PheneX founders, team performs a “true” management buy-out

Ludwigshafen, Germany, November 13th, 2003

„This is certainly a major landmark in our strategy to establish a truly independent drug discovery company.”
– Dr. Claus Kremoser –
CEO of Phenex AG

PheneX Pharmaceuticals AG today announced that they have acquired all necessary assets that enable them to continue the drug discovery activities from the former research unit iD3 from LION bioscience AG. PheneX AG has directly secured patents on lead series, chemistry composition of matter and Nuclear Receptor releated patents. In a related transaction the founders, team has privately bought out the necessary lab equipment, devices and compound libraries for an undisclosed sum in cash. These assets will be brought into the company by the founders, team, soon.

„This is certainly a major landmark in our strategy to establish a truly independent drug discovery company,” comments Dr. Claus Kremoser, CEO of PheneX AG. “We are grateful to LION that they enabled this direct management buy-out.

And we believe that this is a good deal for both sides and it enables PheneX to directly and independently deal with partners from the pharma and venture finance industry. And last but not least: This is a real proof of our entrepreneurship since we use our private and not other people,s money for this step.”

“In a difficult and challenging economical environment, it is a real success for a young founders’ team to establish a new company. After LION’s decision to discontinue with the Nuclear Receptor Program, we wanted to support a new way to use the assets for future research programs” said Dr. Daniel Keesman, Chief Business Officer of LION bioscience AG. “We are glad that this happens now with previous LION employees”.

“Now we have all necessary prerequisites to close a financing round,” adds Thomas Hoffmann, CFO of PheneX. “With the company in 100% ownership of the founders and a steady positive cash flow from partnering deals with now more than 4 customers we are in a good shape to lead our ongoing discussions with Venture Capital companies to a successful end. There are only few examples of drug discovery companies in Germany which are profitable – we are so since two quarters! However, in order to be able to invest intensely into our drug candidate projects, we need to bring in risk capital, be it from VC companies, business angels or even strategic partners from the industry. The current discussions that we have with investors of all three types make me positive that we will reach this next goal, soon.”

Contact

Waldhofer Str. 104
69123 Heidelberg
Germany
Phone: +49 6221 65282-0
Fax: +49 6221 65282-10
Dr. Claus Kremoser
Thomas Hoffmann
mailto: info@phenex-pharma.com

About Phenex Pharmaceuticals AG

Phenex is a privately held drug discovery and development company headquartered in Heidelberg. The biopharmaceutical company can now build on nineteen years of expertise in exploring and defining innovative, potent and selective new drug candidates from small molecules. Phenex´s R&D activities are centered around diseases of liver such as NASH and cancer.