Haemacure sale of assets to Angiotech clears another hurdle

March 22 (Reuters) - Haemacure Corp (HAEFQ.PK) said it received permission from the Superior Court of the Province of Quebec to sell its assets to Angiotech Pharmaceuticals Inc (ANP.TO), a secured creditor of Haemacure.
The Canada-based biotherapeutic company said the United States Bankruptcy Court had previously authorized the sale to Angiotech of the assets of Haemacure's U.S. subsidiary.
Haemacure also said it obtained a second extension, until April 19, within which to make a proposal to its creditors.
The extension will also allow Haemacure and Angiotech to complete the documentation required for the closing of the asset-sale transactions in Canada and the United States. The closings are expected to be held prior to the new expiry date of April 19.

Haemacure Files For Bankruptcy

MONTREAL — Medical technology developer Haemacure Corp. (TSX:HAE) has filed for bankruptcy in both U.S. and Canadian courts.
Haemacure's board of directors made the decision after the company was unable to raise financing to help it emerge from a growing financial burden, the Montreal-based company said Monday.
It made the bankruptcy filings under Canada's Bankruptcy and Insolvency Act and Chapter 11 of the U.S. bankruptcy code after stock markets closed on Friday.
"The Board of Directors considers these measures to be in the best interests of Haemacure, its shareholders and creditors," the company said in a release.
"The board made this decision after thorough consultation with its professional advisers, both in Canada and the United States, and extensive consideration of all possible alternatives."
Haemacure also announced Monday that Marc Paquin has resigned from his role as director.
Fellow medical device maker Angiotech Pharmaceuticals Inc. (TSX:ANP) will act as a secured creditor, and had agreed to provide financing for both the insolvency proceedings and Haemacure's daily operations for up to $1 million, the company said.
Angiotech and Haemacure partnered last year to develop Haemacure's all-human fibrin sealant and thrombin products, for use in surgeries and other medical procedures.
Last Wednesday, Haemacure received notice that it would be delisted from the Toronto Stock Exchange at the close of trading on Feb. 5, after failing to meet the TSX's continued listing requirements related to its financial condition

Medical technology developer Haemacure to be delisted from TSX

MONTREAL — Medical technology developer Haemacure Corp. (TSX:HAE) says it has received notice that it will be delisted from the Toronto Stock Exchange at the close of market on Feb. 5.
The company said Wednesday that the delisting results from its failure to meet the TSX’s continued listing requirements related to its financial condition.
Haemacure said it doesn’t intend to appeal the decision “in light of its financial condition.”
Last summer, the Montreal-based company entered into a strategic collaboration with Angiotech Pharmaceuticals Inc. (TSX:ANP), which will provide Angiotech with license, distribution and supply rights related to Haemacure’s all-human fibrin sealant and thrombin products, for use in surgeries and other medical procedures.
Haemacure said at the time that US$2.5 million in bridge financing to be advanced by Angiotech would allow it to continue operations until the end of calendar 2009.
Shares of Haemacure gained half a cent or 50 per cent to 1.5 cents in Wednesday trading on the TSX.

Haemacure presentation

MONTREAL, Sept. 14 /PRNewswire-FirstCall/ - Haemacure Corporation (TSX : HAE) reported today on current activities and released the financial results of its third quarter endedJuly 31.
Current Activities
Haemacure and Angiotech Pharmaceuticals, Inc. started work pursuant to the strategic collaboration entered into inJune 2009, including the shipment of product to Angiotech. This collaboration provides Angiotech with license, distribution and supply rights for Haemacure's all-human fibrin sealant and thrombin products, both of which are in development.
Haemacure is actively preparing for the pivotal phase II/III clinical trials for its fibrin sealant and is seeking additional financing.
"We are very pleased with the strategic collaboration Haemacure entered into with Angiotech, which provides liquidity and an important validation of our company and its product candidates." said Joseph Galli, Chairman and Chief Executive Officer of Haemacure. "In addition, we are in discussion with other parties who need fibrin sealant and thrombin to enable their products." concluded Mr. Galli.
Financial Position
Cash, cash equivalents and investments amounted to$336,598 as at July 31, 2009, as compared to $4.6 million as at October 31, 2008. Haemacure estimates that it has cash, and access to liquidity as a result of the transaction with Angiotech, to enable it to operate until the end of calendar year 2009.
Results
Revenues amounted to $15,390, as compared to $25,593 for the same quarter last year. Revenues were exclusively derived from the sale of legacy fibrin sealant application devices. Operating expenses amounted to $824,634, down from $2 million for the same quarter last year. The decrease was mainly attributable to foreign exchange fluctuation and the major cost cutting measures implemented in February 2009 to preserve cash. The consolidated net loss for the quarter amounted to $798,852, or nil per share, as compared to $2 million, or $0.01 per share, for the same quarter last year.

