<<< Inflazyme Pharmaceuticals Ltd. - Quarterly Letter to Shareholders
VANCOUVER, Jan. 25 /CNW/ - The quarter ended December 31, 1999 marks the
close of a significant year for Inflazyme (IZP: TSE, CDNX) on both the
corporate and scientific fronts. Based on the accomplishments of the past
year, we believe that Inflazyme has established a strong foundation upon which
to build value for our shareholders.
In November, upon successful completion of Phase Ia single dose human
clinical trials, we commenced Phase Ib multiple dose trials with IPL576,092,
Inflazyme's lead product for the treatment of asthma. These studies are
expected to complete in the first quarter of 2000. Based on favorable
results, we are targeting to begin Phase II studies in the middle of the year
with the goal of obtaining first efficacy data in asthma patients by the end
of the year. This product is being developed pursuant to Inflazyme's US$91
million collaboration with Aventis Pharmaceuticals, Inc. (formerly Hoechst
Marion Roussel).
We have also expanded our development program within the IPL576 series of
compounds and hope to initiate a second clinical trial with another product
based on IPL576 during 2000.
In September, we announced the selection of the first pre-clinical lead
molecule from our IPL423 series. IPL423,323 has been chosen as the lead
molecule for the treatment of transplant rejection and psoriasis. In
pre-clinical models of transplantation, IPL423,323 has demonstrated graft
survival comparable to cyclosporin, the main therapy for transplant patients.
In a separate experiment, Inflazyme scientists have demonstrated that, unlike
cyclosporin, IPL423,323 is not generally immunosuppressive. Suppression of
the immune system can be a major problem for patients undergoing transplant
rejection therapy. We have continued to expand our pre-clinical studies on
IPL423,323 during the past quarter. It is our goal to initiate Phase I human
clinical trials with IPL423,323 in both transplant rejection and psoriasis
before the end of 2000.
Shortly after the New Year, I had the pleasure of presenting at the Chase
H&Q Healthcare Conference in San Francisco. As one of the few Canadian
companies invited to present, this was a significant opportunity for Inflazyme
to share its story, recent accomplishments and plans for the future to an
audience of institutional investors and potential partners.
During the Chase H&Q Healthcare Conference, we announced the selection of
IPL4088 as the first in a new class of phosphodiesterase-4 (PDE4) inhibitors,
which act as potent anti-inflammatories. To date, our scientists have
demonstrated pre-clinical efficacy in in vivo models of inflammatory bowel
disease and asthma without the potential for the adverse side-effect of nausea
seen with other PDE4 inhibitors. It is our goal to seek development
partnerships for Inflazyme's PDE4 inhibitor program during 2000.
Inflazyme also continued to expand its scientific and management teams in
1999. During 1999, we more than doubled the size of the scientific team and
added three key professionals to our senior management team. Dr. Kevin
Mullane has joined Inflazyme as Senior Vice President of Research and
Development, Dr. Walter Singleton has been retained as a Clinical and
Regulatory Consultant and Ms. Mary Yaroshevsky-Glanville has been appointed as
Director of Human Resources. Each of these individuals brings significant
pharmaceutical and biotechnology industry experience to Inflazyme that
complements our existing senior management team and enables us to accelerate
the development of key product programs.
Total revenues for the nine-months ended December 31, 1999 were $2.5
million compared to $0.2 million for the same period in the prior year. The
increase was attributable to a one-time licensing fee from Aventis and
increased interest income on higher cash and short term investment balances.
Total expenditures for the nine months ended December 31, 1999 were $7.7
million compared to $6.9 million for the same period in the prior year. The
increase reflects both higher research and development, and general and
administration expenditures, which are increasing as the Company expands its
product development efforts. The Company ended the period with a combined
cash and short-term investment balance of $28.1 million.
In October, at the Ottawa Life Sciences Council meeting, Inflazyme was
honored by an international panel of experts by being chosen as one of the
``Top Ten Investment and Partnering Prospects' in Canada's Life Sciences
Industry. We believe this is a further endorsement of the progress we are
making as a company.
