EDMONTON, Alberta, Nov. 30, 2012 (GLOBE NEWSWIRE) -- Isotechnika Pharma Inc. (TSX:ISA) ("Isotechnika" or the "Company") announced today that, further to its press release of November 14, 2012, a Partial Award in the Company's ICC arbitration regarding its right to terminate the Development, Distribution and License Agreement (the "DDL") with ILJIN Life Sciences Co. Ltd. ("ILJIN") has been issued to the parties. In the result, the Partial Award provides that the DDL has not been terminated and, therefore, the Company's contractual relationship with ILJIN still subsists.
"Although the Partial Award rejected the Company's interpretation of the DDL's termination provision, the result – the DDL being declared in force – brings the Company much needed certainty in its pursuit of the development of voclosporin," said Dr. Robert Foster, Isotechnika's President and CEO.
Pursuant to the DDL, a Joint Steering Committee ("JSC") with equal membership from Isotechnika and ILJIN was established to oversee the development and commercialization of voclosporin in the ILJIN territories. As confirmed by the Partial Award, ILJIN is obligated to purchase 39.6 million common shares of the Company issued from treasury at a price of approximately US$0.215 per share, for aggregate gross proceeds of US$8.5 million, and pay US$500,000 as a final license fee upon the JSC determining that the Company has satisfactorily advanced the Phase 3 kidney transplant trial for voclosporin in accordance with the development plan. The Company noted that the closing price of its stock on the TSX was C$0.045 on November 29, 2012.
Dr. Foster continued, "We are confident that, among other things, the recent announcement that the Company has received permission from the U.S. Food and Drug Administration to commence the first of two planned phase 3 kidney transplant trials for voclosporin will play a key role in obtaining the required JSC determination and, in turn, provide the Company with the financial resources required to launch patient recruitment. Moreover, the Company continues to search for additional funding partners for territories and voclosporin indications outside of the scope of the DDL."
This press release contains forward-looking statements. The forward-looking statements may include, without limitation, statements regarding the JSC determination under the DDL, the ability of the Company to obtain future financing and the Company's ability to conduct clinical trials.
Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward looking statements. Such risks and uncertainties include, among others, the Company's belief as to the potential of its products and in particular voclosporin, its ability to protect its intellectual property rights, securing and maintaining corporate alliances and partnerships, the need to raise additional capital and the effect of capital market conditions and other factors on capital availability, the potential of its products, the success and timely completion of clinical studies and trials, and the Company's and its partners' ability to successfully obtain regulatory approvals and commercialize voclosporin on a timely basis. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. For additional information on risks and uncertainties relating to these forward-looking statements, investors should consult the Company's ongoing quarterly filings, annual reports and the Annual Information Form and other filings found on SEDAR at www.sedar.com.
About Isotechnika Pharma Inc.
Isotechnika Pharma Inc. is a biopharmaceutical company focused on the discovery and development of immunomodulating therapeutics designed to offer key safety advantages over currently available treatments. Its lead drug, voclosporin, is a calcineurin inhibitor, and is targeted at the estimated US$3.0 billion market for this class of immunosuppressants. Isotechnika Pharma Inc. trades on the Toronto Stock Exchange under the symbol "ISA". More information on Isotechnika Pharma can be found at www.isotechnika.com or www.sedar.com.
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CONTACT: Dr. Robert Foster President and CEO 780-487-1600 (x247) firstname.lastname@example.org Dr. Launa Aspeslet Chief Operating Officer 780-487-1600 (x225) email@example.com Leonard Zehr Managing Director Kilmer Lucas Inc. 905-906-6908 firstname.lastname@example.orgSource:Isotechnika Pharma Inc.