Bradmer announces 2007 fourth quarter and fiscal year operational and financial results



    TSX: BMR

    TORONTO, March 12 /CNW/ - Bradmer Pharmaceuticals Inc., a clinical
oncology company specializing in the development and commercialization of
cancer therapies, today announced its 2007 fourth quarter and fiscal year
operational and financial results.

    Operational Highlights

    During the year ended December 31, 2007, the Company achieved the
following steps in preparation for the upcoming multi-center Phase III trial
and subsequent planned commercialization for its lead drug Neuradiab, a
treatment for glioblastoma multiforme, the most deadly form of brain cancer:

    
    -   Completed development and validation of cGMP manufacturing processes
        of the Neuradiab drug substance (antibody component) and final drug
        product (radiolabeled antibody).
    -   Conducted pre-Phase III meetings with the U.S. Food and Drug
        Administration (FDA) regarding the protocol and design of the Phase
        III trial as well as the drug manufacturing processes.
    -   Entered formal contracting and approval processes with more than 30
        U.S. clinical trial sites, in line with previously stated site
        recruitment goals.
    -   Prepared and submitted the Company's drug manufacturing data package
        to the FDA, subsequent to the end of the fiscal year. The submission
        is currently under review. After completion of the review and
        satisfactory resolution of any further requests of the FDA, if any,
        Bradmer will submit a clinical update to its Investigational New Drug
        (IND) application and proceed with the launch of the planned Phase
        III trial.
    

    "We have made significant progress toward the initiation of our planned
multi-center Phase III trial of Neuradiab by focusing specifically on reducing
risk in the critical areas of manufacturing, regulatory and clinical
operations," said Alan M. Ezrin, Ph.D., President and Chief Executive Officer
of Bradmer. "We successfully initiated and completed manufacturing of the drug
product at cGMP contract manufacturing facilities and we gained concurrence
with the FDA as to our clinical trial design. These achievements clear the
path towards the launch of the Phase III trial in the spring of 2008."
    The Phase III trial will investigate Neuradiab as an adjuvant therapy to
surgery, external beam radiation and temozolomide in 760 patients with newly
diagnosed glioblastoma multiforme (GBM). The randomized trial is expected to
be conducted at leading brain tumor treatment centers across the US.

    Financial Highlights

    Amounts in US dollars, unless specified otherwise, and results expressed
in accordance with Canadian Generally Accepted Accounting Principles (Canadian
GAAP).
    The Company recorded a net loss for the three-month and twelve-month
periods ended December 31, 2007 of $3,517,000 or $0.26 per share and
$9,436,000 or $0.87 per share, respectively. For the three-month and
twelve-month periods ended December 31, 2006, the net loss was $2,700,000 or
$0.35 per share and $4,446,000 or $0.57 per share, respectively.
    Research and development expenses for the three-month and twelve-month
periods ended December 31, 2007 were $2,669,000 and $6,590,000 compared with
$2,073,000 and $2,966,000 in the comparable periods in 2006. These expenses
related primarily to drug manufacturing costs as well as amounts paid to
clinical and regulatory advisors. The increase was due to increased costs
associated with manufacturing and support for our Phase III clinical
development program. During the fourth quarter, Bradmer expanded drug
manufacturing analytical support and prepared a second GMP batch of drug
substance in order to exceed expected regulatory requests and ensure
initiation of the trial in 2008.
    Management salaries for the three-month and twelve-month periods ended
December 31, 2007 were $419,000 and $1,280,000 compared with $302,000 and
$746,000 for the corresponding periods in 2006, respectively. The change in
management salaries is primarily due to the hiring of additional management
during 2007.
    Office and administrative expenses for the three-month and twelve-month
periods ended December 31, 2007 were $315,000 and $710,000 respectively, while
in 2006, comparable amounts were $136,000 and $371,000, respectively. These
expenses include charges for facilities, communications, investor relations
and insurance. Professional fees for the three-month and twelve-month periods
ended December 31, 2007 were $156,000 and $586,000 compared to $99,000 and
$282,000, respectively, and consisted primarily of legal, accounting and
recruiting fees.
    The non-cash stock-based compensation charges for the three-month and
twelve-month periods ended December 31, 2007 totaled $37,000 and $348,000,
respectively, while 2006 charges were $67,000 and $183,000, respectively, as a
result of the issuance of options to employees, officers and directors.
    Operational expenses were offset in part by interest income of $174,000
and $577,000 during the three-month and twelve-month periods ended
December 31, 2007. Interest income in 2006 was $108,000 and $391,000 for the
comparable periods. The increase in interest income in 2007 was primarily due
to higher interest rates and higher average cash balances after the completion
of the June 2007 financing.
    As at December 31, 2007, Bradmer had available cash and cash equivalents
of $19,469,000 as compared with $8,813,000 as at December 31, 2006. The
increase in cash was related to proceeds of the public offering closed on
June 22, 2007, which yielded gross proceeds of approximately Cdn$23,100,000.
After deducting cash-based share issue costs and converting to US dollars, net
proceeds totaled approximately $19,600,000. The Company expects that cash on
hand at December 31, 2007 will be sufficient to fund operations at least
through 2009, inclusive of clinical trial costs and infrastructure costs
during such period.
    Operational activities for the year ended December 31, 2007 were financed
by cash on hand and the proceeds of the public offering completed in
June 2007.
    As at December 31, 2007, there were 13,488,215 common shares issued and
outstanding.

