SurModics Inc (SRDX)

[Democritus_of_Abdera]

OctoPlus and SRDX ....

As Dew reported in iHub msg 42081 on the Biotech Values board, OctoPlus has made its first CC presentation on Feb 15, 2007 following its listing on Euronext Amsterdam under the symbol OCTO in October 2006. The details can be obtained in Dew’s message.

SRDX has had a strategic relationship with OctoPlus since June 2004 (see Aslan’s SRDX iHub msg #251 and Bridge’s msg #249) when SRDX acquired an option for an exclusive license from OctoPlus for the OctoDex and PolyActive biodegradable polymers. OctoPlus also collaborates with Innorcore to market the SynBiosys biodegradable polymer which SRDX obtained an option to acquire in March 2006 ( http://www.corporate-ir.net/ireye/ir_site.zhtml?ticker=SRDX&script=410&layout=-6&item_id... ). Both SynBiosys and PolyActive biodegradable polymers are listed on SRDX’s website, but I could not find reference to OctoDex.

As detailed in the Form 10-Q filed by SRDX on 2/9/07, SRDX has invested slightly more than $6.0M in OctoPlus and now owns approximately 9% of the company. Stratus (SRDX iHub msg #532) estimated that this investment represents 1,483,000 shares (which at today’s share price of 5.8 euros are worth $11.3M).

OctoPlus focuses on the development of long-acting, controlled release versions of known protein therapeutics and other drugs. OctoPlus also provides advanced drug formulation and clinical scale manufacturing services to the pharmaceutical and biotechnology industry, with a focus on difficult to formulate active pharmaceutical ingredients in injectable formulations. The company is located in Leiden, The Netherlands. OctoPlus’ Internet address is http://www.octoplus.nl

The OctoPlus investment compares to $5.2M SRDX invested in Novocell, $1.2M in ThermopeutiX, and, what I estimate will be $27.5 M in InnoRx once all milestones are met ($2.1M in 2/04, $1.6M in Q1/05, $4.1M in 1/05, and 600,064 shares at $32.87, the price SRDX paid for the 533K share buy-back in 1/07).