Catalyst Pharmaceutical Partners Reports First Quarter 2008 Financial Results

First Quarter 2008 Results

For the quarter ended March 31, 2008, the Company reported a net loss of $1,584,047 or $0.13 per basic and diluted share, compared to a net loss of $1,252,078, or $0.10 per basic and diluted share for the same period in 2007. First quarter 2008 results included non-cash charges relating to stock-based compensation in the amount of $263,404, compared to $200,368 in the same period in 2007.

Research and development expenses for the first quarter of 2008 were $1,084,359, an increase of 33.5% compared to $812,520 in the first quarter of 2007. These expenses include non-cash stock-based compensation of $174,556 and $78,393, respectively.

General and administrative expenses for the first quarter of 2008 totaled $639,673, a decrease of 6.6% compared to $684,626 in the first quarter of 2007. These expenses include non-cash stock-based compensation of $88,848 and $121,975, respectively.

As a development stage pharmaceutical company, Catalyst has no revenues to-date.

At March 31, 2008, the Company had cash and cash equivalents totaling $14.7 million and no long-term debt. The Company believes that its existing cash and cash equivalents will be sufficient to meet the Company's projected operating requirements through the middle of 2009.

Operational Update

In May 2008, Catalyst appointed Frank Greenway, M.D., Professor-Chief of Outpatient Clinic of the prestigious Pennington Biomedical Research Center in Baton Rouge, LA, to the Company's Scientific Advisory Board. Dr. Greenway is one of the world's foremost experts in the areas of obesity treatment, including diets, herbal supplements, obesity surgery and obesity drug development.

The Company also recently retained Andrew Forman as a Business Development and Investor Relations Consultant. Andrew has 11 years of Wall Street experience, having served as a specialty pharmaceutical analyst with W.R. Hambrecht, Advest, Friedman Billings Ramsey, and UBS Warburg/Dillon Read. He also spent nine years as a business development executive in the pharmaceutical industry with Cygnus & Dupont.

Commenting on today's news, Patrick J. McEnany, Catalyst's Chief Executive Officer, noted, "We continue to progress with our clinical development program for CPP-109. In particular, we are actively enrolling and dosing subjects in our first, U.S. Phase II clinical trial which will evaluate CPP-109 as a treatment for cocaine addiction. During this quarter, we also expect to initiate our U.S. Phase II clinical trial evaluating CPP-109 as a treatment for methamphetamine addiction."

Mr. McEnany continued, "We are extremely pleased that Dr. Greenway and Mr. Forman have become part of the Catalyst team. We anticipate that Dr. Greenway will be a key advisor to Catalyst as we plan for the initiation this summer of a Phase II clinical trial to study CPP-109 as a potential treatment for Binge Eating Disorder (BED). BED, which affects a subset of the obese population, is a newly recognized condition that affects approximately 4 million people in the U.S. People with BED frequently eat large amounts of food while feeling a loss of control over their eating."

"Additionally, we intend to launch other Phase II trials this year in indications which could include alcohol and nicotine dependence. It is likely that Catalyst will seek partners for some of these indications and, in that regard, we are delighted be able to call on the expertise of Andrew Forman. We believe that Andrew's extensive contacts in the pharmaceutical industry as well as his relationships with key institutional investors will enable Catalyst to maximize shareholder value as we expand our clinical and business development programs."

The Company's Phase II trial evaluating CPP-109 as a treatment for cocaine addiction is designed as a randomized, double-blind, placebo-controlled, intent-to-treat, multi-center trial to evaluate the safety and efficacy of CPP-109 for this indication. Under the trial protocol, patients will be treated for a period of 12 weeks, with an additional 12 weeks of follow-up. The primary objective of the trial is to demonstrate that a larger proportion of CPP-109-treated subjects than placebo-treated subjects are cocaine-free during their last two weeks of treatment (weeks 11 and 12). Additionally, Catalyst will be measuring a number of secondary endpoints based on reductions of cocaine use and craving.

About Catalyst Pharmaceutical Partners

Catalyst Pharmaceutical Partners, Inc. is a biopharmaceutical company focused on the development and commercialization of prescription drugs for the treatment of addiction and obsessive compulsive disorders. The Company has obtained from Brookhaven National Laboratory an exclusive worldwide license for nine patents and four patents pending inthe United States relating to the right to use vigabatrin to treat a wide variety of substance addictions. Catalyst has also been granted rights to Brookhaven's vigabatrin-related foreign patents or patents pending in more than 30 countries. The Company's initial product candidate based on vigabatrin is CPP-109. CPP-109 has been granted "Fast Track" status by the U.S. Food & Drug Administration (FDA) for the treatment of cocaine addiction. This indicates that the FDA has recognized that CPP-109 is intended for the treatment of a serious or life-threatening condition for which there is no effective treatment and which demonstrates the potential to address unmet medical needs. For more information about the Company, go to www.catalystpharma.com.

This press release contains forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties which may cause the Company's actual results in future periods to differ materially from forecasted results. A number of factors, including our ability to successfully complete the clinical trials required for us to file a new drug application for CPP-109, our ability to complete such trials on a timely basis within the budgets we establish for such trials, our ability to protect our intellectual property and those other factors described in the Company's Annual Report on Form 10-K for 2007 and the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2008 that the Company has filed with the U.S. Securities and Exchange Commission ("SEC"), could adversely affect the Company. Copies of the Company's filings with the SEC are available from the SEC, may be found on the Company's website or may be obtained upon request from the Company. The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date.

                    CATALYST PHARMACEUTICAL PARTNERS, INC.
                        (a development stage company)

                CONDENSED STATEMENTS OF OPERATIONS (unaudited)


                                                    For the Three Months Ended
                                                              March 31,
                                                          2008          2007
    Revenues                                          $    -     $        -

    Operating costs and expenses:
      Research and development                       1,084,359       812,520
      General and administrative                       639,673       684,626
        Total operating costs and expenses           1,724,032     1,497,146
      Loss from operations                          (1,724,032)   (1,497,146)
    Interest income                                    139,985       245,068
      Loss before income taxes                      (1,584,047)   (1,252,078)
    Provision for income taxes                               -             -
      Net loss                                     $(1,584,047)  $(1,252,078)
    Loss per share - basic and diluted                  $(0.13)       $(0.10)
    Weighted average shares outstanding
     - basic and diluted                            12,552,944    12,518,809



                    CATALYST PHARMACEUTICAL PARTNERS, INC.
                        (a development stage company)

                           CONDENSED BALANCE SHEETS


                                                  March 31,     December 31,
                                                     2008           2007
                                                 (unaudited)
                       ASSETS

    Current Assets:
      Cash and cash equivalents                   $14,716,512    $15,943,896
      Interest receivable                              41,167         63,709
      Prepaid expenses                                585,185        524,081
        Total current assets                       15,342,864     16,531,686
    Property and equipment, net                       120,926        127,788
    Deposits                                           25,448         20,448
        Total assets                              $15,489,238    $16,679,922

        LIABILITIES AND STOCKHOLDERS' EQUITY

    Current Liabilities:
      Accounts payable                               $316,578       $219,866
      Accrued expenses and other liabilities          121,503         83,419
        Total current liabilities                     438,081        303,285
       Accrued expenses and other liabilities,
        non-current                                    51,053         53,880
        Total liabilities                             489,134        357,165

    Total stockholders' equity                     15,000,104     16,322,757
    Total liabilities and stockholders' equity    $15,489,238    $16,679,922

SOURCE Catalyst Pharmaceutical Partners, Inc.

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Copyright © 2008, NewsBlaze, Daily News

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