Here is the detailed news:
[ Business | US Market | Industry | IPO | S&P | International | PRNews | BizWire | Finance Home ]
Wednesday January 14, 5:00 pm Eastern Time
Company Press Release
SOURCE: Advanced Tissue Sciences, Inc.
Advanced Tissue Sciences and Smith & Nephew Expand
Dermagraft(R) Joint Venture
To Include Worldwide Commercialization of Dermagraft for Venous and
Pressure Ulcers and Dermagraft-TC(TM) Internationally
LA JOLLA, Calif., Jan. 14 /PRNewswire/ -- Advanced Tissue Sciences, Inc. (Nasdaq: ATIS - news)
and Smith & Nephew plc announced today that they have signed a binding letter of intent expanding
their fifty-fifty joint venture to include venous ulcers, pressure sores, burns and other wounds.
The joint venture was originally formed in April 1996 for the worldwide commercialization of
Dermagraft for the treatment of diabetic foot ulcers. The letter of intent expands the joint
venture to include the worldwide development and marketing of Dermagraft for the treatment of
venous ulcers and pressure sores and the marketing of Dermagraft-TC outside the United States.
Under the expanded agreement, Advanced Tissue Sciences will receive at least $35 million in
payments from Smith & Nephew within the next twelve months for the additional indications,
including an immediate $20 million investment in the Company's common stock. Payments to Advanced
Tissue Sciences including the diabetic foot ulcer indication, can potentially total up to $181
million, (including the equity investment), subject to the achievement of certain milestones.
''Our partnership with Smith & Nephew has made significant progress, having launched Dermagraft
for the treatment of diabetic foot ulcers in the United Kingdom, Canada and other European
countries,'' said Arthur J. Benvenuto, Chairman and Chief Executive Officer of Advanced Tissue
Sciences. ''The expansion of the joint venture allows us to apply this same momentum to the
venous and pressure indications for Dermagraft.''
''Seeing Dermagraft at work in the diabetic foot ulcer patient has been extremely exciting for
Smith & Nephew,'' stated Chris O'Donnell, Chief Executive of Smith & Nephew. ''The expansion of
the joint venture is an expected and natural extension of our partnership. Dermagraft for venous
and pressure ulcers and Dermagraft-TC for burns plays directly to Smith & Nephew's sales and
marketing strengths.''
Dermagraft, a bioengineered living, human dermal replacement, is currently being marketed for the
treatment of diabetic foot ulcers in several countries outside the U.S. Dermagraft is also
scheduled for review by the General and Plastic Surgery Devices Panel of the U.S. Food and Drug
Administration on January 29, 1998. Dermagraft-TC is the first human, fibroblast-derived
temporary skin substitute for the treatment of partial and full-thickness burns being marketed in
the United States.
Advanced Tissue Sciences, Inc. is a tissue engineering company utilizing its proprietary core
technology to develop and manufacture human tissue products for tissue repair and
transplantation. In addition to developing Dermagraft, the Company is currently marketing
Dermagraft-TC, a temporary covering for partial and full-thickness burns in the United States,
under marketing approvals from the FDA. The Company also is developing products for cartilage and
cardiovascular applications.
Smith & Nephew, a leading worldwide healthcare company with more than $1.5 billion in annual
sales, has a highly successful track record in developing, manufacturing and marketing a wide
variety of innovative and technologically advanced tissue repair products, primarily in the areas
of bone, joints, skin and other soft tissue. Smith & Nephew has extensive marketing and
distribution capabilities and sales in more than 90 countries.
The discussion contained in this press release relating to approval and commercialization of the
Company's products, market opportunities and therapeutic benefits involves risks and
uncertainties. No assurance can be given that the Company will successfully obtain Food and Drug
Administration or other regulatory approvals of Dermagraft (or that any such approvals will be
obtained on a timely basis), scale up manufacturing processes, launch its products within
indicated timeframes, achieve payment milestones, obtain reimbursement for, or successfully
commercialize any such products. These and other risks are detailed in the Company's publicly
available filings with the Securities and Exchange Commission including the Company's Annual
Report on Form 10-K for the year ended December 31, 1996. Actual results may differ materially
from those currently anticipated as a result of such risks.
SOURCE: Advanced Tissue Sciences, Inc.
More Quotes and News:
Advanced Tissue Sciences Inc (Nasdaq:ATIS - news)
Related News Categories: biotech, medical/pharmaceutical
Help
Copyright c 1998 PRNewswire. All rights reserved. Republication or redistribution of PRNewswire content
is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable
for any errors or delays in the content, or for any actions taken in reliance thereon.
See our Important Disclaimers and Legal Information.
Questions or Comments? |
