Ocean Biomedical (NASDAQ: OCEA) Announces 70% Increase in Price Target by EF Hutton from $10 to $17 on New Glioblastoma Results Validating Profound Tumor Suppression with Anti-Chi3L1 Antibody

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Providence, RI, May 01, 2023 (GLOBE NEWSWIRE) — Ocean Biomedical, Inc. (NASDAQ: OCEA), a biopharma company working to accelerate the development and commercialization of scientifically compelling assets from research universities and medical centers, announced today that an equity analyst coverage report issued by EF Hutton has increased that firm’s price target by 70%, now targeting $17 per share, up from their initial target of $10 per share. This increase was attributed in part to the publication in Cancer Research of findings suggesting “compelling activity of Chi3L1 in animal models of glioblastoma.”

The animal models cited in the studies used mice implanted with human glioblastoma to test the efficacy of Ocean Biomedical’s anti-Chi3L1 therapeutic candidate, and showed tumor reduction of greater than 60% in 2 different study approaches. The groundbreaking research uncovers in detail how the suppression of Chi3L1 works to keep glioma stem cells from differentiating into the most aggressive forms of glioblastoma. This data provides further evidence of the therapeutic potential of Ocean’s anti-Chi3L1 for solid tumors.

From the EF Hutton
“The publication elucidates the mechanism by which Chi3L1 licenses the proliferation of GBM in animal models, and the role by which antibodies against Chi3L1 play in limiting their growth,” the EF Hutton report notes, “Further, the publication speaks to the effect of OCEA’s antibodies on the GBM stem cell niche. Dr. Elias’ previous work has demonstrated the multifaceted role that Chi3L1 plays in other solid tumor types such as melanoma and lung cancer.”

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“Dr. Elias’ work is the foundation of both the oncology and fibrosis programs at Ocean,” the report additionally notes, adding that, “the key takeaway message from Dr. Tapinos’ work is that if the reversion of GBM cells to a less mature state (also known as a mesenchymal phenotype) is prevented, one may be able to provide meaningful benefit to patients with this challenging condition, which is uniformly fatal.”

From Ocean Biomedical
“We are honored to see independent institutional research analyst coverage recognizing our core programs in oncology, fibrosis, and infectious diseases that we believe have the potential to save thousands of lives,” commented Dr. Chirinjeev Kathuria co-founder and Chairman of OCEA.

“We appreciate EF Hutton’s close attention to our research news and long-term analytics,” said Gurinder Kalra, Ocean’s Chief Financial Officer,

“Our team of experienced biopharma executives and top-tier scientists are working to move our research programs forward step by step towards IND filings on each of them as efficiently as possible,” said Elizabeth Ng, CEO of Ocean Biomedical.

Ocean’s core assets in oncology, fibrosis, and infectious diseases, all based on new target discoveries enabling first-in-class drug and vaccine candidates, were developed through past and ongoing grants totaling $123.9 million.

A copy of EF Hutton’s full analyst report can be obtained directly from EF Hutton.

All reports on OCEA prepared by analysts represent the views of such analysts and are not necessarily those of OCEA. OCEA is not responsible for the content, accuracy, or timelines provided by analysts. OCEA does not expressly or by implication warrant or assume any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, assumption, data, forecast, price target, estimate, or projection contained in the reports or industry notes provided by analysts, and the dissemination of such reports or industry notes does not necessarily constitute or imply OCEA’s endorsement or recommendation.

About Ocean Biomedical

Ocean Biomedical, Inc. (“Ocean Biomedical” or the “Company”) is a Providence, Rhode Island-based biopharma company with an innovative business model that accelerates the development and commercialization of scientifically compelling assets from research universities and medical centers. Ocean Biomedical deploys the funding and expertise to move new therapeutic candidates efficiently from the laboratory to the clinic, to the world. Ocean Biomedical is currently developing five promising discoveries that have the potential to achieve life-changing outcomes in lung cancer, brain cancer, pulmonary fibrosis, and the prevention and treatment of malaria. The Ocean Biomedical team is working on solving some of the world’s toughest problems, for the people who need it most.

To learn more, visit www.oceanbiomedical.com.

Forward-Looking Statements

The information included herein and in any oral statements made in connection herewith include “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters, although not all forward-looking statements contain such identifying words. These forward-looking statements include, but are not limited to, statements regarding estimates and forecasts of financial and performance metrics and expectations. These statements are based on various assumptions, whether or not identified herein, and on the current expectations of the Company’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions.

Any discoveries announced by the Company are based solely on laboratory and animal studies. Ocean Biomedical has not conducted any studies that show similar efficacy or safety in humans. There can be no assurances that this treatment will prove safe or effective in humans, and any clinical benefits of this treatment is subject to clinical trials and ultimate approval of its use in patients by the FDA. Such approval, if granted, could be years away.

Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the control of the Company that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, that may affect actual results or outcomes include but are not limited to: (i) the outcome of any legal proceedings that may be instituted against the Company; (ii) changes in the markets in which the Company competes, including with respect to its competitive landscape, technology evolution, or regulatory changes; (iii) changes in domestic and global general economic conditions; (iv) the risk that the Company may not be able to execute its growth strategies; (v) risks related to the ongoing COVID-19 pandemic and response, including supply chain disruptions; (vi) the risk that the Company may not be able to develop and maintain effective internal controls; (vii) the risk that the Company may fail to keep pace with rapid technological developments to provide new and innovative products and services or make substantial investments in unsuccessful new products and services; (viii) the ability to develop, license or acquire new therapeutics; (ix) the risk that the Company will need to raise additional capital to execute its business plan, which may not be available on acceptable terms or at all; (x) the risk that the Company experiences difficulties in managing its growth and expanding operations; (xi) the risk of product liability or regulatory lawsuits or proceedings relating to the Company’s business; (xii) the risk of cyber security or foreign exchange losses; or (xiii) the risk that the Company is unable to secure or protect its intellectual property.

The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties that are described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 and its Quarterly Report on Form 10-Q for the quarter ended September 30, 2022, and which are described in the “Risk Factors” section of the Company’s definitive proxy statement filed by the Company on January 12, 2023, and other documents to be filed by the Company from time to time with the SEC and which are and will be available at www.sec.gov. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements. These forward-looking statements should not be relied upon as representing the Company’s assessments as of any date subsequent to the date of this filing. Accordingly, undue reliance should not be placed upon the forward-looking statements.

Ocean Biomedical Investor Relations
[email protected]

Ocean Biomedical Media Relations
[email protected]

Kevin Kertscher
Communications Director

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