Healthcare Industry News: Elusys Therapeutics
News Release - April 18, 2007
Ambrilia Announces the Appointment of Stephen G. Sudovar as Executive Chairman & Interim CEO as Hans Mader is Stepping Down as President & CEO and a $5.4 Million Private PlacementMONTREAL, QUEBEC--(Healthcare Sales & Marketing Network)--Apr 18, 2007 -- Ambrilia Biopharma Inc. (Toronto:AMB.TO ), a biopharmaceutical company developing novel small molecules and peptides, has announced today the appointment of its Chairman of the Board of Directors, Stephen G. Sudovar, as Executive Chairman and interim Chief Executive Officer. Hans J. Mader is leaving his position as President and Chief Executive Officer and as a member of the Board, effective today. Mr. Sudovar will oversee the day-to-day operations of the Company until such time as a new President and CEO is appointed. In order to ensure a smooth transition, Mr. Mader has agreed to continue working with Ambrilia as a consultant for a period of one year.
"I believe the timing is right for me to step down, Ambrilia having reached a stage where it has built solid fundamentals. A lot was accomplished in the past months with the major licensing agreement concluded with Merck & Co. for Ambrilia's HIV Protease Inhibitor Program, and we have made important progress in our lead product candidates such as Octreotide", said Hans J. Mader, former President and Chief Executive Officer of Ambrilia. "I am leaving the Company on good terms to pursue other endeavors, and it has been a pleasure for me to work with an outstanding team of managers, scientists and other professionals".
Ambrilia also announced today that it has agreed to issue 2,231,405 of its common shares to certain investors, almost all of them being current shareholders of Ambrilia, at a price of $2.42 per share for an aggregate consideration of $5.4 million. These investors are Turenne Capital Partenaires, Innoven Partenaires, OTC Asset Management, DHR Investissement and certain other investors. Turenne Capital Partenaires is an insider of the Corporation by virtue of its present control over 12.6% of the outstanding common shares of Ambrilia. This $5.4 million transaction is subject to usual conditions, including the approval of the TSX and applicable regulatory authorities and is scheduled to close no later than May 18, 2007. The issue price of $2.42 per share represents the volume weighted average price of Ambrilia's common share on the TSX for the five days ending on April 11, 2007, being the date on which Ambrilia informally came to terms with representatives of the above-mentioned investors.
"Firstly, on behalf of Ambrilia's Board and entire management team, I wish to thank Hans for his lasting dedication and efforts in bringing the Company to this stage of development", said Stephen G. Sudovar, Executive Chairman of the Board and Interim CEO of Ambrilia. "I believe Ambrilia is poised for success and I look forward in guiding the Company as it continues to make advances in its key programs such as the HIV Integrase Inhibitor, and particularly our productive relationship with Merck in the development of PPL-100. We also look forward to having new data available for our anti-cancer peptide, PCK3145, before the end of the second quarter. Finally, I acknowledge the vote of confidence from our shareholders by reinvesting in Ambrilia", he concluded.
ABOUT MR. STEPHEN G. SUDOVAR
Mr. Sudovar is currently CEO of SGS Associates, a health care consulting firm. Mr. Sudovar's career spans 30 years of accomplishments in driving business growth in the health care products and services industry. He held senior management and related cross functional positions at Hoffmann La Roche from 1988 to 1999, including President of its Roche Laboratories division. During his tenure at Roche Labs, he more than tripled U.S. revenues, consistently increased divisional profit contribution, increased the company's U.S. market share, prepared the organization for the launch of many large products as well as integrated the Syntex and Boehringer Mannheim U.S. operations into Roche. As a member of the Roche Board of Directors and Executive Committee and the Chairman of the Business Operating Committee, he was also responsible for the U.S. business development function and related therapeutic area planning for drug discovery and portfolio management for drug development. During his tenure with Roche, he gained significant global experience as an expatriate in Europe. Mr. Sudovar also headed two successful start-up companies, Pracon Incorporated and Elusys Therapeutics for which he served as President and CEO. Mr. Sudovar is a member of the Board of Nabi Pharmaceuticals and Aastrom Biosciences. He was also Chairman of the National Pharmaceutical Council (NPC) and of the Marketing Section of the Pharmaceutical Research and Manufacturing Association (PhRMA). He holds a B.S. in Marketing from St Peter's College and an MBA from Fairleigh Dickinson University. He is an Adjunct Professor of Management at Montclair State University
Ambrilia's forward-looking statements
This press release contains forward-looking statements that reflect the Company's current expectation regarding future events. These forward-looking statements involve risks and uncertainties. Actual events could differ materially from those projected herein and depend on a number of factors including, but not limited to, changing market conditions, successful and timely completion of clinical studies, uncertainties related to the regulatory approval process, establishment of corporate alliances and other risks detailed from time to time in the Company's filings. We refer you to the Risk Factors section of the Company's Management's Discussion & Analysis of Financial Condition and Results of Operations which contain a more exhaustive analysis of the risks and uncertainties that are generally connected to the business of the Company. Such statements are also based on various assumptions, including the successful and timely completion of clinical studies on Ambrilia's products demonstrating efficacy and safety for human use, their successful commercialization within the forecasted timelines and the attainment of the forecasted milestone payments and other revenues. While Ambrilia anticipates that subsequent events and developments may cause Ambrilia's views to change, Ambrilia specifically disclaims any obligation to update these forward looking statements.
ABOUT AMBRILIA BIOPHARMA
Ambrilia Biopharma Inc. (Toronto:AMB.TO ) is a biopharmaceutical company developing novel small molecules and peptides to treat infectious diseases and cancer. Ambrilia's product portfolio includes promising anti-HIV treatments (PPL-100 and an HIV Integrase Inhibitor Program), two new formulations of existing drugs developed with a patented technology (Octreotide and Goserelin), an anti-cancer therapeutic peptide (PCK3145), a tumor and tumor-vasculature targeting (TVT) technology platform, as well as other anti-virals and immunomodulators. Exclusive worldwide rights to PPL-100 and its related compounds have been granted to Merck & Co., Inc. in return for a $US 17 million upfront payment, potential milestones that could reach $US 212 million, and royalties. Ambrilia's head office, research and development and manufacturing facilities are located in Montreal with a regional office in France. For more information, please visit the Company's web site: www.ambrilia.com
Source: Ambrilia Biopharma
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