SOUTH SAN FRANCISCO, Calif.,
Sept. 14, 2020 /PRNewswire/
-- Titan Pharmaceuticals, Inc. (NASDAQ: TTNP) ("Titan" or the
"Company") today provided an update on the upcoming special meeting
of stockholders (the "Meeting") in response to recent stockholder
inquiries regarding the number of meeting adjournments. The sole
purpose of the Meeting is to seek approval of a proposal to amend
Titan's certificate of incorporation to increase the number of
authorized shares of common stock.
Without approval of the share increase, the several strategic
alternatives management has been exploring with the Company's
bankers will not be possible. The failure to obtain stockholder
approval will almost certainly result in the cessation of Titan's
operations and likely a total loss of value to stockholders, given
the pledge of all of the Company's assets as security for its
outstanding debt.
The goal of Titan's Board of Directors is to enable as many
stockholders as possible to exercise their right to vote. In
contrast to many other types of proposals, the amendment to effect
the share increase requires a higher hurdle – the affirmative votes
from a majority of the outstanding shares entitled to vote.
Since Titan has a large retail stockholder base, this task
poses greater challenges than in the past. Importantly, some of the
newer, popular brokerage firms do not exercise their permitted
discretion to vote shares held in their accounts without explicit
direction from the beneficial holder, and companies such as Titan
are finding it quite difficult and time consuming to reach
individual investors who hold shares in street name.
Prior to each meeting adjournment, the Board examined the voting
data and determined, in light of the fact that a substantial
majority of votes received to date have been in favor of the
proposal, that it would be in the best interest of stockholders to
extend the date of the meeting, particularly in light of the stakes
involved. As of the close of business on September 11, 2020, approximately 30.7 million
shares (28.3% of the record date shares) had not yet been voted. Of
those shares that were voted, approximately 72% were in favor of
the amendment proposal. The affirmative vote of holders of only
1,251,207 shares (less than 1.5% of the record date shares) are now
needed to file the amendment and effect the authorized share
increase.
"I and my fellow Board members would like to thank those
stockholders who have already voted in favor of the proposal, which
if approved should enable the continuation of Titan's operations by
facilitating the raising of capital as well as the pursuit of
strategic alternatives," said Titan's Executive Chairman, Dr.
Marc Rubin. "And, to those who have
not yet voted, we implore you to do so now."
About Titan Pharmaceuticals
Titan Pharmaceuticals, Inc. (NASDAQ:TTNP), based in South San Francisco, CA, is a commercial stage
company developing proprietary therapeutics with its
ProNeura® long-term, continuous drug delivery technology.
The Company's lead product is Probuphine® (buprenorphine) implant,
a novel and long-acting formulation of buprenorphine for the
long-term maintenance treatment of opioid dependence. Approved by
the U.S. Food and Drug Administration in May
2016, Probuphine is the first and only commercialized
treatment of opioid dependence to provide continuous,
around-the-clock blood levels of buprenorphine for six months
following a single procedure. The ProNeura technology also has the
potential to be used in developing products for treating other
chronic conditions such as Parkinson's disease and hypothyroidism,
where maintaining consistent, around-the-clock blood levels of
medication may benefit the patient and improve medical outcomes.
For more information about Titan, please visit
www.titanpharm.com.
Forward-Looking Statements
This press release may contain "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. Such statements
include, but are not limited to, any statements relating to our
product development programs and any other statements that are not
historical facts. Such statements involve risks and uncertainties
that could negatively affect our business, operating results,
financial condition and stock price. Factors that could cause
actual results to differ materially from management's current
expectations include those risks and uncertainties relating to the
commercialization of Probuphine; the regulatory approval process;
Titan's ability to access capital; the development, testing,
production and marketing of our drug candidates; patent and
intellectual property matters; and strategic agreements and
relationships. We expressly disclaim any obligation or
undertaking to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change
in our expectations or any changes in events, conditions or
circumstances on which any such statement is based, except as
required by law.
CONTACTS:
Sunil Bhonsle
President & CEO
(650) 244-4990
Stephen Kilmer
Investor Relations
(650) 989-2215
skilmer@titanpharm.com
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SOURCE Titan Pharmaceuticals, Inc.