The Cross-Border Biotech Blog

Biotechnology, Health and Business in Canada, the United States and Worldwide

Monday Biotech Deal Review: May 17, 2010

Lots of quarterly earnings announcements this week means a dip in deal activity. Still plenty of interesting stuff, though, including a new partnership and new listing plans for Tekmira. Meanwhile, for Medicago it’s graduation day, with a $10m present standby deal from Mom and Dad Yorkville Advisors on offer as it takes its symbol to the TSX big board from the venture exchange.

Tekmira’s Good News Week

Tekmira Pharmaceuticals Corporation (TSX: TKM), is testing the market’s appetite for RNAi with plans for a NASDAQ listing. Keep an eye out for filings “in the next few months.” Tekmira’s NASDAQ plans come on the heels of another collaboration announcement — this week’s deal is with BMS. It yeilds Tekmira $3 million up-front and access to data generated by BMS in the collaboration.

Licensing and Commercial Deals

Amorfix Life Sciences (TSX: AMFentered into an agreement with Epitomics, Inc. Amorfix has identified several disease specific epitopes on misfolded proteins, which will be used by Epitomics to generate monoclonal antibodies. Amorfix can develop companion diagnostics for the products. No financial terms were disclosed.

IntelGenx Technologies Corp. (TSXV: IGX) (OTCBB: IGXT) unwound its agreements with Cary Pharmaceuticals Inc. IntelGenx gets full control of CPI-300, a high strength formulation of Bupropion hydrochloride, the active ingredient in Wellbutrin XL®. IntelGenx also gets responsibility for the Biovail litigation. Cary Pharmaceuticals gets 10% of sales royalties received by IntelGenx and 3% of upfront payments. 

Medworxx Solutions Inc. (TSXV: MWXis providing online CME from mdBriefCase Inc. to Medworxx Customers. No financial terms were disclosed.

In the Markets

Medicago Inc. (TSXV: MDG) is heading for the TSX big board, graduating from the Venture exchange with a shiny new $10 million standby equity distribution deal to go with it.

Lorus Therapeutics Inc. (TSX: LOR) (OTCBB: LRUSF) announced the date for its 1:30 share consolidation — record and effective date will be May 25.

MethylGene Inc. (TSX: MYG) got shareholder approval for the SR&ED deal announced at the end of March. Closing, and the delivery of the initial $7.2 million, is scheduled for May 19.

Functional Technologies Corp. (TSXV: FEBgrossed $1.6 million from the warrant incentive program it announced last month, with about 2.7 million warrants exercised. 

Bad News Division

Biosyntech, Inc. (TSX: BSY), despite its Investissement Québec loan, filed for bankruptcy protection this week. PricewaterhouseCoopers will serve as trustee for the restructuring process. No proposal has yet been made by BioSyntech. All members of the Board have submitted their resignations and PwC will be taking over management as temporary receiver.

Congratulations to Jacob Cawker! Our Deal Reviewer/articling student has been hired back by Ogilvy! Look for more from him when he returns to the firm.

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2 responses to “Monday Biotech Deal Review: May 17, 2010

  1. Pingback: Monday Biotech Deal Review: May 24, 2010 « The Cross-Border Biotech Blog

  2. Pingback: Monday Biotech Deal Review: May 31, 2010 « The Cross-Border Biotech Blog

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