CORAL GABLES, Fla., Nov. 14 /PRNewswire-FirstCall/ -- Catalyst Pharmaceutical Partners, Inc. today reported financial results for the third quarter and nine months ended September 30, 2008.
“The 2008 third quarter was marked by continued strong execution and progress in our clinical development programs,” said Patrick J. McEnany, Chairman and Chief Executive Officer of Catalyst. “Of note, we are making great progress in the enrollment for our Phase II trial studying CPP-109 as a treatment for cocaine addiction. We were also pleased to initiate enrollment during the quarter for our Phase II trial studying CPP-109 as a treatment for methamphetamine addiction. In addition, during the third quarter, we realized net proceeds of approximately $4.1 million in a registered direct offering to institutional investors. This capital raise was important, in that it has provided us with the funds we required to conduct one or more proof-of-concept studies evaluating CPP-109 for the treatment of other addictions and obsessive compulsive disorders and the working capital that will allow us to support our operations through the middle of 2010. In that regard, we expect to initiate in the near future a 40-patient clinical trial evaluating the use of CPP-109 for the treatment of binge eating disorder. We are also considering conducting a clinical trial to evaluate CPP-109 for the treatment of alcohol addiction.”
Third Quarter 2008 Results
For the quarter ended September 30, 2008, the Company reported a net loss of $2,855,360, or $0.22 loss per basic and diluted share, compared to a net loss of $734,347, or $0.06 loss per basic and diluted share, for the same period in 2007. Third quarter 2008 results included non-cash charges relating to stock-based compensation in the amount of $104,565, compared to $94,482 in the same period in 2007. For the nine months ended September 30, 2008, the Company reported a net loss of $6,816,847, or $0.54 loss per basic and diluted share, compared to a net loss of $3,194,555, or $0.26 loss per basic and diluted share, for the same period in 2007. Results for the first nine months of 2008 included non-cash charges relating to stock-based compensation in the amount of $491,177, compared to $477,083 in the same period in 2007.
Research and development expenses for the third quarter of 2008 were $2,451,579 compared to $503,348 in the third quarter of 2007. These include non-cash stock-based compensation of $54,476 and $75,997, respectively. Research and development expenses for the nine months ended September 30, 2008 were $5,438,082 compared to $2,318,648 for the first nine months of 2007. These include non-cash stock-based compensation of $328,564 and $315,710, respectively.
General and administrative expenses for the third quarter of 2008 totaled $463,199 compared to $447,078 in the third quarter of 2007. These include non- cash stock-based compensation of $50,089 and $18,485, respectively. General and administrative expenses for the first nine months of 2008 totaled $1,664,405 compared to $1,565,912 for the first nine months of 2007. These include non-cash stock-based compensation of $162,613 and $161,373, respectively.
As a development stage pharmaceutical company, Catalyst has no revenues to-date.
At September 30, 2008, the Company had cash and cash equivalents totaling $15.0 million and no long-term debt. The Company believes that its existing cash and cash equivalents will be sufficient to meet the Company’s projected operating requirements through the middle of 2010.
About Catalyst Pharmaceutical Partners
Catalyst Pharmaceutical Partners, Inc. is a biopharmaceutical company focused on the development and commercialization of prescription drugs for the treatment of addiction and obsessive compulsive disorders. The Company has obtained from Brookhaven National Laboratory an exclusive worldwide license for Brookhaven’s patent portfolio in the United States relating to the right to use vigabatrin to treat a wide variety of substance addictions and obsessive compulsive disorders. Catalyst has also been granted rights to Brookhaven’s vigabatrin-related foreign patents or patents pending in more than 30 countries. The Company’s initial product candidate is CPP-109, which is Catalyst’s version of vigabatrin. CPP-109 has been granted “Fast Track” status by the U.S. Food & Drug Administration (FDA) for the treatment of cocaine addiction. This indicates that the FDA has recognized that CPP-109 is intended for the treatment of a serious or life-threatening condition for which there is no effective treatment and which demonstrates the potential to address unmet medical needs. For more information about the Company, please visit www.catalystpharma.com.
This press release contains forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties which may cause the Company’s actual results in future periods to differ materially from forecasted results. A number of factors, including the Company’s ability to successfully complete those clinical trials required for it to file a new drug application for CPP-109, the Company’s ability to complete such trials on a timely basis within the budgets established for such trials, the Company’s ability to protect its intellectual property and those other factors described in the Company’s Annual Report on Form 10-K for 2007 and the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 that the Company has filed with the U.S. Securities and Exchange Commission (“SEC”), could adversely affect the Company. Copies of the Company’s filings with the SEC are available from the SEC, may be found on the Company’s website or may be obtained upon request from the Company. The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date.
CONTACT: Jack Weinstein, Chief Financial Officer of Catalyst
Pharmaceutical Partners, Inc., +1-201-934-4201, or
jweinstein@catalystpharma.com; or Melody Carey of Rx Communications,
+1-917-322-2571, or mcarey@rxir.com
Web site: http://www.catalystpharma.com/
