AEterna Zentaris Subsidiary Atrium Biotechnologies Completes Initial Public and Secondary Offering Totalling $75 Million
April 06 2005 - 10:45AM
PR Newswire (US)
AEterna Zentaris Subsidiary Atrium Biotechnologies Completes
Initial Public and Secondary Offering Totalling $75 Million All
Amounts are in Canadian Dollars QUEBEC CITY, Canada, April 6
/PRNewswire-FirstCall/ -- AEterna Zentaris Inc. (TSX: AEZ; Nasdaq:
AEZS) today announced that its subsidiary, Atrium Biotechnologies
Inc. (TSX: ATB.sv), has successfully completed its initial public
offering and secondary offering of 6,250,000 subordinate voting
shares, issued at a price of $12 per share, for total proceeds of
$75 million. Atrium Biotechnologies' subordinate voting shares will
trade on the Toronto Stock Exchange under the symbol "ATB.sv". The
6,250,000 subordinate voting shares were sold to a syndicate of
underwriters co-led by RBC Dominion Securities Inc. and National
Bank Financial Inc., and including BMO Nesbitt Burns Inc., CIBC
World Markets Inc., GMP Securities Ltd., HSBC Securities (Canada)
Inc. and Loewen, Ondaatje, McCutcheon Limited. Dennis Turpin, Vice
President and Chief Financial Officer of AEterna Zentaris, said:
"We are very pleased with the financial market's reception of
Atrium Biotechnologies' Initial Public Offering which placed its
market capitalization at nearly $345 million. We now hold a 50.7%
participation, valued at nearly $175 million, in this subsidiary.
The evolution and the IPO of Atrium Biotechnologies represent one
of the many ways we have and will continue to build value for our
shareholders. In addition to the significant value delivered by
Atrium Biotechnologies' IPO, we benefit from a strong cash position
dedicated to the execution of our biopharmaceutical activities of
nearly $43 million. To this end, we expect to aggressively advance
our core programs within each one of our five therapeutic
approaches in oncology and endocrinology while monetizing certain
programs through out-licensing to further diversify our product
development and financial risk." Gilles Gagnon, AEterna Zentaris'
President and Chief Executive Officer, added: "We believe that
Atrium Biotechnologies' very successful IPO will enable it to
aggressively pursue its business strategy which includes selective
acquisitions of active ingredients and specialty chemicals, as well
as health and nutrition companies that offer synergies and
complementary strengths. Atrium Biotechnologies has an excellent
track record of delivering growth through acquisitions as well as
organically and is a very significant asset for AEterna Zentaris.
In our pharmaceutical business, we look forward to executing our
business strategy which includes the advancement of our extensive
product pipeline in collaboration with our pharmaceutical partners.
For one, cetrorelix, already marketed for in vitro fertilization,
is now in its final phase of development with Solvay for
endometriosis; an indication which represents a very large market
opportunity with unmet medical needs. Cetrorelix will also be
further developed in benign prostate hyperplasia with our Japanese
partners Shionogi and Nippon Kayaku. In itself, the recently
announced clinical development program for cetrorelix represents a
significant commitment from our pharmaceutical partners who will
invest close to $100 million over the next three years to hopefully
bring it to market; thus delivering benefits to patients and value
to our shareholders." Atrium Biotechnologies' subordinate voting
shares have not been registered under the United States Securities
Act of 1933, as amended, and may not be offered or sold within the
United States or to, or for the account or benefit of, U.S. persons
absent U.S registration or an applicable exemption from U.S.
registration requirements. About AEterna Zentaris Inc. AEterna
Zentaris Inc. is an oncology and endocrine therapy focused
biopharmaceutical company with proven expertise in drug discovery,
development and commercialization. The Company's broad 20 product
pipeline leverages five different therapeutic approaches, including
LHRH antagonists and signal transduction inhibitors. The lead LHRH
antagonist compound, cetrorelix, is currently marketed for in vitro
fertilization under the brand name Cetrotide(R). Cetrorelix is also
in late-stage clinical development for endometriosis and benign
prostatic hyperplasia (BPH). The lead signal transduction inhibitor
compound, perifosine, is an orally-active AKT inhibitor that is in
several Phase II trials for multiple cancers. AEterna Zentaris also
owns 50.7% of Atrium Biotechnologies Inc. (TSX: ATB.sv), a leading
developer, manufacturer and marketer of value-added products for
the cosmetics, pharmaceutical, chemical and nutritional industries.
News releases and additional information about AEterna Zentaris are
available on its Web site http://www.aeternazentaris.com/ .
Forward-Looking Statements This press release contains
forward-looking statements made pursuant to the safe harbor
provisions of the U.S. Securities Litigation Reform Act of 1995.
Forward-looking statements involve known and unknown risks and
uncertainties, which could cause the Company's actual results to
differ materially from those in the forward-looking statements.
Such risks and uncertainties include, among others, the
availability of funds and resources to pursue R&D projects, the
successful and timely completion of clinical studies, the ability
of the Company to take advantage of business opportunities in the
pharmaceutical industry, uncertainties related to the regulatory
process and general changes in economic conditions. Investors
should consult the Company's quarterly and annual filings with the
Canadian and U.S. securities commissions for additional information
on risks and uncertainties relating to the forward-looking
statements. Investors are cautioned not to rely on these
forward-looking statements. The Company does not undertake to
update these forward-looking statements. DATASOURCE: AETERNA
ZENTARIS INC. (FORMERLY/ANCIENNEMENT - LES LABORATOIRES AETERNA
CONTACT: Media Relations: Paul Burroughs, (418) 652-8525 ext. 406,
; Investor Relations: Ginette Vallieres, (418) 652-8525 ext. 265, ;
Europe: Matthias Seeber, +49-6942602-3425, To request a free copy
of this organization's annual report, please go to
http://www.newswire.ca/ and click on reports@cnw.
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