>>SAN CARLOS, Calif.--(BUSINESS WIRE)--July 26, 2006--Nektar Therapeutics (Nasdaq:NKTR - News) today announced the closing of the Nektar UK site in Bradford, UK as part of its ongoing strategy to realign business operations with a focus on product development using its leading drug delivery technologies. Nektar had announced its intent to dispose of its UK operation and supercritical fluid technology on the company's first quarter financial results conference call on May 10, 2006.
Previously, on February 28, 2006 the company announced that Nektar UK at Bradford was deemed to be significantly impaired, which resulted in a write off, reported as part of the company's 2005 net loss. The next step is today's announcement of the closing of the approximately 35-person UK site on June 30, 2006, with the exception of a small staff who will remain for a short transition period.
"As Nektar transitions from being a technology development company to a commercial entity focused on achieving profitability, it is important that we channel our resources into those businesses that will drive future growth. To this end, disposing of our supercritical fluid processing technology represents a significant first step in aligning our spending with those activities that will drive our revenue in the near-term: (1) developing proprietary products based on our drug delivery technology; (2) Exubera® (insulin human (rDNA origin)) Inhalation Powder, the product of a developmental collaboration between Pfizer and Nektar, and diabetes life-cycle management products, and (3) high-value partner programs," said Robert B. Chess, chairman, and acting president and CEO of Nektar.
"We still believe that supercritical fluid processing is a promising technology to manufacture powdered drugs. However, we do not believe this technology would enable products Nektar could develop itself and consequently it is not a fit for our strategy. To lower our cost structure, we have closed down the Bradford operation, but will continue to seek a buyer for the intellectual property and other assets," concluded Chess.
About Nektar Supercritical Fluid Technology
Nektar Supercritical Fluid Technology uses a novel particle engineering process that yields consistent powder particles in terms of size, shape and morphology that can be incorporated into a number of dosage forms including tablets, capsules, and inhalation systems. This technology may serve as a platform technology for a diverse range of applications primarily for small molecules including such uses as taste masking and selection of stable solid state forms that can affect both the rate and extent of absorption of certain drugs.<<
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Cheers, Tuck |
