Meridian, Idaho, February 12, 2009: RxElite, Inc. [RXEI.PK] announced today that it has determined to suspend reporting currently with the SEC. On February 3, 2009, RxElite filed Form 15, Certificate and Notice of Termination of Registration under Section 12(g) of the Securities Exchange Act of 1934, and no longer will be required to file mandatory reports with the SEC. According to Earl Sullivan, Chairman and CEO, “We made this decision in consultation with our senior lenders after which our board authorized suspension of reporting as a measure designed to reduce overhead and compliance costs following our recent sale of RxElite Holdings Inc., our wholly owned U.S. subsidiary, to Piramal Healthcare Limited (India).”
On February 2, 2009, RxElite, Inc. also commenced activities as “Landela Pharmaceutical.” The name change will allow the Company to distinguish itself from its former subsidiary, RxElite Holdings Inc. The Company fully intends to differentiate itself through products, marketing, and distribution channels to be solely known as Landela Pharmaceutical.
In recognition of the changes to the Company’s activity and operations, Peter Williams, David Rector and Mark Auerbach submitted their resignations as members of the board of directors. Their resignations were not a result of any disagreement or dispute with the Company but reflect further efforts to streamline the corporate structure and assist the Company in reducing overhead and administrative burdens. Mr. Sullivan stated “The Company would like to express its heartfelt thanks to its former directors for their untiring service during the difficult period in which we have successfully achieved a major milestone by selling our anesthetic gas business to a highly qualified buyer in a cash transaction.”
The Company remains committed to growing its remaining business as an active pharmaceutical manufacturer through its subsidiary FineTech Pharmaceutical, Ltd., based in Israel. Furthermore, the new management team of Landela Pharmaceutical intends to continue to increase its pipeline of abbreviated new drug application (ANDA) filings. The new management at Landela Pharmaceutical has made significant cost savings measures, including seeking relief from SEC reporting, reduced pay for all senior executives, reduction in staffing, and reduction in various overhead items. In addition, the Company terminated the lease for the new corporate offices in Nampa, Idaho and has been released from all contingent obligations related to the lease.
Landela Pharmaceutical has filed two new ANDAs in the past 90 days and one Prior Approval Supplement (PAS) for a current ANDA. The Company is in the process of reestablishing wholesaler contracts and updating all regulatory records to reflect the new structure. The Company remains committed to finding additional development partners for additional ANDA filings and licensing opportunities for ANDAs.
Authorized Shares: 200,000,000
Source: 8-K ( 10/29/2007 )
Outstanding Shares: 119,705,157
Source: MGFS ( 11/11/2008 )