Key Developments For Salix Pharmaceuticals Ltd
Salix Pharmaceuticals Ltd (SLXP.O) (Nasdaq)
Salix Pharmaceuticals Completes Sale Of 6.325 Million Shares Of Common Stock
Salix Pharmaceuticals announced it has closed its previously announced public offering of 5,500,000 shares of its common stock at a price of $21.00 per share. On November 18, 2009, Jefferies & Company, Inc., acting as the sole book-running manager of the offering, exercised in full its over-allotment option to purchase an additional 825,000 shares of common stock. The exercise of the option increased the size of the offering to an aggregate of 6,325,000 shares of common stock. Salix received proceeds, net of offering expenses and underwriting discounts and commissions, of approximately $128.2 million. Salix intends to use the net proceeds from the offering for business development activities and other general corporate purposes.
Salix Pharmaceuticals Announces Pricing Of Public Offering Of Common Stock
Salix Pharmaceuticals announced the pricing of a public offering of 5,500,000 shares of its common stock. The offering is expected to close on or about November 23, 2009. In addition, Salix has granted the underwriter a 30-day option to purchase up to an additional 825,000 shares to cover over-allotments, if any. Salix intends to use the net proceeds from the offering for business development activities and other general corporate purposes. Jefferies & Company, Inc. is acting as sole book-running manager in this offering.
Salix Pharmaceuticals Issues Q4 2009 EPS Guidance Below Analysts' Estimates; Reaffirms FY 2009 EPS Guidance
Salix Pharmaceuticals announced that for fourth quarter 2009 it expects total Company product revenue to be approximately $68 million and should generate a loss of approximately $0.14 per share. The Company continues to believe that fiscal 2009 total product revenue should be approximately $230 million, representing 29% growth over 2008 revenue and should recognize a loss of approximately $0.90 per share. According to Reuters Estimates, analysts are expecting the Company to report EPS of $(0.03) for fourth quarter 2009.
Salix Pharmaceuticals Secures Additional Intellecutual Property Relating To Rifaximin
Salix Pharmaceuticals announced that U.S. Patent and Trademark Office has issued U.S. Patent No. 7,612,199 (the 199 patent) entitled Polymorphic Forms Alpha, Beta, and Gamma of Rifaximin. The patent issued November 3, 2009 and provides protection until June 2024. The 199 patent provides further protection relating to composition of matter relating to physical chemical states of rifaximin. The Company has an exclusive license from Alfa Wassermann, S.p.A., to use, sell, have sold and import licensed rifaximin products, which the Company markets in the United States under the trade name XIFAXAN. The 199 patent provides protection for all indications currently marketed and being assessed. The U.S. Patent and Trademark Office also issued U.S. Patent No. 7,605,240 (the 240 patent) entitled Methods of Treating Diarrhea and Bloating Caused by Small Intestinal Bacterial Overgrowth. The patent was issued October 20, 2009 and provides protection until August 2019.
Salix Pharmaceuticals And Lupin Limited To Collaborate In The Development And Commercialization Of An Extended Release Rifaximin Product
Salix Pharmaceuticals announced that as of September 30, 2009 Lupin Limited granted Salix the exclusive right in the United States to its bioadhesive drug delivery technology for use with rifaximin. Salix and Lupin have entered into a development, commercialization and license agreement under which the two companies will collaborate in the development and commercialization of a product incorporating rifaximin and utilizing Lupin`s proprietary technology. In connection with this agreement, Salix and Lupin have entered into an exclusive agreement in the United States for supply of rifaximin active pharmaceutical ingredient (API). Salix is required to make a $5 million up-front payment and regulatory milestone payments to Lupin, with the majority contingent upon achievement of clinical development and U.S. regulatory milestones. In addition, Salix will pay royalties on net sales of the bioadhesive rifaximin product.
