Nventa Biopharmaceuticals announces first quarter 2009 financial results and recent corporate highlights



    SAN DIEGO, CA, May 13 /CNW/ - Nventa Biopharmaceuticals Corporation
(TSX:NVN) today announced financial results for the first quarter ended March
31, 2009, and highlighted several recent product developments and corporate
milestones.

    
    Recent corporate highlights:

    -   In March 2009, we announced the execution of an arrangement agreement
        to combine with Akela Pharma Inc. (Akela) by way of a plan of
        arrangement under the Business Corporations Act (British Columbia).
        The board of directors of both companies unanimously approved the
        agreement. The transaction is to be effected by an exchange of Akela
        common shares for the outstanding shares of Nventa on the basis of
        0.0355 Akela shares for each Nventa share (or 1 Akela share for
        28.169 Nventa shares), resulting in an approximate 70/30 ownership
        split between Akela and Nventa shareholders, respectively, in the
        combined entity. The public company will retain Akela's name, and
        will continue to be listed on the Toronto Stock Exchange under the
        ticker symbol AKL. Bob Rieder, Chairman and Greg McKee, President and
        Chief Executive Officer of Nventa will be nominated to the board of
        directors of Akela. The transaction is subject to approvals from
        Nventa shareholders, the British Columbia Supreme Court and the
        Toronto Stock Exchange. Subject to the satisfaction of certain
        customary closing conditions, including a minimum amount of $1.5M of
        net cash in Nventa, the transaction is expected to close in May 2009.


    First Quarter ended March 31, 2009 Financial Results

    All amounts referenced below are in Canadian dollars.
    

    Net losses for the three months ended March 31, 2009 and 2008 were
$916,000, or 0.0035 per share, and $1,865,000, or 0.0071 per share,
respectively. The $949,000 decrease in our first quarter 2009 net loss over
the first quarter of 2008 is primarily related to an $990,000 decrease in R&D
spend attributed to the halt of clinical studies, reduction in force and other
cost savings initiatives resulting from the 2008 reorganization. Also
resulting from the 2008 reorganization and other cost savings initiatives was
a decrease in SG&A of $340,000, offset by a decrease in the foreign exchange
gain of $381,000.
    The company had cash and cash equivalents of $2,429,000 as of March 31,
2009, compared to $3,416,000, as of December 31, 2008.

    
    About Nventa Biopharmaceuticals Corporation:
    --------------------------------------------
    
    Nventa is developing innovative therapeutics incorporating our
proprietary CoVal(TM) fusion technology for the treatment of viral infections
and cancers, with a focus on diseases caused by the human papillomavirus
(HPV); and a Toll-like Receptor 3 (TLR3) agonist for use as a vaccine adjuvant
and as an immunotherapeutic for viral infections and cancer. The company is
publicly traded on the Toronto Stock Exchange under the symbol "NVN". For more
information about Nventa Biopharmaceuticals Corporation, please visit the
company's website located at www.nventacorp.com.
    The audit committee of the company has reviewed and approved of the
contents of this press release. Summary financial statements are attached
below. The full financial statements and MD&A for the three months ended March
31, 2009 can be found on SEDAR at http://www.sedar.com.

