XOMA
Updates Guidance for 2008
Royalty
Income From Ex-U.S. LUCENTIS(r) Sales Expected to Continue Through
2014
BERKELEY,
Calif., Jan 20, 2009 (GlobeNewswire via COMTEX News Network) -- XOMA Ltd.
(Nasdaq:XOMA) is updating its 2008 revenue guidance range to $65 to $70 million.
This increase is based on higher than expected utilization of manufacturing
capacity, additional work under the fully funded Novartis collaboration and
increased royalty payments as discussed below. With this information, the
Company is able to provide additional guidance that it expects its cash, cash
equivalents and short-term investments at the end of 2008 to be approximately
the same as reported at the end of the third quarter of 2008.
In the
fourth quarter of 2008, XOMA received a royalty payment from Genentech for third
quarter ex-U.S. LUCENTIS(r) sales. Previously, XOMA said that its ex-U.S.
Bacterial Cell Expression technology patents expired in the third quarter of
2008 and that it did not expect ex-U.S. LUCENTIS(r) royalty revenue in the
fourth quarter or thereafter. However, last week Genentech confirmed that
LUCENTIS(r) is produced in the United States for worldwide distribution. Based
on this information, XOMA expects Genentech to continue to pay royalties on
ex-U.S. sales through the expiration of the related U.S. patents at the end of
2014.
About
XOMA
XOMA
discovers, develops and manufactures therapeutic antibody and other agents
designed to treat inflammatory, autoimmune, infectious and cancerous diseases.
The company's proprietary product pipeline includes XOMA 052, an anti-IL-1 beta
antibody, and XOMA 3AB, a biodefense anti-botulism antibody
candidate.
XOMA's
proprietary development pipeline is primarily funded by multiple revenue streams
resulting from the licensing of its antibody technologies, product royalties,
development collaborations and biodefense contracts. XOMA's technologies and
experienced team have contributed to the success of marketed antibody products,
including RAPTIVA(r) (efalizumab) for chronic moderate to severe plaque
psoriasis, LUCENTIS(r) (ranibizumab injection) for wet age-related macular
degeneration and CIMZIA(r) (certolizumab pegol) for Crohn's
disease.
The
company has a premier antibody discovery and development platform that
incorporates leading antibody phage display libraries and XOMA's proprietary
Human Engineering(tm) and bacterial cell expression and manufacturing
technologies. Bacterial cell expression (BCE) is a key breakthrough
biotechnology for the discovery and manufacturing of antibodies and other
proteins. As a result, more than 50 pharmaceutical and biotechnology companies
have signed BCE licenses.
In
addition to developing its own products, XOMA develops products with premier
pharmaceutical companies including Novartis AG, Schering-Plough Research
Institute and Takeda Pharmaceutical Company Limited. XOMA has a fully integrated
product development infrastructure, extending from pre-clinical science to
approval, and a team of 200 employees at its Berkeley location. For more
information, please visit http://www.xoma.com.
Certain
statements contained herein concerning anticipated revenues and cash balances or
that otherwise relate to future periods are forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. These statements are based on assumptions that
may not prove accurate. Actual results could differ materially from those
anticipated due to certain risks inherent in the biotechnology industry and for
companies engaged in the development of new products in a regulated market.
Among other things, anticipated revenues may be lower than expected due to lower
than expected sales of approved products, and cash balances may be other than
expected due to unanticipated expenditures relating to changes in XOMA's
research and development programs or other businesses. These and other risks,
including those related to the results of discovery and pre-clinical testing;
the timing or results of pending and future clinical trials (including the
design and progress of clinical trials; safety and efficacy of the products
being tested; action, inaction or delay by the FDA, European or other regulators
or their advisory bodies; and analysis or interpretation by, or submission to,
these entities or others of scientific data); changes in the status of existing
collaborative relationships; the ability of collaborators and other partners to
meet their obligations; XOMA's ability to meet the demands of the United States
government agency with which it has entered into its government contracts;
competition; market demands for products; scale-up and marketing capabilities;
availability of additional licensing or collaboration opportunities;
international operations; share price volatility; XOMA's financing needs and
opportunities; uncertainties regarding the status of biotechnology patents;
uncertainties as to the costs of protecting intellectual property; and risks
associated with XOMA's status as a Bermuda company, are described in more detail
in XOMA's most recent filing on Form 10-K and in other SEC filings. Consider
such risks carefully when considering XOMA's prospects.
This news
release was distributed by GlobeNewswire, www.globenewswire.com
SOURCE:
XOMA Ltd.