Ark Therapeutics Grp - Acquisition
RNS Number:2662L
Ark Therapeutics Group PLC
08 January 2008
Acquisition of Lymphatix brings VEGF gene rights and technology to catalyse
Ark's gene-based medicine programmes
London, UK, 8 January 2008 - Ark Therapeutics Group plc ('Ark' or 'the Company')
announces that it has agreed to acquire Helsinki-based company Lymphatix Oy in
an all share transaction equivalent to a purchase price of Euros 2.25 million.
The acquisition gives Ark royalty-free exploitation rights to the vascular
endothelial growth factor genes known as VEGF-D and VEGF-C for developing
gene-based medicines in the angiogenesis and lymphangiogenesis areas. Ark
already has VEGF-based programmes in pre-clinical development in these areas,
notably refractory angina, wound healing, prevention of restenosis and foetal
growth restriction. Results to date have shown that VEGF plays a key role in
these diseases.
Ark will incorporate the VEGF portfolio secured with this acquisition alongside
other genes including its own VEGF mutants, to optimise therapies prior to
commencing clinical testing. The gene medicines will be developed and tested by
Ark in the already-established adenoviral vector platforms successfully utilised
by Trinam(R), which contains the VEGF-D long form and is now in Phase III
clinical studies, and by Cerepro(R), also in Phase III, in disease models at its
facilities in Kuopio, Finland.
Lymphatix was founded in 2003 by the Ludwig Institute for Cancer Research,
Licentia Ltd/Helsinki University and a number of Finnish and Australian
academics, including Associate Professor Marc Achen, Professor Kari Alitalo, Dr
Marika Karkkainen, Associate Professor Steven Stacker and Professor Seppo
Yla-Herttuala, who are together the selling shareholders.
The consideration is in the form of 1,733,657 new ordinary shares of 1 pence
each in the capital of Ark (the 'Consideration Shares'). Application is being
made to the UK Listing Authority for admission of the Consideration Shares to
the Official List and to trading on the London Stock Exchange. It is expected
that admission will become effective and dealings in such shares will commence
on or after 11 January 2008.
Following admission of the Consideration Shares, the total number of ordinary
shares in the capital of the Company with voting rights will be 203,672,626.
Dr Nigel Parker, Chief Executive Officer of Ark, commented: 'This is a highly
targeted acquisition of specific technology which is well known to us. As well
as securing our position in this key field, the rights to exploit these genes
will give us the ability to optimise the constructs we take forward for the next
generation of gene-based medicines. In the case of our refractory angina
programme, it could well be a catalyst to move us into the first clinical study
faster than we had previously anticipated.'
For further information please contact:
Ark Therapeutics Group plc +44 (0)20 7388 7722
Dr Nigel Parker, Chief Executive Officer
Martyn Williams, Chief Financial Officer
Financial Dynamics +44 (0)20 7831 3113
David Yates/Lara Mott
Notes to Editors
Ark Therapeutics Group plc
Ark Therapeutics Group plc is a specialist healthcare group (the 'Group')
addressing high value areas of unmet medical need within vascular disease, wound
care and cancer. These are large and growing markets, where opportunities exist
for effective new products to generate significant revenues. With three marketed
devices, Kerraboot(R), Flaminal(R) and Kerraped(R) and three further lead
pharmaceutical products in late stage clinical development: Cerepro(R), VitorTM,
and Trinam(R), the Group is transitioning from an R&D company to a commercial,
revenue generating business.
Ark's own products are sourced from related but largely non-dependent
technologies within the Group and have been selected to enable them to be taken
through development within the Group's own means and to benefit from Orphan Drug
Status and/or Fast Track Designation, as appropriate. This strategy has allowed
the Group to retain greater value and greater control of clinical development
timelines, and to mitigate the risks of dependency on any one particular
programme or development partner. Ark has secured patents or has patent
applications pending for all its lead products in principal pharmaceutical
markets.
Ark has its origins in businesses established in the mid-1990s by Professor John
Martin and Mr Stephen Barker of University College London and Professor Seppo
Yla-Herttuala of the AI Virtanen Institute at the University of Kuopio,
Finland, all of whom play leading roles in the Company's research and
development programmes.
Ark's shares were first listed on the London Stock Exchange in March 2004
(AKT.L).
This announcement includes 'forward-looking statements' which include all
statements other than statements of historical facts, including, without
limitation, those regarding the Group's financial position, business strategy,
plans and objectives of management for future operations (including development
plans and objectives relating to the Group's products and services), and any
statements preceded by, followed by or that include forward-looking terminology
such as the words 'targets', 'believes', 'estimates', 'expects', 'aims',
'intends', 'will', 'can', 'may', 'anticipates', 'would', 'should', 'could' or
similar expressions or the negative thereof. Such forward-looking statements
involve known and unknown risks, uncertainties and other important factors
beyond the Group's control that could cause the actual results, performance or
achievements of the Group to be materially different from future results,
performance or achievements expressed or implied by such forward-looking
statements. Such forward-looking statements are based on numerous assumptions
regarding the Group's present and future business strategies and the environment
in which the Group will operate in the future. Among the important factors that
could cause the Group's actual results, performance or achievements to differ
materially from those in forward-looking statements include those relating to
Ark's funding requirements, regulatory approvals, clinical trials, reliance on
third parties, intellectual property, key personnel and other factors. These
forward-looking statements speak only as at the date of this announcement. The
Group expressly disclaims any obligation or undertaking to disseminate any
updates or revisions to any forward-looking statements contained in this
announcement to reflect any change in the Group's expectations with regard
thereto or any change in events, conditions or circumstances on which any such
statements are based. As a result of these factors, readers are cautioned not to
rely on any forward-looking statement.
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