Biotie Therapies Corp. financial statement released
Biotie says that the key drivers of business progressed during 2011: internal pipeline expanded through acquisition of Synosia, partnered programs advanced towards commercialization, management team strengthened and additional cash resources secured.
The net loss of Biotie was in 2011 more than 31 million euros. Financial statements for January - December 2011 are not directly comparable to the same period in 2010 due to the Synosia Therapeutics acquisition and the consolidation of the new subsidiaries' results into the Biotie group's consolidated financial statements from the acquisition date of 1 February 2011 onwards.
In February, Biotie completed the acquisition of Synosia Therapeutics, a drug development specialist with operations in the US, broadening its pipeline and adding mid-stage novel CNS products. Progress with the newly expanded pipeline remained on track during integration of the companies and in April Biotie announced the start of a Phase 2b study with SYN115 in Parkinson's disease.
In July, Biotie started a Phase 1 positron emission tomography (PET) imaging study with SYN120, a potential treatment for cognitive disorders, including Alzheimer's and schizophrenia. Results from an exploratory Phase 2a study of its HPPD inhibitor SYN118 in Parkinson's disease (PD) were reported in May. These data did not show a significant improvement in measures of PD motor function versus placebo and, in November, Biotie fully impaired the carrying value of this asset and UCB confirmed that it would not exercise its option to license the compound.
In March, Biotie raised EUR 27 million in a directed share issue to institutional and strategic investors, strengthening its financial position.
In September, Biotie proposed to acquire Newron Pharmaceuticals through a European Union cross-border merger. Shortly after this announcement, Merck Serono indicated that it would return to Newron the full global rights for safinamide, Newron's lead asset which is currently in Phase 3 development for Parkinson's disease. After reviewing this development, Biotie exercised its right to terminate the merger plan and combination agreement. As a result, Biotie was entitled to and consequently received a break-up fee of EUR 1.5 million from Newron.
In December, non-dilutive funding was secured through a Collaborative Research and Development Agreement with the National Institute on Drug Abuse (NIDA) at the US National Institutes of Health to investigate the safety and efficacy of nepicastat (SYN117) in the treatment of cocaine dependence.
Timo Veromaa, Biotie's President and CEO is satisfied with results of year 2011. He is also looking forward to seeing the data on key pipeline drugs.
"2011 was a great year for Biotie. Our partner Lundbeck submitted a marketing application in Europe for Selincro(TM) in alcohol dependence, bringing us closer to having our first product on the market, and we joined forces with Synosia, in a deal that strengthened our pipeline and added further expertise in CNS. The next 12-18 months have the potential to dramatically transform Biotie's business, as we eagerly await data on key pipeline drugs and look forward to the launch of Selincro(TM). Despite the challenging macroeconomic environment, Biotie is in a strong position and we are truly excited about the opportunities that lay ahead for our Company".