XOMA Corporation (XOMA)

[tob999]

XOMA ready to rock n roll.

"One hundred days ago, we announced multiple actions we would take in order to firmly position XOMA as an endocrine company, and we've executed on all of them," commented John Varian, Chief Executive Officer of XOMA. "First, we raised $37 million in non-dilutive capital by licensing our TGF beta antibody program to Novartis. Second, we deferred the near-term debt repayment obligation of a $13.5 million loan due to Novartis by extending the loan's due date. These two actions improved our cash position by $50.5 million. Third, we found strategic alternatives to divest our non-core operations through the sale of our biologics manufacturing facilities to Agenus, for an upfront payment of approximately $5 million in cash and $1 million in common stock, and the divesture of our biodefense program to Nanotherapeutics, including the transfer of program-related employees to the acquiring companies. Finally, we restructured the company to support our endocrine franchise, which, in combination with the Agenus and Nanotherapeutics deals, resulted in a headcount reduction of over 50 percent. Our employee base now reflects the appropriate infrastructure required to rapidly advance our endocrine franchise, particularly XOMA 358, and we have the capital to fund our operations into 2017.

"Last month, we opened the first of two planned Phase 2 proof-of-concept studies for XOMA 358 in patients with hypoglycemia due to hyperinsulinemia. The open-label Phase 2 clinical study will enroll patients with congenital hyperinsulinism at two internationally recognized treatment centers. We are very excited about taking XOMA 358 into patients who are living with this debilitating disease, as the Phase 1 study showed this compound can lower insulin receptor activity in healthy volunteers," concluded Mr. Varian.

http://ih.advfn.com/p.php?pid=nmona&article=69187045