Bradmer announces 2009 first quarter operational and financial results



    TSX: BMR

    TORONTO, May 7 /CNW/ - Bradmer Pharmaceuticals Inc. ("Bradmer" or the
"Company") today announced its 2009 first quarter operational and financial
results.

    Operational Highlights

    During the three months ended March 31, 2009, the Company commenced a
strategic review of its operations, as more particularly described in news
releases of the Company dated February 17, 2009, March 5, 2009, and March 31,
2009. Pursuant to the strategic review, the Company has closed its Phase III
GLASS-ART Trial to further patient enrollment, as the completion of initial
milestones was projected to fully exhaust the Company's cash resources, while
capital market conditions restricted the ability to raise further capital at
this time. Subsequent to March 31, 2009, the Company has executed on a cash
conservation plan with a reduction of staff and clinical trial related
expenses, while continuing to evaluate strategic options.
    "Despite our pride in the progress made bringing Neuradiab from a
single-site Phase II program to a multicenter Phase III registration trial,
this is a time of considerable challenge for our sector," said Alan M. Ezrin,
Ph.D., President and Chief Executive Officer of Bradmer. "We continue our
strategic evaluation of the future of the Company and ways in which we can
achieve our objectives while being extremely attentive to the care of our
patients and optimizing downside protection for our shareholders. The Board
and Management look forward to sharing this plan with our stakeholders in the
immediate near future. Our conservation of capital is evident in our reduced
burn in Q1 2009 and will be the central theme of our emerging strategy."

    Financial Results

    Amounts in US dollars, unless specified otherwise, and results expressed
in accordance with Canadian Generally Accepted Accounting Principles (Canadian
GAAP).
    For the three months ended March 31, 2009, Bradmer recorded a net loss of
$2,192,000 or $0.16 per common share, compared to a net loss of $3,157,000 or
$0.23 per common share for the three months ended March 31, 2008. The
decreased loss in 2009 was primarily related to reduced research and
development spending with regard to the Corporation's lead clinical program,
Neuradiab, as a result of the decision to close its Phase III GLASS ART Trial
to further patient enrollment. As well, during the first quarter of 2009, the
Corporation continued to focus on cost reduction opportunities in all areas of
the business in response to the credit crisis and the downturn in the economy.
    Research and development expenses for the three months ended March 31,
2009 were $1,422,000, compared to $2,268,000 in the same period of 2008. The
decrease was primarily due to the absence of manufacturing activity in the
period after management made the decision to close clinical trial enrollment.
The expenses incurred in the first quarter of 2009 for drug manufacturing
contracts and analytical support amounted to $106,000 compared with $1,382,000
in 2008, as we undertook no manufacturing runs in 2009. Amounts expensed to
clinical research organizations and consultants were $707,000 in 2009,
compared to $556,000 in 2008. Restructuring costs for the severance of six
terminated employees were $173,000 in 2009. The Company incurred no severance
in the quarter ended March 31, 2008.
    General and administrative expenses were $764,000 in the first quarter of
2009 compared to $955,000 in the same quarter of 2008 as a result of the
concentration on reducing expenses throughout all departments in the Company.
The portion of stock-based compensation, a noncash item, included in general
and administrative expenses was $31,000 for the quarter, as compared to
$109,000 for the first quarter of 2008. Recruitment fees of $138,000 were
incurred to retain a Chief Operating and Medical Officer as well as clinical
and manufacturing staff in 2008, whereas no recruiting costs were incurred in
2009.
    Interest income decreased to $21,000 from $91,000 in the same period of
2008, due to lower cash balances and significantly lower interest rates.
    As at March 31, 2009, Bradmer had available cash of $5,982,000 as
compared to cash and cash equivalents of $8,245,000 as at December 31, 2008.
The decrease in cash was due primarily to the loss for the quarter. The
Company expects that cash on hand at March 31, 2009 will be sufficient to fund
the wind down of operations through 2009. We will be reducing funding to the
minimum level consistent with our obligations to continue to monitor the
progression and safety of the patients enrolled in the trial.
    As at March 31, 2009, there were 13,488,215 common shares issued and
outstanding.
    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' 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. Bradmer
initiated enrollment of primary GBM patients in a Phase III multi-center
clinical trial of Neuradiab. 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 risk and
uncertainties, which may cause but are not limited to, 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.

