News: Abraxis BioScience Acquires Shimoda Biotech and Platco …
Abraxis BioScience, Inc. (NASDAQ:ABII), a fully integrated
biotechnology company, today announced the completion of the
acquisition of Shimoda Biotech (Pty) Ltd and its subsidiary, Platco
Technologies (Pty) Ltd, located in Plettenberg Bay, South Africa.
Shimoda Biotech focuses on the development of new pharmaceutical
products by combining successful off-patent molecules with a novel
cyclodextrin drug delivery platform, seeking to exploit the faster
onset and improved bioavailability characteristics of that platform.
Platco Technologies focuses on the development of novel platinum-based
anti-cancer drugs.
Under the terms of the agreement, Abraxis acquired 100% of the
equity of both Shimoda and Platco for an initial upfront payment at
closing of $15 million, plus potential additional payments upon the
achievement of specified milestones.
Shimoda’s first cyclodextrin-based product, Dyloject(R)
(diclofenac sodium solution for injection), is an injectable
painkiller for the treatment of post-surgical pain. Dyloject(R) is the
world’s first solubilized intravenous formulation of diclofenac.
Diclofenac is one of the most widely prescribed non-steroidal
anti-inflammatory drugs (NSAID).
Dyloject(R) was launched in December 2007 in the United Kingdom by
Javelin Pharmaceuticals (AMEX:JAV) under an exclusive worldwide
license agreement with Shimoda pursuant to which Shimoda will receive
milestone payments and royalties based on sales of Dyloject(R).
Javelin currently intends to file additional marketing applications
through the mutual recognition process in a number of European Union
member countries, including Germany, Europe’s largest market for
prescription injectable pain medications. Additionally, final Phase 3
clinical trials were initiated in the U.S. in the second half of 2006
and currently are ongoing. Data from these studies are expected in
mid-2008. Currently, there is no IV diclofenac available in the U.S.
Shimoda’s second cyclodextrin-based product candidate is an oral
tablet formulation of diclofenac that offers fast relief for a wide
range of acute pain indications such as headache, migraine, sore
throat and musculoskeletal pain. To date, four clinical studies have
been conducted. A number of additional cyclodextrin-based product
candidates are in development at the pre-clinical stage.
Shimoda has several additional ongoing early stage projects,
including a licensed drug delivery platform based on virus-like
particles that may facilitate the targeted delivery of drug compounds,
genetic material, including DNA and RNA, and therapeutic proteins.
Platco Technologies, a scientific team of world-class experts on
platinum group metals chemistry, has developed several next generation
platinum-based anti-cancer compounds, which have shown promising
pre-clinical results compared to currently marketed proprietary
platinum-based compounds.
“We believe Shimoda and Platco are valuable acquisitions for
Abraxis, offering a revenue stream from Dyloject(R), a product
pipeline based on a novel cyclodextrin delivery platform, and access
to promising next-generation platinum-based compounds. These compounds
can expand Abraxis’ growing oncology franchise and target global
markets in excess of $2 billion,” said Patrick Soon-Shiong, M.D.,
Chairman and Chief Executive Officer of Abraxis BioScience.
“Joining forces with Abraxis is an excellent opportunity to
advance our product development efforts with a global company that has
in-depth knowledge in our target markets,” said Gregory Gilbert, Chief
Executive Officer of Shimoda. “We look forward to working together and
leveraging the value we have created through our internal efforts and
partnerships.”
About Abraxis BioScience
Abraxis BioScience is a fully integrated global biotechnology
company dedicated to the discovery, development and delivery of
next-generation therapeutics and core technologies that offer patients
safer and more effective treatments for cancer and other critical
illnesses. The company’s portfolio includes the world’s first and only
protein-bound nanoparticle chemotherapeutic compound (ABRAXANE(R)),
which is based on the company’s proprietary tumor targeting technology
known as the nab(TM) platform. The first FDA approved product to use
this nab platform, ABRAXANE(R), was launched in 2005 for the treatment
of metastatic breast cancer. Abraxis trades on the Nasdaq Global
Market under the symbol ABII. For more information about the company
and its products, please visit www.abraxisbio.com.
Forward-Looking Statements
The statements contained in this press release that are not purely
historical are forward-looking statements within the meaning of
Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements in this press release include statements
regarding our expectations, beliefs, hopes, goals, intentions,
initiatives or strategies, including statements regarding the
acquisition of Shimoda and Platco and development and
commercialization of the acquired products. These statements involve
risks and uncertainties. There are important factors that could cause
actual results to differ materially from those in the forward-looking
statements. These factors include, without limitation, unexpected
safety, efficacy or manufacturing issues, the impact of pharmaceutical
industry regulation, the impact of competitive products and pricing,
the acceptance and demand of new pharmaceutical products, the impact
of patents and other proprietary rights held by competitors and other
third parties. Additional relevant information concerning risks can be
found in Abraxis BioScience’s Annual Report on Form 10-K for the year
ended December 31, 2007 and other filings with the Securities and
Exchange Commission. The information contained in this press release
is as of the date of this release. Abraxis assumes no obligations to
update any forward-looking statements contained in this press release
as the result of new information or future events or developments.
