Development of an sirna-based Therapeutic for Chronic HBV Infection Using DPC Technology

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Development of an sirna-based Therapeutic for Chronic HBV Infection Using DPC Technology ASGCT 17 th Annual Meeting May 21, 2014 David L. Lewis, PhD CSO

Dynamic PolyConjugate (DPC) technology for sirna delivery DPC Contains an amphipathic polymer for endosomal escape Polymeric amines are reversibly masked with ph-labile CDM attached to PEG or targeting ligand sirna is attached to polymer through cleavable disulfide linker 5-15 nm in size 2

Mechanism of DPC-mediated sirna delivery 3

Normalized ApoB Protein Level DPCs for targeted sirna delivery to hepatocytes Targeting ligand: N-acetyl galactosamine ligand (NAG) ICR mice, t=60 NAG is a ligand for the asialoglycoprotein receptor expressed on hepatocytes DPC-siRNA nucleus cell membrane NAG ligand (hepatocyte targeted) glucose ligand (non-targeted) Hepatocyte-uptake of DPCs is ligand dependent 1.80 1.60 1.40 1.20 1.00 0.80 0.60 0.40 0.20 0.00 control sirna apob sirna control sirna apob sirna N-acetylgalactosamine ligand Glucose ligand Target gene knockdown is ligand dependent Rozema, Lewis et al. Proc Natl Acad Sci U S A. 2007 Aug 7;104(32):12982-7 4

DPC 2.0 Separate targeting of the DPC polymer and the sirna to liver Cholesterol Prototypical DPC Covalent attachment of sirna to masked polymer DPC polymer + targeted sirna Masked polymer and sirna are NOT attached and do NOT interact. Targeted independently to the same cell after co-injection 5

Using peptides with membrane-lytic properties as DPC 2.0 polymers Melittin peptide as a model Naturally occurring peptide (component of bee venom) Amphipathic with known membrane-lytic activity DPC peptides Melittin (2009) by Julian Voss-Andreae Synthetic membrane-lytic peptides (MLPs) modeled on melittin CDM used to attach targeting ligands (eg. NAG) and reversibly mask membrane-lytic activity >100 MLPs screened in vivo for chol-sirna delivery efficacy 6

Co-injection of NAG-MLP and chol-sirna in mice Requirements for target gene KD in liver and chol-sirna titration single dose Target gene knockdown requires: Liver-tropic sirna (cholesterol-sirna) and hepatocyte-targeted DPC peptide (NAG-MLP) Co-injection of NAG-MLP with chol-sif7 enables highly efficient delivery ED 50 = 0.01 mg/kg chol-sif7 ED 99 = 1 mg/kg chol-sif7 48 hr timepoint Wooddell et al, Mol Ther 2013 May; 21(5) 973-85 7

Efficacy in non-human primates NAG-MLP dose titration + 2 mg/kg chol-sirna, single iv dose Target: Coagulation Factor 7 Highly efficacious >99% KD at 3 mg/kg NAG-MLP + 2mg/kg cholsirna >80% KD for 5 weeks No toxicity No changes in clin chem markers No changes in hematology No changes in cytokine levels 2 mg/kg chol-sirna Wooddell et al, Mol Ther 2013 May; 21(5) 973-85 8

ARC-520 for Treatment of Chronic HBV 9

Chronic Hepatitis B Virus infection: The need for better therapeutics 400 million people chronically infected worldwide ~1M deaths annually (cirrhosis and hepatocellular carcinoma) Complex interplay between immune system and chronic infection with levels of viral proteins playing an integral role ( T-cell exhaustion ) Loss of surface antigen (HBsAg) or seroconversion functional cure Existing drugs (reverse transcriptase inhibitors, PEG-Interferon) are unsatisfactory RT inhibitors Nucs (eg. tenofovir, entecavir, lamivudine) Can improve patient outcomes Do not significantly decrease HBsAg levels nor result in HBsAg seroconversion life-long treatment required PEG-Interferon (PEGASYS) 48 week course Can result in HBsAg seroconversion, but only 3-5% /yr (natural conversion rate is ~ 0.5%) Significant side effects (flu-like symptoms, depression) 10

