REYKJAVIK, Iceland, Oct. 15 /PRNewswire-FirstCall/ -- deCODE genetics (Nasdaq: DCGN) today announced that the company is carrying out a review of its long-term business strategy. Over the past few years deCODE has utilized its capabilities in medicinal chemistry, structural biology and human genetics to develop product and intellectual property portfolios in both therapeutics and DNA-based diagnostics. The goal of this strategic review is to optimize the value of these assets for its shareholders by sharpening the focus of its business, selling non-core assets, securing strategic partnerships, and utilizing the resources generated to underpin product development and marketing efforts in its core business. The company has engaged the Stanford Group Company to assist in evaluating deCODE's strategic alternatives and in executing swiftly on the results of this review through the identification of buyers and partners for non-core business units, programs and intellectual property. deCODE plans to provide an update on this process in its third quarter financial results conference call to be webcast live on November 6.
deCODE also announced that in order to provide more time for the completion of this review and the execution of alternatives including the sale of assets, it has elected to utilize a 30-day grace period for the scheduled October 15 interest payment on its outstanding 3.5% Senior Convertible Notes due 2011.
"We are in the process of creating a smaller, leaner deCODE that will devote its efforts and resources to one line of business. We have created a unique and growing portfolio of intellectual property, as well as a range of products and programs in both our drug development and diagnostics work, and are engaged in discussions with potential partners and purchasers for various programs and business units. We have engaged Stanford Group Company to assist us in in this task, with the aim of finding the best means of advancing the interests of our investors and realizing the potential of deCODE's assets and capabilities," said Kari Stefansson, CEO of deCODE.
deCODE is a biopharmaceutical company applying its discoveries in human genetics and its capabilities in chemistry and structural biology to the development of drugs and diagnostics for common diseases. deCODE's therapeutics programs include DG041, an antiplatelet compound being developed for the prevention of arterial thrombosis; DG051 and DG031, compounds targeting the leukotriene pathway for the prevention of heart attack; and DG071 and a platform for other PDE4 modulators with therapeutic applications in Alzheimer's disease and other conditions. Through its CLIA-registered laboratory, deCODE is offering a growing range of DNA-based tests for gauging risk and empowering prevention of common diseases, including deCODE T2(TM) for type 2 diabetes; deCODE AF(TM) for atrial fibrillation and stroke; deCODE MI(TM) for heart attack; deCODE ProCa(TM) for prostate cancer; deCODE Glaucoma(TM) for a major type of glaucoma; and deCODE BreastCancer(TM) for the common forms of breast cancer. deCODE is delivering on the promise of the new genetics.SM Visit us on the web at http://www.decode.com; on our diagnostics site at http://www.decodediagnostics.com; for our pioneering personal genome analysis service, integrating the genetic variants included in these tests and those linked to another twenty common diseases, at http://www.decodeme.com; and on our blog at http://www.decodeyou.com.
Any statements contained in this presentation that relate to future
plans, events or performance are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to a number of risks and
uncertainties that could cause actual results, and the timing of events, to
differ materially from those described in the forward-looking statements.
These risks and uncertainties include, among others, those relating to our
ability to obtain financing and to form collaborative relationships, the
effect of a potential delisting of our common stock from The Nasdaq Global
Market, uncertainty regarding potential future deterioration in the market
for auction rate securities which could negatively affect our cash position
and result in additional permanent impairment charges, our ability to
develop and market diagnostic products, the level of third party
reimbursement for our products, risks related to preclinical and clinical
development of pharmaceutical products, including the identification of
compounds and the completion of clinical trials, the effect of government
regulation and the regulatory approval processes, market acceptance, our
ability to obtain and protect intellectual property rights for our
products, dependence on collaborative relationships, the effect of
competitive products, industry trends and other risks identified in
deCODE's filings with the Securities and Exchange Commission, including,
without limitation, the risk factors identified in our most recent Annual
Report on Form 10-K and any updates to those risk factors filed from time
to time in our Quarterly Reports on Form 10-Q or Current Reports on Form
8-K. deCODE undertakes no obligation to update or alter these
forward-looking statements as a result of new information, future events or
Edward Farmer Joy Bessenger Gisli Arnason
+354 570 2819 +1 212 481 3891 +354 570 1825
|SOURCE deCODE genetics|
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