Frank Greenway, M.D. Joins Catalyst's Scientific Advisory Board Andrew Forman Retained As Business Development & Investor Relations Consultant
CORAL GABLES, Fla., May 16 /PRNewswire-FirstCall/ -- Catalyst
Pharmaceutical Partners, Inc. (Nasdaq: CPRX) today reported financial results
for the quarter ended March 31, 2008. The Company also announced the addition
of Frank Greenway, M.D. to Catalyst's Scientific Advisory Board and the
retention of Andrew Forman as a Business Development and Investor Relations
Consultant.
First Quarter 2008 Results
For the quarter ended March 31, 2008, the Company reported a net loss of
$1,584,047 or $0.13 per basic and diluted share, compared to a net loss of
$1,252,078, or $0.10 per basic and diluted share for the same period in 2007.
First quarter 2008 results included non-cash charges relating to stock-based
compensation in the amount of $263,404, compared to $200,368 in the same
period in 2007.
Research and development expenses for the first quarter of 2008 were
$1,084,359, an increase of 33.5% compared to $812,520 in the first quarter of
2007. These expenses include non-cash stock-based compensation of $174,556 and
$78,393, respectively.
General and administrative expenses for the first quarter of 2008 totaled
$639,673, a decrease of 6.6% compared to $684,626 in the first quarter of
2007. These expenses include non-cash stock-based compensation of $88,848 and
$121,975, respectively.
As a development stage pharmaceutical company, Catalyst has no revenues
to-date.
At March 31, 2008, the Company had cash and cash equivalents totaling
$14.7 million and no long-term debt. The Company believes that its existing
cash and cash equivalents will be sufficient to meet the Company's projected
operating requirements through the middle of 2009.
Operational Update
In May 2008, Catalyst appointed Frank Greenway, M.D., Professor-Chief of
Outpatient Clinic of the prestigious Pennington Biomedical Research Center in
Baton Rouge, LA, to the Company's Scientific Advisory Board. Dr. Greenway is
one of the world's foremost experts in the areas of obesity treatment,
including diets, herbal supplements, obesity surgery and obesity drug
development.
The Company also recently retained Andrew Forman as a Business Development
and Investor Relations Consultant. Andrew has 11 years of Wall Street
experience, having served as a specialty pharmaceutical analyst with W.R.
Hambrecht, Advest, Friedman Billings Ramsey, and UBS Warburg/Dillon Read. He
also spent nine years as a business development executive in the
pharmaceutical industry with Cygnus & Dupont.
Commenting on today's news, Patrick J. McEnany, Catalyst's Chief Executive
Officer, noted, "We continue to progress with our clinical development program
for CPP-109. In particular, we are actively enrolling and dosing subjects in
our first, U.S. Phase II clinical trial which will evaluate CPP-109 as a
treatment for cocaine addiction. During this quarter, we also expect to
initiate our U.S. Phase II clinical trial evaluating CPP-109 as a treatment
for methamphetamine addiction."
Mr. McEnany continued, "We are extremely pleased that Dr. Greenway and Mr.
Forman have become part of the Catalyst team. We anticipate that Dr. Greenway
will be a key advisor to Catalyst as we plan for the initiation this summer of
a Phase II clinical trial to study CPP-109 as a potential treatment for Binge
Eating Disorder (BED). BED, which affects a subset of the obese population,
is a newly recognized condition that affects approximately 4 million people in
the U.S. People with BED frequently eat large amounts of food while feeling a
loss of control over their eating."
"Additionally, we intend to launch other Phase II trials this year in
indications which could include alcohol and nicotine dependence. It is likely
that Catalyst will seek partners for some of these indications and, in that
regard, we are delighted be able to call on the expertise of Andrew Forman.
We believe that Andrew's extensive contacts in the pharmaceutical industry as
well as his relationships with key institutional investors will enable
Catalyst to maximize shareholder value as we expand our clinical and business
development programs."