HBV infection cycle and suppression of the immune response Sustained, high levels of viral protein production (esp. HBsAg) leads to immune suppression and chronicity. 11

RNAi therapeutics vs. RT inhibitors for treatment of chronic Hepatitis B sirna 12

RNAi for treatment of chronic Hepatitis B sirna design and in vitro screening Designed 140 sirnas targeting conserved regions in GenBank HBV sequences (2,754) Screened candidate sirnas in a cell culture system 4 highly potent sirnas chosen for further testing in animal models sihbv-74 and sihbv-77 chosen as leads Roche-Kulmbach (Axolabs GmbH) 13

Mouse model for HBV infection 1.3 HBV DNA (4.1kbp) EnhI/Xp Cp pa PS1p Sp EnhI/Xp Cp pa 3. Three weeks later, normal i.v. injection of NAG-MLP + chol-sihbv 4. Assay for HBV KD * * phbv1.3 1. Hydrodynamic tail vein injection of phbv 1.3 * * * * ** * * * ** NOD-SCID mouse * * * * ** * * * ** 2. HBV genome is expressed in 5-20% of liver hepatocytes - HBV RNA, DNA and antigens generated in liver - HBsAg, HBeAg and viral particles are secreted into the blood 14

Co-injection of lead chol-sihbvs with NAG-MLP Serum HBsAg Serum HBeAg LOD Serum HBV DNA 6 mg/kg NAG-MLP + 6 mg/kg chol-sirna Wooddell et al, Mol Ther 2013 May; 21(5) 973-85 Strong reduction of serum viral markers using either chol-sihbv-74 or -77 Decreased HBsAg 3-4 log reduction with both chol-sihbvs > 2 log reduction for 1 month Decreased HBeAg to LOD Decreased HBV DNA ~ 3 log reduction of HBV DNA for ~ 1 month 15

ARC-520 for chronic HBV infection Vial 1 Vial 2 ARC-520 is a two vial drug Vial 1: ARC-520 Excipient Contains a masked, hepatocytetargeted peptide (NAG-MLP) that promotes endosomal escape of the HBV chol-sirnas. Lyophilized powder Vial 2: ARC-520 API Contains the HBV chol-sirnas in solution. Inclusion of two sirnas gives broader genotype coverage. Liquid in Vial 2 is used to dissolve contents of Vial 1 16

Testing ARC-520 in a chimpanzee chronically infected with human HBV Chimpanzee key historical attributes 36 year old female, weight 113 pounds (51 kg) Chronically infected since 1979 Liver biopsy shows near 100% staining for HBV Exceptionally high titers of circulating HBV DNA (10 10 vs. 10 7 in average patient) and HBsAg Study design Goals: 1. Demonstrate KD by monitoring HBV markers 2. Look for signs of immune system reactivation Treatment: 2 mg/kg ARC-520 on Day 1, followed by 3 mg/kg ARC-520 on Day 15 Monitor serum HBV markers, routine safety labs Perform liver core biopsy at monthly intervals Assessment of intrahepatic cytokine and chemokine transcript levels Dr. Robert Lanford, Texas Biomedical Research Institute 17

G E /m L Reduction in HBV after administration of ARC-520 in a chronically infected chimp 1 0 1 1 HBV DNA 1 0 0 0 HBsAg 1 0 1 0 1 0 9 g /m l H B s A g 8 0 0 6 0 0 4 0 0 2 0 0 1 0 8 0 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 0 0 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 D a y D a y HBV DNA 17-fold reduction on Day 4 36-fold reduction following second dose HBsAg Gradual reduction >80% reduction by Day 29 18

Elevated liver enzymes observed 4 weeks postlast dose An increase in ALT was observed near the HBsAg nadir. The increase occurred 4 weeks AFTER the last dose of ARC-520. Not drug toxicity-related T-cell reactivation? 19

Intrahepatic cytokine/chemokine mrna Liver core biopsies taken on Days -6, 29 and 57 RT-qPCR performed to determine mrna levels of IFNg and the IFNg-inducible genes CXCL10 (IP10) and CXCL9 (Mig) IFNg 210% CXCL10 310% CXCL9 280% from preceding biopsy Induction of IFNg and downstream genes characteristic of increased T-cell function 20

