Metabasis Therapeutics, Inc. (Nasdaq: MBRX) announced today that it
received a $2 million payment from Roche in recognition of advances made
on their research collaboration, which is focused on applying Metabasis’
HepDirect® liver-targeting technology to Roche’s proprietary
lead nucleosides in order to develop new treatments for hepatitis C
viral (HCV) infection. In addition, Metabasis announced that Roche has
formally accepted MB11362 as a clinical candidate for development.
Metabasis and Roche entered into a collaboration and license agreement
in August 2008 which included a $10 million upfront payment and provided
for additional payments upon achievement of predetermined preclinical
and clinical development events, as well as regulatory and
commercialization events for each product, and royalties on net sales of
products from the collaboration. As part of the collaboration, a
HepDirect prodrug of a Roche proprietary nucleoside monophosphate was
identified and evaluated in various pre-clinical studies conducted by
scientists at Metabasis and Roche. The results of these studies led to a
decision by Roche to advance MB11362 into pre-clinical development.
Metabasis reported last week that it had restructured the Company due to
difficulties in raising capital from a financing or other sources.
Metabasis continues to seek additional capital in the near-term, and if
it is unsuccessful in raising additional capital, the Company may be
forced to cease its operations entirely.
About Metabasis (www.mbasis.com):
Metabasis is a biopharmaceutical company that has established a broad
pipeline of product candidates and advanced discovery programs targeting
large markets with significant unmet needs. The Company’s product
pipeline includes clinical-stage product candidates and advanced
discovery programs for the treatment of metabolic diseases such as
diabetes and hyperlipidemia, as well as product candidates and advanced
discovery programs for the treatment of liver diseases such as hepatitis
and primary liver cancer.
Forward-Looking Statements:
Statements in this press release that are not strictly historical in
nature constitute "forward-looking statements." Such statements include,
but are not limited to, the objectives of, and potential payments
provided for under the Company’s collaboration with Roche; the impact of
the Company’s corporate reorganization and reduction in force;
Metabasis’ ability to raise additional capital; and Metabasis’ ability
to continue operations.
