Listed TSX, Symbol: CNJ
TORONTO and WINNIPEG, July 7 /CNW/ - Cangene Corporation today announces
that it has acquired all issued and outstanding shares of privately held
Twinstrand Therapeutics Inc. ("Twinstrand"). Cangene has paid $1.5 million
(subject to post-closing adjustments) to acquire Twinstrand which has
products, technologies and financial attributes including those related to
tax. Twinstrand has established a technology that uses modified versions of
ricin, a plant-derived cell toxin, as therapeutic prodrugs. Its lead drug, a
product known as TST10088, is currently undergoing a Phase I clinical trial.
The prodrugs leave healthy cells unaffected while specific chemical activity
within targeted diseased cells activates the cell-killing activities of the
drug. As a spin-off from its original focus, Twinstrand has also begun
developing anti-ricin, antibody-based therapeutics; Cangene has partnered with
Twinstrand on this technology in the past. The acquisition of Twinstrand
includes an obligation that Cangene pay to certain of Twinstrand's former
investors a royalty on any commercial sales of antibody products related to
TST10088 that may be developed, as well as a royalty on any associated
licensing fees.
"This acquisition is in line with our on-going interest in augmenting our
commercial pipeline and biodefence products through the acquisition of
complementary products or technologies," said Dr. John Langstaff, Cangene's
president and CEO.
Twinstrand is a private clinical-stage biopharmaceutical company
dedicated to the discovery and development of biological drugs for the
treatment of life-threatening diseases. Its pipeline includes products with
applications in cancer; viral, parasitic and fungal diseases; and biodefence.
Cangene plans on winding-up Twinstrand and integrating its activities into
Cangene's operations.
About Cangene Corporation
Cangene is one of Canada's largest and earliest biopharmaceutical
companies. It was founded in 1984 and is headquartered in Winnipeg, Manitoba.
Cangene has approximately 700 employees in eight locations across North
America and its products are sold worldwide. It operates three large
manufacturing facilities - two in Winnipeg, Manitoba and one in Baltimore,
Maryland - where it produces its own products and undertakes contract
manufacturing for a number of companies. Cangene operates three U.S. and one
Canadian plasma-collection facilities. In addition, it has a regulatory
affairs, sales and corporate communications office in Toronto, Ontario.
Cangene is focused on developing therapeutics for infectious diseases,
and the Company uses patented manufacturing processes to produce
plasma-derived and recombinant therapeutic proteins. Cangene has five FDA
and/or Health Canada-approved products. In addition, the Company has several
more products in development at various stages. Three of Cangene's products
have been accepted into the U.S. Strategic National Stockpile - botulism
antitoxin, anthrax immune globulin and vaccinia immune globulin, a product
used to counteract certain complications that may arise from smallpox
vaccination.
Capitalizing on its drug manufacturing expertise, Cangene also operates a
significant contract research and manufacturing business using its Winnipeg
facilities and the resources of Baltimore, Maryland-based Chesapeake
Biological Laboratories, Inc. (a wholly owned subsidiary). Cangene's website,
www.cangene.com, includes product and investor information, including past
news releases. Chesapeake's website is www.cblinc.com.
"Cangene" is a trademark belonging to Cangene Corporation.
Forward-looking information
The reader should be aware that Cangene's businesses are subject to risks
and uncertainties that cannot be predicted or quantified; consequently, actual
results may differ materially from past results and those expressed or implied
by any forward-looking statements. Factors that could cause or contribute to
such risks or uncertainties include, but are not limited to: the regulatory
environment including the difficulty of predicting regulatory outcomes;
changes in the value of the Canadian dollar; the Company's reliance on a small
number of customers including government organizations; the demand for new
products and the impact of competitive products, service and pricing;
availability and cost of raw materials, especially the cost, availability and
antibody concentration in plasma; fluctuations in operating results;
government policies or actions; progress and cost of clinical trials; reliance
on key strategic relationships; costs and possible development delays
resulting from use of legal, regulatory or legislative strategies by the
Company's competitors; uncertainty related to intellectual property protection
and potential costs associated with its defence; the Company's exposure to
lawsuits; and other matters beyond control of management. Risks and
uncertainties are discussed more extensively in the MD&A section of the
Company's most recent annual report and annual information form, which are
available on the Company's website or on SEDAR at www.sedar.com.
Scientific information that relates to unapproved products or unapproved
uses of products is preliminary and investigative. No conclusions can or
should be drawn regarding the safety or efficacy of such products. Only
regulatory authorities can determine whether products are safe and effective
for the uses being investigated. Healthcare professionals are directed to
refer to approved labelling for products and not rely on information presented
in news releases. Drug names and prescribing information may differ in various
countries.
The cautionary statements referred to above should be considered in
connection with all written or oral statements, especially forward-looking
statements, that are made by the Company or by persons acting on its behalf
and in conjunction with its periodic filings with Securities Commissions,
including those contained in the Company's news releases and most recently
filed annual information form. Forward-looking statements can be identified by
the use of words such as "expects", "plans", "will", "believes", "estimates",
"intends", "may", "bodes" and other words of similar meaning (including
negative and grammatical variations). Should known or unknown risks or
uncertainties materialize, or should management's assumptions prove
inaccurate, actual results could vary materially from those anticipated. The
Company undertakes no obligation to publicly make or update any
forward-looking statements, except as required by applicable law.
%SEDAR: 00002351E
For further information: about Cangene Corporation, please contact
Michael Graham at (204) 275-4040 or by email at mgraham@cangene.com