I am also pleased to report that we have been invited to present at the
BIO CEO & Investors Conference in New York on February 16th and will also be
participating in the Biotechnology Industry Organization (BIO) Conference to
be held in Boston in March. These will be important opportunities for
Inflazyme to continue to expand its profile within the scientific and
financial communities. In an effort to expand communication with our
shareholders, we have initiated the practice of making the audio of our
quarterly analyst phone call available to the public on our web-site. Please
visit our web-site at www.inflazyme.com to access this recording, upcoming
Inflazyme presentations or more information on the Company.
We begin 2000 with a broad pipeline of novel anti-inflammatory products
each aimed at a major market opportunity. We have a healthy financial
position and, most importantly, have expanded our scientific and management
teams, which positions us to progress our technologies toward new milestones
during the coming year. On behalf of everyone at Inflazyme, thank you for
your continued support. I look forward to providing you with another positive
update in the Spring.
Ian McBeath
The statements made in this press release may contain certain
forward-looking comments. Actual events or results may differ from the
Company's expectations. No assurances can be given that the Company will
obtain the necessary approvals to enable the commencement of human clinical
testing in a timely manner or at all. In addition to the matters described in
the press release, future actions by the U.S. Food and Drug Administration or
equivalent regulatory authorities in various countries, results of pending or
future clinical trials, may affect the actual results achieved by the Company.
The Toronto Stock Exchange and/or Canadian Venture Exchange have not reviewed
and do not accept responsibility for the adequacy or accuracy of this release.
<<
Inflazyme Pharmaceuticals Ltd.
Consolidated Balance Sheets
(Unaudited)
December 31
--------------------------------------
1999 1998
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Assets
Current Assets
Cash and short term
investments $ 28,124,487 $ 4,974,581
Interest receivable 286,727 100,893
Other receivables 140,492 40,536
Prepaid expenses 95,326 77,086
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28,647,032 5,193,096
Promissory notes receivable 72,950 50,000
Capital assets 1,893,365 1,388,768
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Total Assets $ 30,613,347 $ 6,631,864
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Liabilities and Shareholders' Equity
Current Liabilities
Accounts payable and
accrued liabilities $ 1,419,692 $ 896,042
Current portion of obligation
under capital leases 27,419 27,419
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1,447,111 923,461
Obligation under capital leases 14,064 41,483
Shareholders' equity
Share capital 54,072,796 23,797,185
Deficit (24,920,624) (18,130,265)
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29,152,172 5,666,920
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Total Liabilities and
Shareholders' Equity $ 30,613,347 $ 6,631,864
-------------------------------------------------------------------------
Inflazyme Pharmaceuticals Ltd.
Consolidated Statements of Operations and Deficit
(Unaudited)
For the Nine Months Ended
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December 31, 1999 December 31, 1998
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Revenues
Interest income $ 994,202 $ 238,892
Licensing revenue (1) 1,463,800 --
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2,458,002 238,892
Expenditures
Research & development 5,664,840 5,350,605
General & administration 2,027,310 1,525,495
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7,692,150 6,876,100
Net loss for the period (5,234,148) (6,637,208)
Deficit, beginning
of period (19,686,476) (11,493,057)
Deficit, end of period $ (24,920,624) $ (18,130,265)
-------------------------------------------------------------------------
Loss per share $ (0.13) $ (0.22)
(1) Licensing revenue was a one-time fee received pursuant to a licensing
and collaboration agreement.
>>
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For further information: Inflazyme Pharmaceuticals Ltd.: Jeffrey A.
Bacha, Vice-President, Corporate Development (800) 315-3660,
www.inflazyme.com; Media Contact: Enca Kaul, James Hoggan & Associates, Inc.
(604) 739-7500
To request a free copy of this organization's annual report,
please go to www.newswire.ca and click on reports@cnw >>>
morning coffee read
also check this out
canada-stockwatch.com
We may see this ask bid yet,soon I hope!
Charles |