    This press release contains statements which may constitute
forward-looking information under applicable Canadian securities legislation
or forward-looking statements within the meaning of the United States Private
Securities Litigation Reform Act of 1995. Such forward-looking statements or
information may include financial and other projections as well as statements
regarding the company's future plans, objectives, performance, revenues,
growth, profits, operating expenses or the company's underlying assumptions.
The words "may", "would", "could", "will", "likely", "expect," "anticipate,"
"intend", "plan", "forecast", "project", "estimate" and "believe" or other
similar words and phrases may identify forward-looking statements or
information. Persons reading this press release are cautioned that such
statements or information are only expectations, and that the company's actual
future results or performance may be materially different.
    Forward-looking statements or information in this press release include,
but are not limited to, statements or information concerning: the immunologic
activity of HspE7 in treating CIN; that we identified an optimal dosing range
for Phase 2 development and that our TLR3 agonist may have application in both
therapeutic as well as prophylactic vaccines.
    Such forward-looking statements or information involve known and unknown
risks, uncertainties and other factors that may cause our actual results,
events or developments to be materially different from results, events or
developments expressed or implied by such forward-looking statements or
information. Such factors include, among others, the possibility that
immunologic activity of HspE7 may not treat CIN; the possibility that
immunology responses may not be a predictor of clinical or therapeutic
benefit; our need for capital; the outcomes of our clinical trials; the
possibility that our drug candidate will not treat target diseases as
intended; the possibility that we will not be successful in licensing our TLR3
agonist to other vaccine developers; risks associated with requirements for
approvals by government agencies such as the FDA before products can be tested
in clinical trials; the possibility that such government agency approvals will
not be obtained in a timely manner or at all or will be conditioned in a
manner that would impair our ability to advance development; risks associated
with the requirement that a drug candidate be found safe and effective after
extensive clinical trials; our dependence on suppliers, collaborative partners
and other third parties and the prospects and timing for negotiating supply
agreements, corporate collaborations or licensing arrangements; our ability to
attract and retain key personnel; and other factors as described in detail in
our filings with the Canadian securities regulatory authorities at
http://www.sedar.com.
    Assumptions underlying our expectations regarding forward-looking
statements or information contained in this press release include, among
others, that HspE7 treats CIN; that immunology responses are a predictor of
clinical and therapeutic benefit; that future clinical trial results will be
favorable; that our drug candidate will treat target diseases as intended;
that we will raise enough capital, on reasonable terms and in a timely manner;
that we will retain our key personnel; that we will obtain the necessary
regulatory approvals related to HspE7 and our adjuvant in a timely manner and
that we will be able to license our TLR3 agonist.
    In the event that any of these assumptions prove to be incorrect, or in
the event that we are impacted by any of the risks identified above, we may
not be able to continue in our business as planned.
    For a complete discussion of the assumptions, risks and uncertainties
related to our business, you are encouraged to review our filings with
Canadian securities regulatory authorities, including our 2009 Annual
Information Form filed on SEDAR at http://www.sedar.com.
    All forward-looking statements and information made herein are based on
our current expectations as of the date hereof and we disclaim any intention
or obligation to revise or update such forward-looking statements and
information to reflect subsequent events or circumstances, except as required
by law.

    
                                   -more-

                       (financial information attached)



               CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
                                 (Unaudited)
         (Canadian dollars) (In thousands, except per share amounts)

                                                     Three months ended
                                                          March 31,

                                                     2009           2008
                                                 -------------  -------------

    Revenue:
      Collaborative research and development
       revenue                                    $         -    $         -

    Operating expenses:
      Research and development (Notes 2 and 3)            436          1,426
      Selling, general and administrative
       (Note 3)                                           618            958
      Corporate restructuring                               -              -
                                                 -------------  -------------
                                                        1,054          2,384
                                                 -------------  -------------

    Operating loss                                     (1,054)        (2,384)

    Other income (expenses):
      Interest and other income, net                       23            111
      Net foreign exchange gain (loss)                    115            408
                                                 -------------  -------------
                                                          138            519
                                                 -------------  -------------

    Net loss and comprehensive loss               $      (916)     $  (1,865)
                                                 -------------  -------------
                                                 -------------  -------------

    Basic and diluted loss per common share       $    (0.00)    $     (0.01)
                                                 -------------  -------------
                                                 -------------  -------------

    Weighted average number of shares used to
     compute basic and diluted loss per
     common share (in thousands)                      261,211        260,905
                                                 -------------  -------------



              CONDENSED CONSOLIDATED BALANCE SHEET INFORMATION
                 (Unaudited) (Canadian dollars in thousands)

                                                     March 31,   December 31,
                                                         2009           2008
                                                 -------------  -------------

    Cash and cash equivalents                     $     2,429    $     3,416
    Total assets                                        4,399          5,354
    Stockholders' equity                                3,838          4,664

    Total shares outstanding (in thousands)           261,211        261,211
    

    %SEDAR: 00023483E




For further information:

For further information: Greg McKee, President and Chief Executive
Officer, Nventa Biopharmaceuticals Corporation, gmckee@nventacorp.com;
Berenice Brownlee, Director Finance, Nventa Biopharmaceuticals Corporation,
bbrownlee@nventacorp.com

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NVENTA BIOPHARMACEUTICALS CORPORATION

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