Abraxis BioScience, Inc. has announced that the Board of Directors has approved a strategic plan to create Abraxis Health, Inc., an independent, stand-alone company to be spun-off from Abraxis BioScience that will be dedicated to becoming a fully integrated, next-generation, evidence-based, personalized healthcare company.
“The opportunity that lies in front of Abraxis BioScience is enormous and is a result of the validated science underlying the company’s proprietary nab® technology in the clinical setting,” said Patrick Soon-Shiong, M.D., Chairman and Chief Executive Officer of Abraxis BioScience.
“In 2009, we plan to initiate nine pivotal registrational trials in multiple tumor types, including breast cancer, lung, melanoma and pancreatic cancers. In addition, Abraxis has initiated 65 investigator-sponsored Phase 2 studies and 16 Phase 1 studies. Together with the current approval of ABRAXANE in 36 countries and the continuing need to establish infrastructure for the global launch of this compound, the immense and exciting task that lies ahead should be the primary focus of Abraxis BioScience.”
Abraxis BioScience will be solely dedicated to building its ABRAXANE franchise on a global basis, advancing an extensive Phase 3 clinical program, and leveraging its proprietary nab® technology platform. For the nine months ended September 30, 2008, Abraxis reported revenue from sales of ABRAXANE of $245.8 million.
In connection with the spin-off, Abraxis Health will obtain the assets and liabilities constituting the drug discovery, pilot manufacturing and development operations currently being conducted through Abraxis BioScience. Detailed information about the spin-off will be provided when the company files a Form 10 registration statement with the Securities and Exchange Commission for Abraxis Health, which is expected to be filed in the first quarter of 2009.
The completion of any spin-off transaction will be subject to customary conditions, including filing of required documents with the Securities and Exchange Commission. There can be no assurance that any spin-off transaction will ultimately occur or, if one does occur, its terms or timing.