Business
Altachem Pharma releases financial results for the year ended January 31, 2005
Altachem Pharma releases financial results for the year ended January 31, 2005.
About this update from Quest Pharmatech Inc.
[{"type":"text","content":"\n\n\n\n\nTrading Symbol: AAF:TSX Venture Exchange\n\nEDMONTON, June 1 /CNW/ - Altachem Pharma Ltd. (the \"Company\") announces a\nsummary of its financial results and highlights for the fiscal year ended\nJanuary 31, 2005.\n\nHighlights of fiscal 2005 and subsequent events\n\n- Announced a major change in strategic direction for the Company,\n involving a concentration of resources on developing the Company's\n anticancer photodynamic therapies.\n\n- Appointed Dr. David Cox, a biotechnology industry veteran as\n President & CEO.\n\n- Raised approximately $3.5 million from a combination of equity,\n debenture, debt financing and government support programs.\n\n- Sold the medical diagnostic breath kit business and assets to\n Isodiagnostika Inc.\n\n- Completed animal toxicology evaluation of the lead photodynamic\n therapy compound.\n\n- Received approval for the sale of Bionex Hard Surface Disinfectant in\n China.\n\n- Settled several on-going disputes with various insiders,\n collaborators and shareholder groups.\n\n\"I am very satisfied with the Company's progress as it enters fiscal\n2006\" remarked Dr. David Cox, President & CEO. \"We have been able to \nre-position the Company as a focussed development company in the cancer space\nand also have managed to stabilize Altachem financially and corporately. Based\non current operating budgets and assuming that we are able to repatriate and\nliquidate assets from Altachem's Chinese subsidiaries, we believe that the\ncapital resources of the Company should be sufficient to fund operations for\nthe next 12 months.\"\n\nFinancial Results\n\nNet consolidated loss for the year ended January 31, 2005 was $4,381,953\nor $0.12 per share as compared to a consolidated loss of $4,965,689 or\n$0.15 per share for the year ended January 31, 2004.\nResearch and development expenditures totalled $1,891,532 for the year\ncompared to $1,194,714 for the prior year. The increase relates to the\nCompany's increased focus on drug development. General and administrative\nexpenses were $1,902,391 for the year compared to $1,991,296 for the prior\nyear. General and administrative expenses for 2005 included legal costs of\n$372,536 (2004: $51,672). Legal costs were high for the year owing to\nextraordinary expenses associated with the settlement of various disputes and\nthe Special Meeting of Shar...