    
    Financial results are included below:



    Bradmer Pharmaceuticals Inc.
    Balance Sheets
    US $

                                                      March 31,  December 31,
                                                          2009          2008
                                                  ------------- -------------
    Assets                                                          (audited)

    Current
      Cash and cash equivalents                   $  5,982,323  $  8,245,455
      Amounts receivable                                11,793        12,520
      Prepaid expenses                                  65,535        27,158
                                                  ------------- -------------

                                                     6,059,651     8,285,133

    Patent rights                                      699,818       711,054
                                                  ------------- -------------
                                                  $  6,759,469  $  8,996,187
                                                  ------------- -------------
                                                  ------------- -------------

    Liabilities

    Current
      Accounts payable and accrued liabilities    $  1,551,812  $  1,594,578
                                                  ------------- -------------

    Shareholders' Equity

    Capital stock                                   31,026,728    31,026,728

    Warrants                                           881,488       881,488

    Contributed surplus                              1,157,039     1,158,886

    Deficit                                        (27,857,598)  (25,665,493)
                                                  ------------- -------------

                                                     5,207,657     7,401,609
                                                  ------------- -------------

                                                  $  6,759,469  $  8,996,187
                                                  ------------- -------------



    Bradmer Pharmaceuticals Inc.
    Statements of Operations and Deficit
    US $

                                                  Three Months  Three Months
                                                         Ended         Ended
                                                      March 31,     March 31,
                                                          2009          2008
                                                  ------------- -------------
    Expenses
      Research & development                      $  1,421,972  $  2,268,107
      General & administration                         764,203       954,911
      Amortization of patent rights                     16,095        14,793
      Foreign exchange loss                             10,813        10,927
                                                  ------------- -------------

                                                     2,213,083     3,248,738

    Interest income                                     20,978        91,250
                                                  ------------- -------------

    Net loss                                        (2,192,105)   (3,157,488)

    Deficit at beginning of period                 (25,665,493)  (14,136,436)
                                                  ------------- -------------

    Deficit at end of period                      $(27,857,598) $(17,293,924)
                                                  ------------- -------------
                                                  ------------- -------------

    Basic and diluted net loss per share          $      (0.16) $      (0.23)
                                                  ------------- -------------
                                                  ------------- -------------

    Weighted average number of shares               13,488,215    13,488,215
                                                  ------------- -------------
                                                  ------------- -------------



    Bradmer Pharmaceuticals Inc.
    Statements of Cash Flows
    US $

                                                  Three Months  Three Months
                                                         Ended         Ended
                                                      March 31,     March 31,
                                                          2009          2008
                                                  ------------- -------------
    Cash flows from operating activities
      Net loss for the period                     $ (2,192,105) $ (3,157,488)
      Add items not affecting cash
        Amortization of patents                         16,095        14,793
        Stock-based compensation (recovery)             (1,847)      135,867
                                                  ------------- -------------

                                                    (2,177,857)   (3,006,828)

      Changes in non-cash working capital items
        Amounts receivable                                 727        21,891
        Prepaid expenses                               (38,377)      (47,490)
        Accounts payable and accrued liabilities       (42,766)      237,176
                                                  ------------- -------------

                                                    (2,258,273)   (2,795,251)

    Cash flows from investing activities
      Investment in patent rights                       (4,859)      (21,712)
                                                  ------------- -------------

    Decrease in cash during the period              (2,263,132)   (2,816,963)

    Cash and cash equivalents at beginning
     of period                                       8,245,455    19,469,337
                                                  ------------- -------------

    Cash at end of period                         $  5,982,323  $ 16,652,374
                                                  ------------- -------------
                                                  ------------- -------------
    





For further information:

For further information: Bradmer Pharmaceuticals Inc., Brian Brohman,
Chief Business Officer, Phone: (888) 267-0707 x804, 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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