GenVec gets leverage the hard way, though the data is supposedly not at fault:
>>GAITHERSBURG, Md., Jan. 24 /PRNewswire-FirstCall/ -- GenVec, Inc. (Nasdaq: GNVC - news), a biopharmaceutical company developing gene-based medicines, today announced that Pfizer, Inc. has elected to discontinue co-development of BioBypass with GenVec. As a result, Pfizer returns its development and commercialization rights in BioBypass® to GenVec and will not share in any royalties from potential future sales. Both GenVec and Pfizer management emphasized that the decision to end the partnership was based upon business considerations and not on data from the ongoing Phase II clinical trials of BioBypass® in coronary artery disease and peripheral vascular disease.
Pfizer will maintain responsibility for costs associated with the ongoing Phase II clinical trials of BioBypass® over the next 6 months, including the costs relating to the successful transfer of the trials to GenVec.
Dr. Paul H. Fischer, GenVec's President and Chief Executive Officer stated, ``GenVec and Pfizer have successfully moved BioBypass® into late- stage Phase II clinical trials for two indications, coronary artery disease and peripheral vascular disease. Now, and over the next six months, we will work closely with Pfizer to successfully transfer the ongoing clinical trials to GenVec.'' Dr. Fischer continued, ``Neither Pfizer, nor GenVec, has seen the blinded data from these Phase II clinical trials, though we expect to have our first access to the data in the second half of this year. If those data show clinical benefit, GenVec plans to take full advantage of its ownership of BioBypass.''
GenVec will hold a conference call for investors and analysts at 10:00 a.m. Eastern Standard Time on Thursday, January 24, 2002. To access the live conference call, please dial 800-576-8929 from within the U.S. and Canada, or 706-679-0624 for international callers, approximately five to ten minutes prior to the start of the call. The conference leader will be Dr. Paul H. Fischer. The call will also be available in listen-only mode through the Company's web site at genvec.com . A replay will be available for 30 days beginning approximately two hours after the conference ends.<<
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GenVec had crawled into purgatory, but now it's back to Hell.
Cheers, Tuck |
