TORONTO, June 11 /CNW/ - Microbix Biosystems Inc. (TSX:MBX) and ImaRx
Therapeutics, Inc. (Nasdaq: IMRX) have agreed to terminate the previously
announced letter of intent in which Microbix offered to acquire the urokinase
inventory and related assets from ImaRx for $17 million.
Two recent events prompted this decision:
- ImaRx was notified by the FDA, after the LOI was signed, that
additional testing would be required for approval of the urokinase
stability testing program and release of labeled vials of urokinase.
- ImaRx subsequently informed Microbix that it intended to complete the
additional urokinase stability testing and submit it to the FDA by
August 2008 and that, as a result, ImaRx would not be in a position
to begin sales of its labeled vials of urokinase with extended
expiration dating until the Fall of 2008, assuming FDA approval. This
was a materially different timeframe for product sales than
contemplated in the LOI.
Microbix had intended to spin off its own urokinase assets into a new
private company, Klarogen Biotherapeutics Inc., which would have purchased the
urokinase assets of ImaRx.
Now that the LOI has been terminated, Microbix will continue to work with
a number of parties and ImaRx to determine the most logical and fundable path
forward with respect to the acquisition of the ImaRx urokinase assets.
Microbix specializes in the development of biological technologies and
commercializing them through global partners. The Company has intellectual
property in large market biotherapeutic drugs, vaccine technologies and animal
reproduction technologies. Established in 1988, Microbix is headquartered in
This press release contains forward-looking statements, which are subject
to risks and uncertainties that could cause actual results to differ
materially from those set forth in the forward-looking statements including,
without limitation, the risks associated with: failure of the parties,
including Klarogen and ImaRx, to enter into another letter of agreement;
failure of Klarogen to finance the acquisition from ImaRx; failure to develop
and commercialize urokinase on a timely basis or at all; failure to complete
due diligence to the satisfaction of either or both parties; and general risks
associated with FDA approval and the commercialization of urokinase. These
forward-looking statements represent the Companies' judgment as of the date of
this press release. Additional risks and uncertainties related to ImaRx can be
found in its filings with the U.S. Securities and Exchange Commission. This
press release is as of June 11, 2008 and the Companies disclaim any intent or
obligation to update these forward-looking statements.
For further information:
For further information: visit www.microbix.com or contact: Phil
Casselli, President, Microbix Biosystems Inc., (416) 234-1624 x 224; James
Long, CFO, Microbix Biosystems Inc., (416) 234-1624 x 265