For Immediate Release August 29, 2011
VANCOUVER, Canada – iCo Therapeutics Inc. (TSX-V: ICO) today reported operational and financial results for the second quarter ending June 30, 2011. Amounts, unless specified otherwise, are expressed in Canadian dollars and in accordance with International Financial Reporting Standards (“IFRS”).
2011 Q2 Corporate Highlights
The second quarter of 2011 was marked by the following highlights:
- Immune Pharmaceuticals licensed Bertilimumab (iCo-008) for systemic uses, pursuant to an option agreement previously announced in December 2010. iCo retains worldwide exclusive rights to all ocular applications, including a number of sight-threatening diseases. Total upfront consideration (inclusive of previous option and option extension payments) was US $500,000 cash, 600,000 IMMUNE shares and 200,000 IMMUNE warrants. iCo may receive US $32 million in milestone consideration for the license, plus royalties.
- The Company engaged Ora, the world’s leading independent ophthalmic product development firm, for ophthalmic clinical and regulatory guidance.
- The Company engaged The Equicom Group to provide iCo with strategic investor relations services.
- The Company entered into an agreement for a $10 Million Equity Line Facility with Dutchess Capital.
- John Clement, a co-founder of iCo Therapeutics Inc., resigned from his positions as Chief Technology & Development Officer and Director in order to pursue other personal and un-related business interests.
- On August 15, 2011, iCo announced the initiation of a US physician-sponsored Phase II clinical trial involving iCo-007, titled the iDEAL study, which will be conducted across multiple sites throughout the United States. The iDEAL Study will be led by the clinician scientists who are investigators in the trial and will be coordinated at one of the leading medical institutions in the United States. The physician-sponsored clinical investigation is entitled, “Randomized, Multi-center, Phase II Study of the Safety, Tolerability and Bioactivity of Repeated Intravitreal Injections of iCo-007 as Monotherapy or in Combination with Ranibizumab or Laser Photocoagulation in the Treatment of Diabetic Macular Edema With Involvement of the FoveAL Center (the iDEAL Study).”
Q2 2011 Financial Highlights
We incurred a net and comprehensive gain in income of $752,497 for the three months ended June 30, 2011 compared to a net and comprehensive loss of $803,932 for the three months ended June 30 2010, representing an increase of approximately $1,556,429. The increase in our net and comprehensive gain in income was principally caused by the gain incurred on the sale of commercialization rights to iCo-008 under the IMMUNE licensing agreement.
Interest income for the three months ended June 30, 2011 was $6,332, compared to $6,975 for the three month period ending June 30, 2010, resulting in a decrease of $643.
Research and development expenses were $248,647 for the three months ended June 30, 2011 compared to $432,924 for the three months ended June 30, 2010, representing a decrease of $184,277. This decrease in the three months ending June 30, 2011 compared to the three months ending June 30, 2010 were attributable to less costs research and development costs associated with clinical trials.
For the three months ended June 30, 2011 general and administrative expenses were $307,489 compared to $281,210 for the three months ending June 30, 2010, representing an increase of $26,279. This increase in the three months ending June 30, 2011 compared to the three months ending June 30, 2010 were attributable to increases in personnel salaries and professional fees.
Amortization for the three months ended June 30, 2011 was $28,317 compared to amortization of $29,333 for the three months ended June 30, 2010, a decrease of $1,016.
Foreign exchange gain for the three months ended June 30, 2011 was $2,659 compared to foreign exchange loss of $10,909 for the same period in 2010, representing a decrease of $13,568.
Stock based compensation for the three months ended June 30, 2011 was $11,992 compared to $56,531 for the three months ended June 30, 2010, a decrease of $44,539.
Liquidity and Outstanding Share Capital
As at June 30, 2011, we had cash and cash equivalents of $1,296,433 compared to $2,040,707 as at December 31, 2010. As at June 30, 2011, the Company had working capital of $2,300,188 compared to $1,823,278 as at December 31, 2010.
As at August 29, 2011, we had an unlimited number of authorized common shares with 41,057,301 common shares issued and outstanding.
For complete financial results, please see our filings at www.sedar.com.
About iCo Therapeutics
iCo Therapeutics Inc. is a Vancouver-based reprofiling company focused on redosing or reformulating drugs with clinical history for new or expanded indications. iCo has exclusive worldwide rights to three products: iCo-007, moving into Phase 2 for the treatment of DME, iCo-008 (Bertilimumab); a product with Phase 2 clinical history to be developed for severe ocular allergies and age-related macular degeneration; and iCo-009, an oral formulation of Amphotericin B for sight and life-threatening diseases. Immune Pharmaceuticals licensed systemic rights to iCo-008 in June 2011. iCo-009 also represents a new drug delivery technology with the potential to reprofile other parenteral administered drugs to the oral route of administration. iCo was awarded a Gold Leaf Award as the Early Stage Company of the Year from BIOTECanada in 2010 and is a Canada’s Top 10™ Competition winner. iCo trades on the TSX Venture Exchange under the symbol “ICO”. For more information, visit the Company website at: www.icotherapeutics.com.
No regulatory authority has approved or disapproved the content of this release. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
Certain statements included in this press release may be considered forward-looking. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements, and therefore these statements should not be read as guarantees of future performance or results. All forward-looking statements are based on iCo Therapeutics’ current beliefs as well as assumptions made by and information currently available to iCo Therapeutics and relate to, among other things, anticipated financial performance, business prospects, strategies, regulatory developments, market acceptance and future commitments. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Due to risks and uncertainties, including the risks and uncertainties identified by iCo Therapeutics in its public securities filings; actual events may differ materially from current expectations. iCo Therapeutics disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.