Astion Pharma A/S

April 13, 2015 By Alex Keown , BioSpace.com Breaking News Staff MISSISSAUGA, Ontario -- Cipher Pharmaceuticals Inc. struck a $45.5 million deal to acquire INNOCUTIS Holdings LLC , a privately held specialty dermatology company, giving the Canadian company a foothold in the United States, the company announced Monday morning. Established in 2000, Cipher Pharmaceuticals (CPHR) , a spinoff of CML Healthcare , is a specialty pharmaceutical dermatology company with a portfolio of commercial-stage products that is on pace to achieve its goal of becoming the most customer-centric dermatology company in North America. The acquisition of INNOCTIS brings 31 seasoned sales people familiar with the U.S. markets into the Cipher family. “This acquisition marks our commercial entry to the U.S. market and represents an important step toward our goal of creating a leading North American dermatology business,” Shawn O’Brien , Cipher ’s chief executive officer said in a press release announcing the deal with INNOCTIS , which posted about $10.1 million in net product revenue in 2014. “We see excellent opportunity to drive increased sales and profitability by growing their current branded prescription products.” News about the transaction pushed Cipher’s stock up to $11.05 per share, up from its close of $8.58 per share. In addition to the $45.5 million in upfront payments, Cipher could dole out an additional $3 million in milestone payments over the next three years. INNOCUTIS ’ current portfolio consists of established prescriptions, including Sitavig, a treatment for herpes labialis. Sitavig will be launched in Canada next year, the company said. The INNOCTIS deal is not the only deal Cipher has made this year. Since January Cipher has completed five transactions, including acquisition of worldwide rights to three products focused on inflammatory dermatological diseases (Dermadexin, Pruridexin, and ASF-1096) from Astion Pharma . Additionally Cipher licensed the Canadian rights to Ozenoxacin, a topical treatment for adult and pediatric patients with impetigo. The company also acquired seven pre-clinical compounds for the treatment of melanoma, skin cancer and other cancers from Melanovus Oncology Inc. Cipher ’s deals are part of the company’s three-pronged growth strategy that includes acquiring dermatology companies and products in the United States, expanding in Canada and acquiring and commercializing “potentially transformative technology.” Last month Cipher acquired the Canadian distribution rights to CF101, an A3 adenosine receptor to treat moderate to severe plaque psoriasis and rheumatoid arthritis developed by an-Fite BioPharma Ltd. . Cipher is coming off a strong 2014, where the company posted record revenue of $32.3 million, an increase of 20 percent compared with $27 million in 2013. Revenue was driven by a 42 percent growth in acne-medication Absorica, to $22.5 million, and a 65 percent increase in cholesterol treatment Lipofen, which generated $5.6 million in revenue. Absorica is taking aim at Accutane, developed by Hoffman-La Roche , and generic isisotretinoin formulations in the acne treatment niche.

COPENHAGEN, June 13 /PRNewswire/ -- Astion Pharma A/S has received DKK 50 million of fresh capital from its existing shareholders to accelerate Phase III of its dermatological drug candidate ASF-1096. Astion Pharma recently completed a Phase I development programme for ASF-1096 for the treatment of the serious skin disease, cutaneous lupus erythematosus. The results from the Phase I programme are very favourable, and the Phase II studies with patients are already so far advanced that the company expects to begin Phase III development in the next six to twelve months. That is about six months earlier than expected until now. The consortium of owners has decided to provide additional capital to the company so that the planning of Phase III can be started up immediately. - ASF-1096 is the development programme we expect to move into Phase III first. The capital injection ensures the company time to work with ASF-1096, and it also means that we do not have to lower the pace of development of our other drug candidates, said Henrik Moltke, CFO. One of the other development programmes which the company expects to move into Phase III around the turn of the year is ASF-1057 for the treatment of seborrheic dermatitis. ASF-1057 is currently undergoing Phase II studies in patients in France and the United Kingdom. Astion Pharma A/S develops pharmaceutical products for the treatment of skin diseases. It is estimated that one person in four worldwide will suffer from a skin diseases sometime in life, causing a deterioration of their quality of life. It is the Company's goal to become a leading player in the treatment of skin diseases for which there is currently a major need for new and better therapies. Astion Pharma has a strong platform of proprietary technologies for the development of new and innovative products. The Company pursues development activities through a strong international network of scientific partners and leading contract research organisations. The Company currently has three development projects in Phase II clinical studies in hand dermatitis, seborrheic dermatitis and cutaneous lupus in addition to a large portfolio of product candidates and research projects in earlier phases. For additional information please visit our web site: . Astion Pharma A/S CONTACT: Contact person: Henrik Moltke, CFO, Tel: +45-2244-5404, E-mail:hkm@astion.com