Angiotech Enters License, Distribution and Supply Agreements for Fibrin and Thrombin Technologies with Haemacure Corporation

Angiotech, a specialty pharmaceutical and medical device company, announced today the completion of a collaboration transaction with Haemacure Corporation (TSX:HAE), a specialty bio-therapeutics company, relating to certain of Haemacure's proprietary fibrin and thrombin technologies, both of which are currently in development.

As part of this collaboration, Angiotech has agreed to provide to Haemacure a senior secured bridge financing facility in the amount of US$2.5 million, with the option for Angiotech to invest an additional US$1 million in the facility.

"Our new collaboration with Haemacure provides Angiotech with access to critically important technology for certain of our surgical product candidates currently in preclinical development," said Dr. William Hunter, President and CEO of Angiotech. "We believe we have assembled the majority of the key components necessary to deliver on the next generation of innovations, adding to our proprietary Quill SRS franchise for our surgical business, and we will provide additional details as we prepare certain of these product candidates for the clinical development and regulatory approval process.The collaboration will consist principally of the following three agreements:
- Fibrin Sealant Distribution Agreement. The parties have entered into a Distribution Agreement whereby Angiotech is granted non-exclusive,world-wide distribution rights to Haemacure's fibrin sealant product candidate in selected surgical indications. The distribution agreement has a term on a country-by-country and product-by-product basis of 10 years from the date Haemacure receives United States Food and Drug Administration (FDA) approval or similar regulatory approval in countries outside of the United States of its fibrin selant, and has an option for Angiotech to renew for an additional five years, subject to certain performance adjustments. Any fibrin sealant product would be marketed and distributed by Angiotech's surgical sales organization upon regulatory approval. Haemacure will be responsible for all clinical development and related costs with respect to fibrin sealant product candidates.
- Drug-Loaded Fibrin Sealant License and Development Agreement. The parties have entered into a License and Development Agreement whereby Haemacure and Angiotech have agreed to jointly develop and commercialize a next generation, drug-loaded fibrin sealant product candidate. Angiotech and Haemacure will collaborate to create novel fibrin sealant technologies that, in addition to the haemastatic properties offered by the fibrin sealant itself, may target the prevention of infection, pain, or delivery of stem cells using Haemacure's fibrin sealant as a carrier of such therapies. The companies will jointly conduct research and clinical development, with each party contributing key personnel, technology and intellectual property. Collaboration costs will be shared based on each company's contribution to the program, and eventual profits will be shared pro-rata based on each company's contribution to collaboration expenses. This term of the agreement will expire on a collaboration product-by-collaboration product basis upon the later of 15 years after the first commercial sale of such collaboration product, and the last-to-expire valid claim applicable to such collaboration product.
- Thrombin Supply Agreement. The parties have entered into an exclusive Supply Agreement whereby Haemacure will supply thrombin to Angiotech for the development of certain Angiotech preclinical product candidates that may require thrombin. The Supply Agreement has a term of 10 years from the first commercial sale of an approved Angiotech product containing thrombin procured from Haemacure, and has an option for Angiotech to renew for an additional five years. The senior secured bridge loan from Angiotech to Haemacure will provide US$2.5 million to Haemacure in multiple drawdowns. The loan will be senior to all of Haemacure's existing and future indebtedness, subject to certain exceptions; will bear interest at an annual rate of 10%, compounded quarterly and have a term of two years. Angiotech may, at its sole discretion, advance during a period of two years up to an additional US$1 million to Haemacure from time to time, in multiple draw-downs, for a total loan of US$3.5 million. The senior secured bridge loan also has certain equity conversion features and rights to board representation, as described in detail in Haemacure's press release dated May 22, 2009