Company to Move Focus from Proteomic Biomarker Discovery to Diagnostic Assay Development and Commercialization
WINNIPEG, MANITOBA--(Marketwire - June 19, 2008) - Miraculins Inc. (TSX VENTURE: MOM), today announces a strategic shift in priorities that will move the Company’s focus further down the diagnostic assay development and commercialization pathway. The Company’s business plan will focus on in-licensing/acquiring and developing both cancer and non-cancer diagnostic opportunities that have completed early stage research and address unmet clinical needs. Although the Company will move away from basic proteomic research and discovery it continues the assay development of its internally discovered P2V™ prostate cancer diagnostic test with a major pivotal validation study underway that is expected to be completed by the end of 2008.
Diagnostic technologies of greatest interest to the Company will have completed discovery stage research and biomarker identification but require additional expertise and resources to be developed into validated commercially viable assays. Over the last several weeks, Miraculins has evaluated over 300 opportunities and is at varying stages of licensing discussions with a number of promising technologies.
“While Miraculins has demonstrated the ability to move from protein biomarker discovery to the development stage with P2V™, there are significant challenges in translating the promise of proteomic discovery into commercial opportunities”, stated Christopher J. Moreau, President & CEO of Miraculins. “We realized that a dynamic approach was needed to reduce the amount of time and investment required for the Company to move programs through to commercialization.”
This new strategy will leverage the existing capabilities and expertise Miraculins has developed over the past several years, including the ability to manage and conduct high-calibre biomarker/assay validation studies, in-house capabilities to process and store clinical samples, a growing network of commercialization partner contacts and clinical experts, and the extensive commercial assay development experience of newly appointed Director of Research and Development, Dr. Stephen Frost, formerly of Abbott Diagnostics.
“Dr. Frost’s main focus at Abbott was the assessment of potential acquisition targets, immunoassay development and validation, and driving new technologies through to commercialization. His specialized skills and knowledge in this area have allowed us to embark on this new path with great confidence”, added Moreau.
“A significant number of promising biomarker opportunities remain un-commercialized because of the sizable gap between the discovery stage, when research institutions are typically involved, and the commercialization stage, when the larger commercial enterprises become interested”, said Dr. Frost. “I joined Miraculins with a belief that my assay development expertise was a critical component needed to help transform the Company into a world-class diagnostic developer. I look forward to helping to build the Miraculins development team.”
To date, Miraculins has carried out research utilizing its B.E.S.T. Platform™ for the screening and identification of target proteins and peptides of interest related to disease. This development work, in addition to the acquisition of intellectual property from Europroteome AG, has resulted in a number of promising basic discovery programs for the early detection of cancer. In addition, this research has been undertaken in a very cost effective manner, as the Company has expended less than $6 million to date, since its first significant fund raising in 2002.
“Our plan is to evaluate our current pipeline of in-house cancer programs in the context of our new business model and focus our attention on those technologies that have nearer term revenue potential,” commented Moreau.
Timely with the announcement of the strategic refocusing, Miraculins also announces that Co-Founder Dr. Phiet Bui will be stepping down from Miraculins’ Board of Directors and as the Company’s Chief Scientific Officer.
“We thank Dr. Bui for all his work with Miraculins over the last number of years”, added Moreau.
Key components of the business plan:
- New business model will focus on acquiring diagnostic technologies that have completed early stage research;
- Leverage existing corporate capabilities by moving the technologies through assay development and validation, regulatory approval and on to commercialization;
- Expect to maximize shareholder value by focusing on technologies that are nearer term to market compared to undertaking new basic research programs;
- Focus on building a strong team of assay development specialists, lead by Dr. Stephen Frost;
- Already lean entrepreneurial operation, with low burn rate, can be refocused without costly restructuring program;
- Initial focus on immunoassays with a longer term evaluation of other diagnostic areas including molecular diagnostics and imaging;
- Investigate additional strategies to generate nearer term revenues including the potential to become involved in assay manufacturing and/or the provision of clinical laboratory testing; and
- Thorough evaluation of existing programs and resources to maximize value derived from existing assets.
“Over $30 billion is spent annually on life science research at universities and public research institutions, resulting in countless quality discoveries and opportunities”, Moreau summarized. “We have direct experience with bridging the gap from discovery through development and we expect this new business model will move us closer to revenues, both in terms of potential partnerships and sustainable cash flows resulting from assay sales. This refocusing positions us for rapid and sustainable growth and allows us the potential to continue expanding our business to enhance shareholder value.”
Caution Regarding Forward-Looking Information
Certain statements contained in this press release constitute forward-looking information within the meaning of applicable Canadian provincial securities legislation (collectively, “forward-looking statements”). These forward-looking statements relate to, among other things, our objectives, goals, targets, strategies, intentions, plans, beliefs, estimates and outlook, including, without limitation, our anticipated future operating results, and can, in some cases, be identified by the use of words such as “believe,” “anticipate,” “expect,” “intend,” “plan,” “will,” “may” and other similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements.
These statements reflect management’s current beliefs and are based on information currently available to management. Certain material factors or assumptions are applied in making forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. Important factors that could cause actual results to differ materially from these expectations include, among other things: Miraculins’ early stage of development, lack of product revenues and history of operating losses, uncertainties related to clinical trials and product development, rapid technological change, uncertainties related to forecasts, competition, potential product liability, additional financing requirements and access to capital, unproven markets, supply of raw materials, income tax matters, management of growth, partnerships for development and commercialization of technology, effects of insurers’ willingness to pay for products, system failures, dependence on key personnel, foreign currency risk, risks related to regulatory matters and risks related to intellectual property and other risks detailed from time to time in Miraculins’ filings with Canadian securities regulatory authorities, as well as Miraculins’ ability to anticipate and manage the risks associated with the foregoing. Additional information about these factors and about the material factors or assumptions underlying such forward-looking statements may be found in the body of this news release. Miraculins cautions that the foregoing list of important factors that may affect future results is not exhaustive. When relying on Miraculins’ forward-looking statements to make decisions with respect to Miraculins investors and others should carefully consider the foregoing factors and other uncertainties and potential events.
These risks and uncertainties should be considered carefully and prospective investors should not place undue reliance on the forward-looking statements. Although the forward-looking statements contained in this press release are based upon what management believes to be reasonable assumptions, Miraculins cannot provide assurance that actual results will be consistent with these forward-looking statements. Miraculins undertakes no obligation to update or revise any forward-looking statement.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Contacts: Miraculins Inc. Christopher J. Moreau President and CEO (204) 477-7599 (204) 453-1546 (FAX) Email: info@miraculins.com Website: www.miraculins.com
