SEOUL, South Korea
, May 28
/PRNewswire/ -- CrystalGenomics, Inc. (www.cgxinc.com
), a leading biopharmaceutical company developing novel small molecule therapeutics announced today that it will merge with BexPharm, a specialty pharmaceutical company that imports and distributes foreign market approved drugs in Korea.
The main motive for this merger is to provide necessary tools and infrastructures for CrystalGenomics to transform into an integrated biopharmaceutical company with discovery, development and commercialization capabilities. CrystalGenomics recently announced successful completion of Phase I SAD study for CG400549, its novel antibiotic candidate in Europe and plans to begin the MAD study to complete Phase I studies. Additionally, its novel NSAID candidate CG100649 is in Phase II and with CG200745, its molecular targeted cancer therapeutic candidate entering Phase I shortly, CrystalGenomics will have three solid drug candidates in clinical stage within this quarter.
This merger would instantaneously add sales and marketing infrastructures to CrystalGenomics' long list of abilities whose core competencies used to just comprise of drug discovery and development capabilities prior to merger. BexPharm merger will enable CrystalGenomics to independently develop and commercialize drugs without the need for partnering in Korea and gives a clear competitive advantage over other biotechs with 'traditional' business models.
BexPharm is a hospital specialty pharmaceutical company that primarily deals with inpatient prescription products. Its sales revenue for 2009 was USD 13 million and it is anticipated that two additional launches of a liver cancer drug and an atopic dermatitis drug will boost sales. After the merger has been finalized, CrystalGenomics plans to utilize its global network of pharmas, biotechs, and venture capital companies to aggressively License-In either marketed products or clinical stage novel candidates.
President & CEO of CrystalGenomics, Dr. Joong Myung Cho said, "Although this is a small scale merger, we are glad that the entire transaction was completed without having to use any of our cash. We expect to see great synergy between CrystalGenomics' discovery & development capabilities and BexPharm's pharmaceutical business empowered by its sales force and strong network with Korean hospitals. The steady revenue from our pharmaceutical business will support our R&D and we will do our best to emerge as a successful biopharmaceutical company with a goal to be in the same league as our counterparts in US and EU."
SOURCE CrystalGenomics, Inc.