CanBas is a drug discovery company aiming the development of anticancer drugs with less impact on normal cells. We engage our R&D to focus on the mechanism of the G2 checkpoint abrogation, which, based on the research results from the founding scientist on cell cycle, is expected to be a candidate for creating lower impact drugs. A drug discovery company creates both technology and products by performing drug discovery narrowed down to specific fields on the basis of its own unique drug discovery engine.

Its business model is greatly different from those companies which do not have a drug discovery engine, because they introduce developing compounds from the outside and deliver it to a pharmaceutical company after certain development. In order to accomplish this highly value-added business model and to plan maximization of corporate value, we recognize the present management issues that should be solved and are implementing solutions as follows:

Promoting the Clinical Study of CBP501

Although we diversify and reduce development risk by conducting backup studies, CBP501 is expected to be the first compound launched into the market among our future business projects. Therefore, the success of this development is the key to realizing our business plan. The most important themes for our Business Overview are to keep risks of failure or delay at a minimum level, to obtain NDA approval for appropriate indication as soon as possible, and to realize the launch of CBP501.

Indication Expansion of CBP501

In the pharmaceuticals market, it is common to implement an indication expansion strategy, such as obtaining approvals to market drugs for different uses or prescriptions other than the intended one, in order to maximize the value that results from the entire life cycle of one product. Especially in the field of anticancer drugs, together with high needs at medical practice, this type of strategy is considered an effective procedure to increase product value. Consequently, various indication expansions have been attempted to change the target of cancer or concomitant drugs for a number of anticancer drug products launched. The success or failure of such attempts influences greatly on the corporate value of the company holding the applicable drug.

CBP501 has been currently developed for malignant pleural mesothelioma and non-small-cell lung cancer as the target. Nevertheless, in order to maximize profit through an early expansion of indication, we aggressively try to collect data on the efficacy for other targets to promote development associated with the expansion of CBP501's other potential uses.

Further Substantiation of the System in Compliance with Standards for Clinical Study as Determined by the Regulatory Authority

Research and development of drug products should be in compliance with standards that regulatory authority determines.

We have been strongly conscious in establishing the system to pursue these standards since our foundation, and we observed necessary standards at each milestone of past developments in order to proceed with our Business Overview. We will further enhance and reinforce this compliance system, including the review and revision of SOP (standard operating procedure on research and development), and deal with this issue by increasing staff in charge of clinical development in Department of Research and Development, by appointing a person in charge of quality control, and by continuous company-wide education.

Promoting the No-clinical Study of CBS9106 for IND Application

CBS9106 is a candidate compound for a drug, discovered by our unique method of drug screening, and currently a preclinical study (nonclinical study in compliance with standards that the regulatory authority determines) has been conducted.

In order to realize the promotion of a non-clinical study of CBS9106 and early IND acquisition, we will be thorough with project management as we try to proceed with a highly efficient and reliable nonclinical study, on the basis of our experiences of IND approval accumulated in CBP501.

Improvement and Substantiation of the Drug Discovery Engine

For drug discovery companies like CanBas, the drug discovery engine to create/obtain candidate compound pipelines for new development and to carry out optimization of candidate compounds in a sustainable manner is the source of competitive power; its improvement and substantiation are essential for continuous future growth.

So far we have created CBP501 and CBS9106 using our unique drug screening method, which has been issued for patent in US and Europe, and we have also proceeding the optimization of the CBS2400 series at present.

In future, we will try to improve the efficiency and accuracy of our drug discovery engine even more by positively employing drug discovery tools, including data mining technology, in order to maintain the superior position we have achieved in the field of G2 checkpoint abrogation, and to reinforce sustainable competitive power in future.