Accelerating R&D and expanding geographies

Kane Biotech has been at the forefront for research and development to address the issues of Biofilms. The company has a portfolio of 67 patents and patents pending that has been created during the previous decade. As each solution has been proven via large scale trials the company is now focused on commercializing each product within defined consumer verticals. Whether you are a direct consumer, veterinarian or dermatologist Kane Biotech has a tried and tested solution; from our Animal Health products such as bluestem™ oral care to our first Human Health products such as DermaKB™ skin care. Kane Biotech’s commercialization vehicles will provide capital, at attractive valuations, that is non-dilutive to the company. This capital will accelerate our continued product research and development for the future whilst allowing our commercialization beyond North America.

Kane has a portfolio of biotechnologies, intellectual trade secrets, and products developed by their own biofilm research teams as well as technologies procured from other leading research institutions. StrixNB™, DispersinB®, Aledex™, bluestem™, bluestem®, silkstem™, goldstem™, coactiv+™, coactive+®, DermaKB™ and DermaKB Biofilm™ are trademarks of Kane Biotech Inc.

Kane’s first Commercialization Vehicle formed in partnership with Animalcare Group, STEM Animal Health is a new animal health company dedicated to targeting biofilm-related ailments. With a global oral care market valued at $5.2 billion, the joint venture will allow STEM Animal Health to reach beyond North America and deliver products to companion animals in the global market. STEM’s pet oral care products developed using Kane’s coactiv+™ technology, inhibit tartar formation and kill bacteria embedded in preformed dental plaque.

In the new partnership, Kane Biotech maintains a 67% equity ownership in the company and provides administrative, R&D and product development services. With a CAD $5M investment into the company over 4 years, Animalcare Group assumes a 33% equity stake with an option to acquire an additional 17% for $4M payable to Kane. The agreement will see Animalcare commercialize Kane Biotech’s range of oral care products for companion animals in European and Asian markets and collaborate with Kane Biotech on the development of new biofilm treatments for animals.

In 2020, Kane Biotech’s bluestem™ brand of pet oral care products contributed to STEM revenues of $2M. All bluestem™ products are scientifically formulated with our patented coactiv+™ technology to safely break down plaque and tartar biofilm and freshen breath. The product line includes a liquid water additive in 3 flavours (original, chicken and vanilla mint), oral spray, toothpaste in 2 flavours (chicken and vanilla mint, in packaging options that come with a toothbrush and without), powder water additive, dental wipes, dental chews, and rawhide dental chews. Kane also provides custom contract manufacturing services to licensee partners.

In 2022, STEM was awarded the prestigious Veterinary Oral Health Council (VOHC) Seal of Acceptance in the Helps Control Tartar category for its pet oral care water additive. The VOHC acceptance triggers approximately $1.3 million in milestone payments from STEM’s licensing partners. This certification is also expected to significantly increase royalty revenues from both licensing agreements as it triggers minimum royalty payments.

Approximately 70% of cats and 80% of dogs develop some degree or form of periodontal disease by the time they are 3 years old according to the American Veterinary Medical Association (AVMA). Additionally, calculus, gingivitis, gum disease, and tooth fractures are common oral issues among pets. The American Pet Products Association (APPA) states that the total pet industry expenditures average in the United States was USD 90.5 billion in 2018, which increased to 99 billion in 2020.

VOHC is recognized worldwide as a professional organization that evaluates products that meet pre-set standards of plaque and calculus (tartar) retardation in dogs and cats. Products are awarded the VOHC Seal of Acceptance following a rigorous review of data from trials conducted according to VOHC protocols. This Seal authorizes the use of the VOHC Registered Seal on products intended to help retard plaque and tartar on the teeth of animals. STEM joins a select group of companies that have previously obtained VOHC acceptance for pet dental products since the establishment of the VOHC in 1997.

Veterinary Market

STEM Pet Oral Care line is licensed globally for the Veterinary Market.