    Outlook

    Bradmer's operational objectives are clear: prepare, launch, and execute
a multi-center randomized trial evaluating Neuradiab in newly diagnosed GBM
patients, which it expects to commence in the spring of 2008. During the time
leading up to opening the trial for enrollment, Bradmer intends to execute on
the following components of its operational plan:

    
    -   Continue the activation and training of glioblastoma multiforme
        treatment centers across the U.S.
    -   Submit final clinical documentation to the FDA, upon completion of
        their review of the manufacturing data already submitted.
    -   Manufacture and ship initial drug quantities to clinical trial sites.
    

    Notice of Conference Call

    Bradmer will hold a conference call today, March 12, 2008, at 10:00 a.m.
ET hosted by Dr. Alan M. Ezrin, President and Chief Executive Officer and Mr.
Paul Van Damme, Chief Financial Officer to discuss the Company's financial
results and corporate developments. To access the conference call by
telephone, dial 416-644-3420 or 1-800-594-3790. A live audio webcast of the
conference call, complete with a slide presentation, will be available by
visiting the Company's website at www.bradmerpharma.com. Please connect at
least 15 minutes prior to the conference call to ensure adequate time for any
software download that may be needed to hear the webcast. The webcast will be
archived for 90 days.

    Additional information about the Company, including the MD&A and
financial results may be found on SEDAR at www.sedar.com.

    About Bradmer Pharmaceuticals Inc. (www.bradmerpharma.com)

    Bradmer Pharmaceuticals is a biopharmaceutical company focused on the
development and commercialization of new and innovative cancer therapies.
Bradmer's lead clinical candidate, Neuradiab, was developed at Duke University
Medical Center as a proprietary therapy for a particularly aggressive form of
brain cancer, glioblastoma multiforme. To date, over US$60 million in grants
and related support has driven research and development of the licensed
treatment, which has been delivered to over 200 patients with promising
results and has completed Phase II clinical trials at Duke University. Bradmer
is currently in the process of organizing a pivotal multi-center clinical
trial of the licensed treatment. Neuradiab has been granted Orphan Drug Status
by both the U.S. Food and Drug Administration and the European Medicines
Agency.
    Bradmer Pharmaceuticals Inc.'s common shares have not been registered
under the Securities Act of 1933, as amended (the "Securities Act") or any
state regulatory agency in the United States. The resale or transfer by a U.S.
investor of such common shares of Bradmer Pharmaceuticals Inc. is subject to
the requirements of Rule 904 of Regulation S of the Securities Act or such
other applicable exemption thereunder, and other applicable state securities
laws.
    Except for historical information, this press release may contain
forward-looking statements, which reflect the Company's current expectation
regarding future events. These forward-looking statements involve risks and
uncertainties, which may include but are not limited to, the receipt of all
regulatory approvals required to conduct the proposed clinical trial of
Neuradiab, changing market conditions, the successful and timely completion of
clinical studies, the establishment of corporate alliances, the impact of
competitive products and pricing, new product development, uncertainties
related to the regulatory approval process and other risks detailed from time
to time in the Company's ongoing quarterly and annual reporting.

    Financials results included below:



    
    Bradmer Pharmaceuticals Inc.
    Balance Sheets
    US $

                                                   December 31,  December 31,
                                                      2007          2006
                                                  ------------- -------------
    Assets

    Current
      Cash                                        $ 19,469,337  $  8,813,427
      Amounts receivable                               143,722        77,085
      Prepaid expenses and other assets                 24,029        10,632
                                                  ------------- -------------

                                                    19,637,088     8,901,144

    Patent rights                                      685,165       469,817
                                                  ------------- -------------

                                                  $ 20,322,253  $  9,370,961
                                                  ------------- -------------
                                                  ------------- -------------

    Liabilities

    Current
      Accounts payable and accrued liabilities    $  1,835,492  $  1,384,367
                                                  ------------- -------------

    Shareholders' Equity

    Capital stock                                   31,026,728    12,504,066

    Contributed surplus                                714,981       183,369

    Warrants                                           881,488             -

    Deficit                                        (14,136,436)   (4,700,841)
                                                  ------------- -------------

                                                    18,486,761     7,986,594
                                                  ------------- -------------

                                                  $ 20,322,253  $  9,370,961
                                                  ------------- -------------
                                                  ------------- -------------



