TSX : MPH
January 13, 2010 09:05 ET
Medicure Announces Process to Maximize Shareholder Value
WINNIPEG, MANITOBA--(Marketwire - Jan. 13, 2010) - Medicure Inc. ("Medicure" or the "Company") (TSX:MPH) today announced that, as a result of ongoing discussions with its lender and the progress made by management in the advancement of AGGRASTAT®, it has received a number of expressions of interest from third parties regarding the potential partnership, license, or sale of AGGRASTAT® and/or an investment in the Company.
In light of these developments, the Board of Directors of Medicure has decided to engage in a formal process to evaluate all of these expressions of interest and to solicit others with a view to maximizing value for shareholders and other stakeholders. To assist in this process, the Board has retained Bloom Burton & Co., a leading Canadian life sciences focused investment banking firm, to assist in the evaluation of financial alternatives and fundraising options, and Beal Advisors LLC, a San Francisco based financial and strategic advisory firm, to assist in the partnership, license or sale of AGGRASTAT®.
The Company anticipates the process will take several months; however, there can be no assurance that any transaction will ultimately be completed.
About Medicure Inc.
Medicure Inc is a biopharmaceutical company focused on the research, development and commercialization of novel small molecules to treat cardiovascular and neurological disorders. The Company's primary business activity is the marketing and distribution of AGGRASTAT® (tirofiban HCl) in the United States.
The ongoing focus of the Company and the primary asset of interest in this process is AGGRASTAT® (tirofiban HCl) which the Company sells in the U.S. through its subsidiary, Medicure Pharma, Inc. (Somerset, NJ). In parallel with the Company's ongoing commitment to support the product, its valued customers and the continuing efforts of its field based cardiovascular team, the Company is in the process of developing and, to the extent possible, implementing a new brand and life cycle management strategy for AGGRASTAT®. The objective of this effort is to secure a significant portion of, and to further expand AGGRASTAT'S® share of, the US $450 million GP IIb/IIIa inhibitor market. While the Company believes that it has identified a relatively low cost clinical, product and regulatory strategy, it requires additional resources to implement this plan. Medicure and its commercial organization continue to advance AGGRASTAT® at purchasing hospitals and health systems. Medicure does not anticipate any interruption to product supply or business activity due to this process.
This press release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, and applicable Canadian securities laws. Specifically, this press release contains forward-looking statements regarding the completion of a value-enhancing transaction, the securing of additional financing, the restructuring of current debt obligations and the implementation of new strategies regarding AGGRASTAT®. Such forward-looking statements are made as of the date hereof, and the Company disclaims any intention and has no obligation or responsibility to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise except as required by law. 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. Factors which may cause such differences include, among others, the Company's ability to locate a suitable partner, licensee, or acquiror with whom to complete a value-enhancing transaction, the Company's ability to obtain additional financing on satisfactory terms and to restructure its current debt obligations, the Company's ongoing capital requirements, general economic conditions, risks associated with completing clinical trials and obtaining regulatory approval for the Company's products, the Company's 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. Such forward-looking statements are also based on a number of assumptions which may prove to be incorrect, including, among others, the demand for the Company's products, the availability of financing for the biopharmaceutical industry, market competition, and general business and economic conditions. Additional risks and uncertainties relating to the Company and its business can be found in the "Risk Factors" section of its Form 20F for the year ended May 31, 2009.