For immediate release: March 17, 2005
VANCOUVER, BC – Inex Pharmaceuticals Corporation (INEX; TSX:IEX) announced today that it has reached an agreement with Enzon Pharmaceuticals Inc. (“Enzon”; NASDAQ: ENZN) to terminate the development and commercialization agreement for Marqibo (vincristine sulfate liposomes injection) effective immediately.
INEX and Enzon entered into an agreement in January 2004 to develop and commercialize Marqibo in North America. With the recent “not approvable” letter issued by the United States Food and Drug Administration for Marqibo and therefore a delay in the commercialization of Marqibo, INEX has been advised by Enzon that the product is no longer a strategic fit for Enzon’s pipeline.
As part of the termination, INEX expects to receive compensation for shared development costs and certain development milestones totaling US$5.0 million. Beyond this, there are no future financial obligations by either party under the termination agreement.
David Main, President and CEO of INEX, said, “We continue to believe that Marqibo is a valuable asset and warrants future investment. Having a product that is a solid phase 3 candidate, with a New Drug Application essentially two-thirds complete, and now regaining worldwide rights, gives us tremendous flexibility to consider multiple options for the company.
“Over the next few months we will meet with the FDA to discuss potential trial designs suitable for seeking approval and we will begin partnering and strategic discussions to maximize value for INEX. The decisive restructuring we completed in December combined with the payment to be received from Enzon provides us with a strong financial position from which to consider our best options.”
Marqibo (vincristine sulfate liposomes injection)
Marqibo is a proprietary drug comprised of the widely used off-patent anticancer drug vincristine encapsulated in INEX’s sphingosomal drug delivery technology. INEX’s technology is designed to provide prolonged blood circulation, tumor accumulation and extended drug release at the cancer site. These characteristics are intended to increase the effectiveness and reduce the side effects of the encapsulated drug.
About INEX
INEX is a Canadian biopharmaceutical company developing and commercializing proprietary drugs and drug delivery systems to improve the treatment of cancer. Further information about INEX and Marqibo can be found at www.inexpharm.com.
Forward Looking Statements
There are forward-looking statements contained herein that are not based on historical fact, including without limitation statements containing the words “believes,” “may,” “plans,” “will,” “estimate,” “continue,” “anticipates,” “intends,” “expects,” and similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the 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 factors include, among others, INEX’s stage of development, lack of product revenues, additional capital requirements, risks associated with the completion of clinical trials and obtaining regulatory approval to market INEX’s products, the ability to protect its intellectual property and dependence on collaborative partners. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments.
Contacts for Inex Pharmaceuticals Corporation
Investors
Ian Mortimer
Vice President, Finance and Chief Financial Officer
Phone: 604-419-3200
Email: info@inexpharm.com
Website: www.inexpharm.com
Media
Karen Cook Boas
James Hoggan & Associates Inc.
Phone: 604-739-7500
Email: kcook@hoggan.com
