EMERYVILLE, Calif., Feb. 21, 2012 /PRNewswire/ -- Bionovo, Inc. (OTC Link Platform: BNVI.PK), a pharmaceutical company focused on the discovery and development of safe and effective treatments for women's health and cancer, today announced its decision to explore strategic options. As a result of this decision, the Company has decided to delay the announcement of its financial results for the year ended December 31, 2011, previously planned for today, to a later date. The Company will provide an update for the release of its 2011 financial results within the next two weeks.
"We believe Menerba, our drug for the treatment of menopausal hot flashes currently in a Phase 3 trial, is a very valuable asset and we are focusing all of our efforts to complete that clinical trial," said Isaac Cohen, O.M.D., Bionovo's Chairman and Chief Executive Officer. "We are pursuing financial options to fund completion of the pivotal trial, but the outcome of those efforts cannot be assured. We have therefore decided to explore in parallel, strategic options that may provide more value to our shareholders and ensure the continued development of Bionovo's products."
The Company has engaged Cowen and Company to assist Bionovo to explore its strategic options.
The Company will need to obtain substantial amounts of cash to achieve its objectives of internally developing drugs. The Company does not currently have adequate internal liquidity to meet its cash needs in the near term including completion of the ongoing Phase 3 trial for Menerba. If sufficient additional funds are not received in the near term, the Company may not be able to execute its business plan and may need to significantly curtail or cease operations.
About Bionovo, Inc.
Bionovo, Inc. is a pharmaceutical company focused on the discovery and development of safe and effective treatments for women's health and cancer, markets with significant unmet needs and billions in potential annual revenue. The company applies its expertise in the biology of menopause and cancer to design new drugs derived from botanical sources which have novel mechanisms of action. Based on the results of early and mid-stage clinical trials, Bionovo believes they have discovered new classes of drug candidates within their rich pipeline with the potential to be leaders in their markets. Bionovo is headquartered in Emeryville, California and is traded on the OTC Link Platform under the symbol, "BNVI.PK". For more information about Bionovo and its programs, visit: http://www.bionovo.com.
Forward Looking Statements
This release contains certain forward-looking statements relating to the business of Bionovo, Inc. that can be identified by the use of forward-looking terminology such as "believes," "expects," or similar expressions. Such forward-looking statements involve known and unknown risks and uncertainties, including uncertainties relating to product development, efficacy and safety, regulatory actions or delays, the ability to obtain or maintain patent or other proprietary intellectual property protection, market acceptance, physician acceptance, third party reimbursement, future capital requirements, competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Certain of these risks and uncertainties are or will be described in greater detail in our filings with the Securities and Exchange Commission, which are available at http://www.sec.gov. Bionovo, Inc. is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
SOURCE Bionovo, Inc.