Press Release
NeurogesX Raises $20 Million in Private Equity Financing
Proceeds to Fund U.S. Pivotal Clinical Trials and Planned European FilingSan Carlos, Calif. - December 1, 2005
NeurogesX, Inc., a privately held specialty pharmaceutical company focused on the development and commercialization of novel treatments for relief of neuropathic pain, today announced that it has completed a $20 million private equity financing. The company believes that proceeds from this financing will be sufficient to complete its current U.S. pivotal clinical program and to support its European marketing application for Transacin™, NeurogesX’s proprietary dermal patch for the treatment of neuropathic pain. NeurogesX plans to submit a marketing application for Transacin in the European Union in the second half of 2006, and expects to file new drug applications (NDAs) with the U.S. Food and Drug Administration (FDA) for PHN and HIV-AN in mid-2007.
Participants in this financing included international investors MC Life Science Ventures, a subsidiary of Mitsubishi Corporation and Mitsubishi International Corporation, MunMun International LTD, and Saudi Venture Development Company, as well as NeurogesX's existing investors ARCH Venture Partners, Alta Partners, Montreux Equity Partners, Global LifeScience Ventures, and Walden International Venture Partners. With the completion of this financing, the company has raised a total of approximately $85 million since its first equity financing in June 2000.
"This financing enables us to complete our clinical development programs for Transacin in both postherpetic neuralgia (PHN) and HIV-associated neuropathy (HIV-AN)," said Anthony DiTonno, NeurogesX president and CEO. "We are also excited about strengthening our international investor base and expect to leverage these relationships in furthering our worldwide partnering efforts as Transacin nears commercial launch."
"We are very impressed with NeurogesX's clinical development successes with Transacin to date," said Motoatsu Sakurai, Mitsubishi International Corporation CEO. "Pain is a notoriously difficult area with which to achieve clinical success. NeurogesX has developed a compelling clinical program that we believe will lead to the introduction of a novel product to address large unmet medical needs in the neuropathic pain market."
About Transacin
Transacin is a neuropathic pain treatment that is clinically administered via a dermal patch. Transacin has a profile unlike currently available neuropathic pain treatment options, which are associated with systemic side effects and inconvenient dosing regimens. The company has studied the effects of Transacin in more than 500 patients suffering from PHN and approximately 100 with painful diabetic neuropathy (PDN) with no reported significant safety issues to date.
NeurogesX is currently conducting a pivotal trial with Transacin for the treatment of PHN and plans to initiate a second pivotal trial in PHN in early 2006. In HIV-AN, NeurogesX announced in May 2005 results of a Phase 3 clinical trial in which it had achieved statistical significance in the primary endpoint of pain reduction compared to baseline. The company plans to initiate a confirmatory Phase 3 trial in HIV-AN in early 2006. Transacin has been granted orphan drug and fast track status for HIV-AN by the FDA.
About NeurogesX
NeurogesX is a privately held specialty pharmaceutical company focused on the development of novel treatments for the management of neuropathic pain and improving quality of life using advanced neuroscience insights and innovative delivery technologies. The company's initial products are focused on the treatment of chronic pain in the areas of postherpetic neuralgia (PHN), painful HIV-associated sensory neuropathy (HIV-AN) and painful diabetic neuropathy (PDN). Additional information about NeurogesX can be found at www.neurogesx.com.
Contacts:
Anthony A. DiTonno
CEO and President
NeurogesX, Inc.
aditonno@neurogesx.com
650-508-2116
Stephen F Ghiglieri
CFO
NeurogesX, Inc.
sghiglieri@neurogesx.com
650-508-2116
Jody Cain
Lippert/Heilshorn & Associates
jcain@lhai.com
310-691-7100
Brandi Floberg
Lippert/Heilshorn & Associates
bfloberg@lhai.com
310-691-7100