WARRINGTON, Pa. - Windtree Therapeutics, Inc. (NASDAQ:WINT), a biotechnology firm, has announced a License and Supply Agreement with Evofem Biosciences, Inc. (OTCQB:EVFM) to become the sourcing partner for the contraceptive vaginal gel, PHEXXI®. The hormone-free product, controlled by women, has achieved annual revenues exceeding $19 million from sales in 2024, contributing to Evofem’s impressive 26.09% revenue growth and maintaining a strong gross profit margin of 80.84%. According to InvestingPro data, the company’s market capitalization stands at $0.83 million.
Under the agreement, Windtree will leverage its manufacturing contacts to potentially reduce the cost of goods for PHEXXI, aiming to enhance profitability. This initiative comes as InvestingPro analysis shows Evofem operating with significant debt of $44.78 and a concerning current ratio of 0.11, indicating potential liquidity challenges. Evofem retains ownership and will continue PHEXXI’s commercialization in the U.S. and through international partnerships, with analysts projecting 5.85% revenue growth for 2024.
Jed Latkin, CEO of Windtree, stated the agreement aligns with their strategy to generate profitable revenue and provide shareholder value. The company plans to work with a pharmaceutical manufacturer to produce PHEXXI at lower costs, meeting FDA requirements for the tech transfer and initial manufacturing batches. For deeper insights into Evofem’s financial health and growth potential, InvestingPro subscribers have access to over 10 additional ProTips and comprehensive financial metrics.
Evofem’s CEO, Saundra Pelletier, highlighted the partnership’s potential to expand PHEXXI’s global reach, especially in price-sensitive markets that require non-hormonal contraceptive options.
This collaboration marks Windtree’s first step since announcing its new corporate strategy in January 2025 to transition into a revenue-generating biotech. Windtree’s product portfolio includes a Phase 2 candidate for acute heart failure and preclinical assets for heart failure and oncology.
The press release contains forward-looking statements about Windtree’s role as a sourcing partner, its ability to generate future positive revenue, and the anticipated decrease in PHEXXI’s manufacturing costs. These statements are subject to various factors, risks, and uncertainties that could influence actual results.
The information is based on a press release statement and should be considered in the context of potential risks and uncertainties inherent in the biotechnology industry.
In other recent news, Evofem Biosciences announced the cancellation of its special stockholder meeting, which was initially scheduled to address various proposals. These proposals, outlined in a preliminary proxy statement filed in September, will no longer be considered by the company’s stockholders. The decision to cancel the meeting was made public through a filing with the U.S. Securities and Exchange Commission (SEC), signed by the company’s CEO, Saundra Pelletier. The specific reasons for the cancellation and the withdrawal of the proposals have not been disclosed by Evofem Biosciences. This development is part of the company’s corporate governance process, a routine aspect for publicly traded companies. Evofem Biosciences has not provided further information on whether the proposals might be reintroduced at a later date or how this might affect the company’s strategic direction. Investors are encouraged to keep an eye on future filings and announcements from the company for any updates on its governance and operational plans.
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