THE UNMET CLINICAL NEED – BIOFILM DISRUPTION

Biofilms are pervasive and represent the most prevalent bacterial mode of growth. The current wound care global market is expected to reach US $22 billion by 2022. In order to meet growing needs and accelerate the development of it’s wound and surgical care technology portfolio, Kane Biotech has created a Wound Care & Surgical Commercialization Vehicle.

In May 2023, Kane received regulatory approval from the U.S. Food and Drug Administration (FDA) for its revyve™ Antimicrobial Wound Gel – a unique combination of Kane’s patented coactiv+™ technology with PHMB. It was approved under the 510(K) pathway as a combination medical device for a number of indications including diabetic foot ulcers, leg ulcers, pressure ulcers, 1st and 2nd degree burns, partial and full thickness wounds, large surface area wounds, and surgical incisions.

Kane has secured an exclusive distribution agreement with ProgenaCare Global LLC for revyve™ Antimicrobial Wound Gel in the U.S. market, as well as a distribution agreement with Salud Pharma S.A. in the Columbia, Panama and Costa Rica markets.

Kane will be submitting to the FDA a Pre-Market Application (PMA) for a DispersinB® Hydrogel as a medical device. Regulatory approval will trigger the development of further DispersinB® based technologies and products: dressings – antimicrobial, barrier, silicone, films and foam; skin cleansers and wipes; gauzes and bandages and pre- and post-surgical rinses. Potential indications include diabetic foot and leg ulcers, pressure ulcers (stage I-IV), partial & full thickness wounds, post-surgical wounds, and first & second-degree burns.

Kane is actively seeking a strategic partner to support future commercialization of the DispersinB® Hydrogel, additional coactiv+™ product lines, and other product offerings in the wound care and surgical markets. Benefits of this partnership to a strategic organization would include:

• Access to the new and higher standard in effective Biofilm treatment with DispersinB® and coactiv+ technologies;
• Partnership with a financially strong Canadian biotech company with tenured executive management and experienced scientific teams;
• A strong patent family allowing for global coverage for multiple applications;
• The opportunity to position itself as THE “biofilm” company with transformational technologies and support from top industry scientists and research partners in the field.

In keeping with Kane Biotech’s business model, the strategic focus of the Kane Dermatology subsidiary is to develop and sell non-prescription consumables to end customers that address minor health ailments where biofilms contribute to the problem. These consumables will be premium products, non-antibiotic, and tested as safe for human use. They will not include any harsh chemicals and will be produced at a level of quality and efficacy to support recommendation by medical specialists such as Dermatologists and ENTs.

Kane Dermatology launched a shampoo, shampoo bar and scalp detoxifier under the DermaKB™ brand in 2020, as the first products in their new skin care line. The products are sold direct-to-consumer through Amazon and Kane’s online commerce site: www.dermakb.com.

The retail site offers several shampoo products that contain Kane Biotech’s proprietary patented coactiv+™ technology. The products are formulated to provide an effective cleansing of the scalp, helping support the reduction of skin irritation and other symptoms associated with common skin conditions. DermaKB™ Shampoo is available on the website in a 946ml bottle as well as in a four-pack of 45g Shampoo Bars. Additionally, a 473ml bottle Scalp Detoxifier complements the product offering. The DermaKB™ product line is purposely unscented to avoid any further irritants for the consumer.

From November 2020 until January 2021, Kane Biotech Inc. conducted an extensive consumer trial on their DermaKB™ products across North America. Over 4,000 participants suffering from a variety of common scalp conditions registered for the trial without any offer of compensation other than a three oz. sample bottle of the product for trial purposes. Of those that registered, 1,402 submitted a valid questionnaire and the results were compelling. To view and download the trial results, click here.

Of the participants who used both the DermaKB™ Detoxifier and Shampoo and rated their symptom as either extreme or severe before the trial, 82% identified an improvement in their symptom after using the products.

Other products currently under development within Kane Dermatology include a hair conditioner to work in conjunction with the DermaKB™ products and a wound gel for minor cuts, scrapes, and burns.