Press Release – Bioniche Life Sciences Inc
BELLEVILLE, ON, November 30, 2010 – Bioniche Life Sciences Inc. (TSX: BNC) (Company or Bioniche), a research-based, technology-driven Canadian biopharmaceutical company, today announced plans to apply for official quotation on the Australian Securities …Canadian Pharmaceutical Company Bioniche Announces ASX Listing
• Company files regulatory documents for 20 Million Common Share Offer in Australia and Canada to raise C$30million
BELLEVILLE, ON, November 30, 2010 – Bioniche Life Sciences Inc. (TSX: BNC) (Company or Bioniche), a research-based, technology-driven Canadian biopharmaceutical company, today announced plans to apply for official quotation on the Australian Securities Exchange (ASX).
Bioniche, which has been listed on the Toronto Stock Exchange since 1992, plans to issue up to 20 million new Common Shares under two concurrent financings: By an Offering to Australian and New Zealand investors and an Offer Preliminary Short-Form Prospectus to Canadian investors.
Shares will be offered to Australian and New Zealand investors at an issue price of A$1.50 per Share. The combined Offers are expected to raise C$30 million. The Australian offer is being led by Taylor Collison Limited and the Canadian offer is being led by NCP Northland Capital Partners.
Bioniche is a well-established company which discovers, develops, manufactures and markets products for the human and animal health markets worldwide. The company is generating sustained revenue from sales within its Animal Health division, which has a portfolio of over 60 products which includes products to assist in reproduction, vaccines and natural health products for companion animals, horses and the livestock industry.
Bioniche also has a promising late stage (Phase III) clinical program targeting bladder cancer, the fourth most common cancer in men and the eleventh most common in women in the United States.
For the commercialisation of its bladder cancer drug, Urocidin™, Bioniche has entered into a global licence, development and supply agreement with Endo Pharmaceuticals Inc, a subsidiary of Endo Pharmaceuticals Holdings Inc. (NASDAQ: ENDP) (Endo), a US-based leading specialty healthcare solutions company.
Graeme McRae, the Australian-born President & CEO of Bioniche says the Offer gives Australian and New Zealand investors the opportunity to invest in an established company, with existing revenues and the potential upside of a late-stage product pipeline.
“Bioniche has developed and launched many products for the global animal health market and its Animal Health business alone has grown to become the largest Canadian-owned research-based animal health company, generating C$27 million in sales revenue in the last financial year. We also have a solid and growing Animal Health business and a loyal and long-term shareholder base in Australia.”
“We believe the Company’s expertise and technology in both human and animal health, particularly in biologics, vaccines and their manufacturing, will lead to the development of new products that will address areas of need in both humans and animals.”
“Bioniche has a record of successfully commercialising new products and has several opportunities to continue to grow and increase market share for each of its three major areas of focus: Human Health, Animal Health and Food Safety,” Mr McRae added.
Bioniche earned revenues of C$45 million in the financial year ending 30 June, 2010.
Urocidin™, the Company’s treatment for non-muscle-invasive bladder cancer, has completed a registration-directed Phase III clinical trial in patients whose cancer is refractory (i.e. not responsive) to the standard treatment. Endo has announced that it plans to conduct an additional Phase III trial in this patient population. It is expected that, with the successful completion of the second Phase III trial, Endo will submit data to the US Food and Drug Administration for registration of Urocidin™ as a treatment of non-muscle-invasive bladder cancer.
The funds raised in the Offers will be used to:
• expand the Company’s current manufacturing capacity for Urocidin™ to meet expected global demand;
• pursue new human oncology applications using the Company’s MCC platform through Phase I clinical testing;
• undertake a U.S.-based field trial of Econiche™ in support of a full license application in the U.S.A., followed by license applications in Australia, Europe and Latin America;
• complete the development of a second food safety vaccine for Salmonella;
• complete the development and registration of internally-generated product opportunities in animal health;
• acquire the rights to certain externally-developed products/technologies in animal health;
• cover the expenses of the Offers; and
• support general corporate requirements.
Key Offer Details
Offer price for CDIs A$1.50 each
Total number of Common Shares available under the Offers Up to 20 million
Total number of Common Shares on issue after the completion of the Offers: 100.2 million
Capital to be raised C$30 million
Indicative market capitalisation after completion of the Offers ~A$160 million
The prospectus for the Australian Offer can be downloaded at www.Bioniche.com or www.asic.gov.au