    Bradmer Pharmaceuticals Inc.
    Statements of Operations and Deficit
    US $

                      Three Months  Three Months
                          Ended        Ended       Year Ended    Year Ended
                       December 31,  December 31,  December 31,  December 31,
                          2007          2006          2007          2006
                      ------------- ------------- ------------- -------------
    Expenses

      Research &
       development    $  2,668,549  $  2,072,617  $  6,590,177  $  2,966,384
      Management
       salaries            418,569       302,186     1,280,345       745,878
      Stock-based
       compensation         37,495        66,571       348,412       183,369
      Office and
       administrative      315,481       136,077       710,122       371,497
      Professional fees
       and consulting      155,948        98,541       585,690       282,225
      Travel               171,051        94,579       536,714       223,015
      Amortization and
       write-off of
       patent rights        14,500        64,797        51,769        92,108
      Foreign exchange
       gain                (90,399)      (27,945)      (90,399)      (27,945)
                      ------------- ------------- ------------- -------------

                         3,691,194     2,807,423    10,012,830     4,836,531

    Interest income        174,163       107,895       577,235       390,913
                      ------------- ------------- ------------- -------------

    Net loss            (3,517,031)   (2,699,528)   (9,435,595)   (4,445,618)

    Deficit at
     beginning
     of period         (10,619,405)   (1,150,032)   (4,700,841)     (255,223)
                      ------------- ------------- ------------- -------------

    Deficit at end
     of period        $(14,136,436) $ (3,849,560) $(14,136,436) $ (4,700,841)
                      ------------- ------------- ------------- -------------
                      ------------- ------------- ------------- -------------

    Basic and diluted
     net loss
     per share        $      (0.26) $      (0.35) $      (0.87) $      (0.57)
                      ------------- ------------- ------------- -------------
                      ------------- ------------- ------------- -------------

    Weighted average
     number of shares   13,515,172     7,781,346    10,827,882     7,781,082
                      ------------- ------------- ------------- -------------
                      ------------- ------------- ------------- -------------



    Bradmer Pharmaceuticals Inc.
    Statements of Cash Flows
    US $

                      Three Months  Three Months
                          Ended        Ended       Year Ended    Year Ended
                       December 31,  December 31,  December 31,  December 31,
                          2007          2006          2007          2006
                      ------------- ------------- ------------- -------------

    Cash flows from
     operating
     activities
      Net loss for
       the period     $ (3,517,031) $ (2,699,528) $ (9,435,595) $ (4,445,618)
      Add item not
       affecting cash
        Amortization
         and write-off
         of patents         14,500        64,797        51,769        92,108
        Stock-based
         compensation       37,495        66,571       348,412       183,369
                      ------------- ------------- ------------- -------------

                        (3,465,036)   (2,568,160)   (9,035,414)   (4,170,141)

      Changes in
       non-cash
       working capital
       items
        Amounts
         receivable         12,692          (167)      (66,637)      (52,696)
        Prepaid
         expenses           24,960        19,721       (13,397)      (10,632)
        Accounts
         payable and
         accrued
         liabilities     1,147,682     1,295,766       451,125       871,628
                      ------------- ------------- ------------- -------------

                        (2,279,702)   (1,252,840)   (8,664,323)   (3,361,841)

    Cash flows from
     investing
     activities
      Investment in
       patent rights       (50,709)      (81,217)     (267,117)    (344,777)
                      ------------- ------------- ------------- -------------

    Cash flows from
     financing
     activities
      Issuance of
       capital stock,
       net of share
       issue costs               -             -    19,588,150    12,086,713
      Issuance of
       capital stock
       upon exercise
       of stock
       options                   -             -             -         6,000
      Issuance of
       capital stock
       upon exercise
       of warrants               -             -             -         2,414
      Cash of former
       Bradmer upon
       amalgamation              -             -             -       563,405
      Promissory note
       due to related
       party                     -             -             -      (401,210)
      Repurchase of
       shares from
       employee               (800)            -          (800)            -
                      ------------- ------------- ------------- -------------

                              (800)            -    19,587,350    12,257,322
                      ------------- ------------- ------------- -------------

    Increase
     (decrease) in
     cash during
     the period         (2,331,211)   (1,334,057)   10,655,910     8,550,704

    Cash at beginning
     of period          21,800,548    10,147,484     8,813,427       262,723
                      ------------- ------------- ------------- -------------

    Cash at end
     of period        $ 19,469,337  $  8,813,427  $ 19,469,337  $  8,813,427
                      ------------- ------------- ------------- -------------
                      ------------- ------------- ------------- -------------
    





For further information:

For further information: Bradmer Pharmaceuticals Inc., Mr. Brian
Brohman, Chief Business Officer, Phone: (502) 657-6038, Fax: (502) 657-6039,
E-mail: bbrohman@bradmerpharma.com, Internet: www.bradmerpharma.com; Investor
Relations, Ross Marshall, The Equicom Group Inc., Phone: (416) 815-0700 (Ext.
238), Fax: (416) 815-0080, E-mail: rmarshall@equicomgroup.com

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BRADMER PHARMACEUTICALS INC.

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