getting clearer....... these guys were very proactive in getting together with a partner in inflammation, to position themselves lean and mean going forward.......
CytoMed Enters Into Agreement with UCB Pharma
-- License and Technology Asset Purchase to Provide up to $18 Million --
Cambridge, MA, October 26, 1998 – CytoMed, Inc. announced today that the Company has entered into a license and
technology asset purchase agreement with UCB Pharma of Brussels, Belgium. UCB Pharma has acquired rights to the allergy
applications of CytoMed's novel anti-inflammatory dual function inhibitor compounds and pre-development research programs.
CytoMed will commit its resources to the strategic development of its current product portfolio, which includes: CMI-977, an
oral leukotriene modulator in Phase I trials for the treatment of asthma; CMI-392, a topical product in Phase II trials for the
treatment of chronic inflammatory skin disorders; and CMI-CAB-2, an injectable complement inhibitor in preclinical studies for
the treatment of acute pulmonary inflammation.
The transaction with UCB Pharma provides for payments totaling $12 million for the acquisition of CytoMed's research and
discovery assets and has the potential to provide up to $6 million in product development and milestone fees. UCB Pharma will
also assume certain ongoing activities associated with the research and discovery component of CytoMed and its facilities
costs.
"CytoMed's expertise in pharmacological and medicinal chemistry has led to the discovery of important new therapies for a
wide range of allergy-related diseases," said Edouard P. Croufer, Director General, UCB-Pharma Sector. "The acquisition of
CytoMed's drug discovery and research programs reflects our strategy to expand UCB Pharma's scientific presence in the
United States and to acquire exclusive rights to promising new technologies."
"We have created an exciting portfolio of product candidates for the treatment of key inflammatory disorders," said Frederick
Kyle, Chairman of CytoMed. "The recent agreement with UCB provides CytoMed with significant additional funding
that enhances our ability to advance our lead compounds through clinical trials toward commercialization. We also plan to
continue to maintain CytoMed's strategic focus on anti-inflammation product development and its lean infrastructure."
"CytoMed has developed a promising product pipeline based on an advanced understanding of key inflammatory response
pathways," said Richard Woodrich, Executive Vice President of CytoMed. "This agreement with UCB is a recognition of our
ability to design compounds that selectively modulate specific events within these pathways, potentially providing better drugs
that safely and effectively mitigate the adverse effects of inflammation. We now look forward to focusing our corporate
resources and development expertise on our own relatively near-term product opportunities."
Under terms of the agreement, UCB Pharma has offered employment to approximately 35 research scientists and laboratory
personnel. Thomas Beck, M.D., who served as CytoMed's President and CEO prior to the transaction, has also been offered
a position in UCB Pharma's senior management. CytoMed will retain a staff of approximately 15 people to oversee the clinical
development of its product portfolio.
UCB Pharma is an international leader in pharmaceutical research, manufacturing, and marketing. The Company's research is
focused on the central nervous system and immuno-allergy. Current prescription products include antihistamines, antitussives, a
mucolytic and the first nootropic. UCB Pharma is a division of the Belgian-based UCB Group which is comprised of three
divisions: pharmaceuticals, chemicals, and flexible films. UCB employs over 8,000 people worldwide.
CytoMed, Inc., located in Cambridge, Massachusetts, is a biopharmaceutical company developing novel products for the
treatment of inflammatory diseases. The Company has two compounds in clinical development: CMI-977, an orally active
product for the treatment of asthma; and CMI-392, for the treatment of inflammatory skin disorders. CytoMed plans to
advance these compounds through late-stage development and commercialization by forming partnerships with major
pharmaceutical companies. CytoMed currently has development and licensing agreements in place with Steifel Laboratories
and Chiron Corporation.
Contacts:
Richard H. Woodrich
Executive Vice President
CytoMed, Inc.
(617)661-3400
Melinda Lindquist
Vice President
Feinstein Kean Partners
(617) 577-8110 |
