>>CHARLESTOWN, Mass., Aug. 10 /PRNewswire/ -- BioTransplant Incorporated (Nasdaq: BTRN - news) today reported financial results for the second quarter and six-month period ended June 30, 2001.
Research and development expenses for the three months ended June 30, 2001 were $2.9 million, compared to $3.6 million for the comparable period of 2000. General and administrative expenses for the three months ended June 30, 2001 were $882,000, compared to $617,000 for the comparable period of 2000. There were no revenues for the quarter ended June 30, 2001, compared to $1.5 million in revenue reported the same quarter last year. The decrease in revenues was due primarily to the absence of research and development support from the Company's collaboration with Novartis Pharma AG, which came to a conclusion in October 2000, concurrent with the formation of Immerge BioTherapeutics, the Company's joint venture with Novartis Pharma AG in the field of xenotransplantation.
For the second quarter ended June 30, 2001, the Company reported a net loss of $25.6 million or $1.76 per share, including amortization, stock compensation and a one-time $20.0 million in-process research and development charge related to the acquisition of Eligix, Inc., compared to a net loss of $2.4 million or $0.21 per share for the same period last year. Weighted average shares outstanding for the quarters ended June 30, 2001 and 2000 were approximately 14.5 million and 11.7 million, respectively.
In the quarter ended June 30, 2001, BioTransplant recorded non-cash charges related to its acquisition of Eligix. Of the total purchase price, $20.0 million, allocated to in-process research and development projects, was accounted for as a one-time, non-cash charge. In addition, $28.2 million of the purchase price was identified as purchased intangible assets and is currently being amortized over seven years. Amortization of these intangible assets resulted in a charge of approximately $503,000 for the quarter ended June 30, 2001. Non-cash compensation charges related to stock and options amounted to approximately $1.3 million for the quarter ended June 30, 2001.
For the six month period ended June 30, 2001, the Company reported a net loss of $27.9 million or $2.12 per common share, including amortization, stock compensation and a one-time $20.0 million in-process research and development charge related to the acquisition of Eligix, compared to a net loss of $4.9 million or $0.43 per common share, for the same period in 1999. The Company reported cash, cash equivalents, and investments of $19.1 million at June 30, 2001.
``During the first half of 2001, we had a number of important strategic developments,'' said Elliot Lebowitz, Ph.D., CEO of BioTransplant. ``We completed the acquisition of Eligix and a successful private placement which netted $17.9 million. We also announced that we received CE Mark authorization for the Eligix BCell-HDM Cell Separation System enabling European sales and have begun a U.S. Phase III clinical trial on the same medical device.''
During the first six months of 2001, BioTransplant reached several milestone achievements and continued to make progress in clinical trials. Specifically, BioTransplant:
Completed a private placement of approximately 3 million shares of newly issued common stock, at a purchase price of $6.30 per share, netting $17.9 million, to selected institutional and accredited investors.
Completed the acquisition of Eligix, Inc. This stock-for-stock merger added two late stage pipeline products, and is expected to add near term European revenue and several additional product candidates in earlier phases of development, expanding BioTransplant's current product pipeline.
Received CE Mark authorization and announced the beginning of Phase III clinical trials on the Eligix BCell-HDM Cell Separation System.
Announced with Massachusetts General Hospital clinical success with a double transplant procedure in two patients with end stage renal disease and multiple myeloma. The procedure is expected to free the patient from the need for whole body irradiation to treat cancer and eliminate the need for life-long immunosuppressive drugs to prevent donor graft rejection.
Was awarded a key patent in xenotransplantation, US patent 6190861 entitled ``Molecular Sequence of Swine Retrovirus and Methods of Use'' with Immerge BioTherapeutics and Massachusetts General Hospital.
Launched the operations of Immerge BioTherapeutics, the joint venture company with Novartis.
BioTransplant utilizes its proprietary technologies under development to re-educate the body's immune responses to allow tolerance of foreign cells, tissues and organs. Based on this technology, the Company is developing a portfolio of products for application in a range of medical conditions, including organ and tissue transplantation, and treatment of cancer and autoimmune diseases, for which current therapies are inadequate. BioTransplant's products under development are intended to induce long-term functional transplantation tolerance in humans, increase the therapeutic benefit of bone marrow transplants, and reduce or eliminate the need for lifelong immunosuppressive therapy. For further information, please refer to biotransplant.com<<
snip
Cheers, Tuck |