Summary: ARC-520 pre-clinical data IV injectable drug containing NAG-MLP and 2 chol-sihbvs: Two chol-sihbvs provide broad genotype coverage (99.6% of all known HBV sequences) NAG-MLP targeted to hepatocytes enables efficient endosomal release of chol-sirna Multi-log reduction of HBV mrnas, proteins, and DNA with long DoE (~1 month) after single injection in mouse models Treatment of a chimpanzee chronically infected with human HBV reveals: Significant, rapid reductions in viral load and viral antigens including HBsAg Increase in liver transaminases observed 4 weeks post-last dose, and near the HBsAg nadir Increase in liver INFg and INFg-induced genes is consistent with T-cell reactivation event 21

ARC-520 Phase I FIH clinical trial Heparc-1001 Phase I trial design Normal healthy volunteers Randomized, double-blind, placebo controlled, single IV dose escalation Six cohorts: 0.01, 0.1, 0.3, 0.6, 1.2, 2 mg/kg 6 subjects/cohort (2 placebo, 4 drug) Assessment of safety and tolerability, PK 22

Heparc-1001: Results Enrollment completed for all 6 cohorts. All subjects received full assigned dose without discontinuation. No differences relative to Placebo and no abnormal findings rated clinically significant on: Vital Signs, Physical Exams, Clinical Labs (including liver, kidney or muscle (heart, skeletal)) in any subject Adverse events (all attributions) reported in 75% of placebo and 75% of ARC- 520 subjects (headache, lightheadedness, URIs, lethargy, muscle ache). No SAEs. Placebo (Saline): Mild (64%), Moderate (36%) ARC-520: Mild (63%), Moderate (37%) One subject receiving ARC-520 in cohort 3 (0.3 mg/kg) was noted to have sinus pause with non-conducted beats on telemetry while sleeping. Pre-dosing telemetry (t = -1 hr) review demonstrated previously unobserved Wenckebach rhythm. Patient history and follow-up suggests pre-existing hypervagal syndrome. One subject receiving ARC-520 in cohort 6 (2.0 mg/kg) developed a localized urticarial rash resolved shortly after appearance. ARC-520 at doses as high as 2.0 mg/kg appears to be safe and well tolerated. 23

Phase IIa clinical plan for ARC-520 Chronic HBV patients Double blinded, placebo-controlled single dose study in chronic HBV patients on the RTI Baraclude (entecavir) 1.0 and 2.0 mg/kg ARC-520 Single cohort with 8 patients for each dose level (2 placebo, 6 ARC-520) Dosing initiated 3/24/2014 in Hong Kong (Queen Mary and Prince of Wales Hospitals), first cohort completed Primary objective Evaluate depth and duration of HBsAg decline in combination with entecavir Secondary objectives Assess safety/pk in chronic HBV patients Evaluate effect on Abs to HBsAg Assess signs of immune reactivation (key cytokines) Evaluate effects on HBV DNA serum titers Patients to be monitored for 12 weeks Topline results expected to be released Q3 2014 24

Contributors Biology Chris Wooddell So Wong Qili Chu Holly Hamilton Stephanie Bertin Jacob Griffin Jessica Montez Julia Hegge Tracie Milarch Clinical Chris Anazlone, CEO Bruce Given, COO Lynn Kalinoski Thomas Schluep Jeremy Heidel Chemistry Dave Rozema Jason Klein Darren Wakefield Vladimir Trubetskoy Collin Hagen Anthony Perillo-Nicholas Andrei Blokhin Jeff Carlson Jonathon Benson LAR Axolabs GmbH Hans-Peter Vornlocher Ingo Roehl Philipp Hadwiger Markus Hossbach Mathias John Jochen Deckert Kerstin Jahn-Hofmann Julia Hegge Sheryl Ferger Linda Goth Tracie Milarch Rachel Schmidt Texas Biomedical Research Institute Robert Lanford Debbie Chavez Jason Lickliter Nucleus Network Ltd. (Phase I Unit CMO) Robert Gish, MD Consultant, CAB Chair 25