeutic safety and facilitate shortened manufacturing to improve time to treatment.
“Merck KGaA, Darmstadt, Germany, is excited to maintain its interest in the potential ofCAR-T technology, which may offer significant future benefits to patients fighting cancer,” said Belén Garijo, Member of the Executive Board and CEO Healthcare, Merck KGaA, Darmstadt, Germany. “The agreement is also illustrative of our efforts to enhance our focus on accelerating the delivery of our innovative clinical pipeline to patients.”