The Company's Phase II trial evaluating CPP-109 as a treatment for cocaine
addiction is designed as a randomized, double-blind, placebo-controlled,
intent-to-treat, multi-center trial to evaluate the safety and efficacy of
CPP-109 for this indication. Under the trial protocol, patients will be
treated for a period of 12 weeks, with an additional 12 weeks of follow-up.
The primary objective of the trial is to demonstrate that a larger proportion
of CPP-109-treated subjects than placebo-treated subjects are cocaine-free
during their last two weeks of treatment (weeks 11 and 12). Additionally,
Catalyst will be measuring a number of secondary endpoints based on reductions
of cocaine use and craving.
About Catalyst Pharmaceutical Partners
Catalyst Pharmaceutical Partners, Inc. is a biopharmaceutical company
focused on the development and commercialization of prescription drugs for the
treatment of addiction and obsessive compulsive disorders. The Company has
obtained from Brookhaven National Laboratory an exclusive worldwide license
for nine patents and four patents pending in the United States relating to the
right to use vigabatrin to treat a wide variety of substance addictions.
Catalyst has also been granted rights to Brookhaven's vigabatrin-related
foreign patents or patents pending in more than 30 countries. The Company's
initial product candidate based on vigabatrin is CPP-109. CPP-109 has been
granted "Fast Track" status by the U.S. Food & Drug Administration (FDA) for
the treatment of cocaine addiction. This indicates that the FDA has recognized
that CPP-109 is intended for the treatment of a serious or life-threatening
condition for which there is no effective treatment and which demonstrates the
potential to address unmet medical needs. For more information about the
Company, go to www.catalystpharma.com.
This press release contains forward-looking statements. Forward-looking
statements involve known and unknown risks and uncertainties which may cause
the Company's actual results in future periods to differ materially from
forecasted results. A number of factors, including our ability to successfully
complete the clinical trials required for us to file a new drug application
for CPP-109, our ability to complete such trials on a timely basis within the
budgets we establish for such trials, our ability to protect our intellectual
property and those other factors described in the Company's Annual Report on
Form 10-K for 2007 and the Company's Quarterly Report on Form 10-Q for the
quarter ended March 31, 2008 that the Company has filed with the U.S.
Securities and Exchange Commission ("SEC"), could adversely affect the
Company. Copies of the Company's filings with the SEC are available from the
SEC, may be found on the Company's website or may be obtained upon request
from the Company. The Company does not undertake any obligation to update the
information contained herein, which speaks only as of this date.
CATALYST PHARMACEUTICAL PARTNERS, INC.
(a development stage company)
CONDENSED STATEMENTS OF OPERATIONS (unaudited)
For the Three Months Ended
March 31,
2008 2007
Revenues $- $-
Operating costs and expenses:
Research and development 1,084,359 812,520
General and administrative 639,673 684,626
Total operating costs and expenses 1,724,032 1,497,146
Loss from operations (1,724,032) (1,497,146)
Interest income139,985 245,068
Loss before income taxes (1,584,047) (1,252,078)
Provision for income taxes - -
Net loss $(1,584,047) $(1,252,078)
Loss per share - basic and diluted $(0.13) $(0.10)
Weighted average shares outstanding
- basic and diluted12,552,94412,518,809
CATALYST PHARMACEUTICAL PARTNERS, INC.
(a development stage company)
CONDENSED BALANCE SHEETS
March 31, December 31,
2008 2007
(unaudited)
ASSETS
Current Assets:
Cash and cash equivalents $14,716,512$15,943,896
Interest receivable 41,167 63,709
Prepaid expenses585,185524,081
Total current assets 15,342,864 16,531,686
Property and equipment, net 120,926127,788
Deposits 25,448 20,448
Total assets $15,489,238$16,679,922
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable $316,578 $219,866
Accrued expenses and other liabilities 121,503 83,419
Total current liabilities 438,081303,285
Accrued expenses and other liabilities,
non-current51,053 53,880
Total liabilities 489,134357,165
Total stockholders' equity 15,000,104 16,322,757
Total liabilities and stockholders' equity$15,489,238$16,679,922
SOURCE Catalyst Pharmaceutical Partners, Inc.
