Accelr8 Technology Corporation
(NYSE Amex: AXK) announced that upon reaching the end of its technology evaluation agreement with Novartis (Sep 30, 2011), discussion has now shifted to searching within Novartis for funding vehicles. This transition follows Novartis business analyses and successful Proof of Concept technical studies conducted jointly between the companies. Accelr8’s management concluded that in addition to successful technical studies, the findings from a number of independent business analyses and advisory boards have been concordant with Accelr8’s market assessments and pricing assumptions.
During this period of funding exploration, no standstill or first-right conditions remain in effect that bar Accelr8 from pursuing alternatives outside of Novartis. Recently, Accelr8 has been in discussions with other companies for BACcel™ applications that complement clinical diagnostics, such as pharma development. With the expiration of restrictive terms in the prior Novartis agreements, Accelr8 is now opening discussions with clinical diagnostics companies.
According to David Howson, Accelr8’s president, “Recent reorganization in the Novartis Vaccines and Diagnostics division has delayed project decisions until the reorganization is completed. But, thanks to Novartis, Accelr8 is on a rapid development path. To maintain momentum we are taking direct action to develop additional paths to finish the product development.”
“At the same time, we are completing formal technical studies that are already underway with Novartis. These include Proof of Concept studies with positive blood cultures containing complex Gram-negative organisms that express broad-spectrum resistance. Our objective is to present the results at the next available international clinical congress. Finally, we expect a corporate update from Novartis before Thanksgiving,” Howson concluded.
Accelr8 Technology Corporation (
) is a developer of innovative materials and instrumentation for advanced applications in medical instrumentation, basic research, drug discovery, and bio-detection. Accelr8 is developing a rapid analytical platform for infectious pathogens, the BACcel™ system, based on its innovative surface coatings, assay processing, and detection technologies. In addition, Accelr8 licenses certain of its proprietary technology for use in applications outside of Accelr8’s own products.
Certain statements in this news release may be “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements regarding future prospects and developments are based upon current expectations and involve certain risks and uncertainties that could cause actual results and developments to differ materially from the forward-looking statement, including those detailed in the company's filings with the Securities and Exchange Commission. Accelr8 does not undertake an obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events.