VANCOUVER, July 4, 2019 /CNW/ - Sirona Biochem Corp. (TSX-V: SBM) (FSE: ZSB) ("Sirona") is pleased to provide a corporate update from the Company's CEO, Dr. Howard Verrico, regarding its plans both near and long term in the following Q&A format. The questions, for the most part, are derived from inquiries received from investors:
Why are the details limited on the clinical trial update from Wanbang?
The pharmaceutical industry is highly competitive. Information on clinical development programs can be used strategically by other companies. Wanbang's team has shared all details of their program with us and we are very pleased with the progress and dedication to the program. In good faith, they have agreed to allow us to share the update in a news release. This is not to their advantage and reflects their understanding that our shareholders appreciate the opportunity to be brought up to date. Rest assured, Wanbang is moving efficiently with a comprehensive plan towards full CFDA approval of Wanpagliflozin (TFC-039) to provide a leading treatment option in China, the world's largest population of diabetic patients1.
How significant is the clinical stage of development?
Many drug development programs never reach clinical trials. In fact, many biotech companies are unsuccessful at progressing any project to the clinical trial stage. Sirona has had two projects reach clinical trials, both TFC-039 and TFC-1067. We believe we will succeed in bringing more projects to this stage utilizing our innovative platform technology. We are confident that full commercialization will be completed on both projects. This is a direct result of a highly predictable biological response to changes made to molecules using our platform technology and expertise.
How is Sirona's relationship with Wanbang?
Sirona has an excellent working relationship with Wanbang. We have been working hard to grow this relationship. Mr. D. Billings, our consultant in China, has made many trips to meet with the management of Wanbang in recent months which helps tremendously to continually improve our communications. We are now better able to explore further exciting opportunities in working together.
Who is Mr. D. Billings?
Mr. Billings, a Canadian, was introduced by PRC Partners and became Sirona's consultant in China. He has 17 years of experience representing Canadian companies in China and has established multiple successful partnerships. He has the expertise to bridge cultural and business practice differences and build strong successful partnerships.
Several months ago, Sirona was approached by a company to test TFC-039 as a drug for treating diabetes in cats and dogs. Also, what about the possibility of licensing TFC-039 beyond China for the treatment of diabetes in humans? Is Sirona able to further commercialize TFC-039?
We are actively working on a partnership with a global corporation that will be of great value to Sirona. Again, we are restricted to what we are able to disclose at this time. We can say that the probability of completing a definitive agreement is high. This project involves TFC-039. We will release details as soon as possible.
Will Sirona be able to complete a definitive agreement with Rodan + Fields regarding TFC-1067?
I see no obstacles. The process is proceeding smoothly.
Will Sirona be establishing more partnerships for TFC-1067?
Yes, multiple partnerships are anticipated. As we complete commercialization of TFC-1067 and obtain the necessary regulatory approvals, more companies will want to incorporate TFC-1067 into their product lines. We are actively in communication with several companies at this time. This will be an ongoing process as we are working in a global market consisting of multiple territories and sales channels.
What's next in new projects?
We still have work to do on our anti-aging, anti-wrinkle, and keloid therapies. Our scientists also dedicate time to explore new opportunities. Currently, there are four more that I find exciting. To protect the IP prior to patent applications, we must keep these projects confidential at this point in time but I will talk about them as soon as appropriate.
Are further equity financings pending?
A strategic financing may occur to position specific investors, but we are not in a rush. Fortunately, the current share price allows much improved terms for Sirona. There is no equity financing planned or available for the current pool of investors. Moreover, many outstanding warrants are in the money, which is another source of growth capital. Nevertheless, we are planning a non-deal roadshow in the fall in North America as well as Europe to attract institutional investors.
Would Sirona consider listing on other senior stock exchanges?
Yes. As our market cap grows and financial balance sheet strengthens, listing Sirona on other international exchanges could become a benefit to shareholders and the growth of the company. We must do this from a position of strength. That time is approaching.
Are you considering a change in share structure?
There is no roll-back planned or anticipated. I value our shareholders and am not in favour of a roll-back that may erode shareholder value. As a major shareholder, I am biased in this regard. Listing on another senior exchange could be an exception where the share structure may require a change. There will be consideration to the possibility of turning Sirona into two companies. Sirona could be divided into a therapeutic and a skin care company to unlock further shareholder value and accelerate overall growth.
Are there future Board changes anticipated?
As we grow as a company our Board may need change in the future. Currently, I am very pleased with the support our current board provides Sirona. Jason Tian's acceptance to our Board of Directors was a tremendous addition of much needed talent to assist Sirona in new Asian markets. Over time additional board members will be needed and we are continually exploring strategic options.
When will you implement a Shareholders Rights Plan ("Poison Pill")?
Legal counsel for Sirona is currently working on putting a Shareholders Rights Plan in place. We have made it a high priority to protect our shareholders.
Shareholders appreciate the constant flow of news for the last couple of months, but will this continue?
There are many exciting things happening in the company, so yes, I will make a best effort to maintain frequent communications to keep our investors informed of our progress.
Thanks to the unprecedented support of our shareholders, we have been able to greatly improve our financial balance sheet and can drive growth. We will also be able to grow through partnerships and collaborations. 2019 is shaping up to be a pivotal year for Sirona. We envision 2020 and beyond to be even better.
About Sirona Biochem Corp.
Sirona Biochem is a cosmetic ingredient and drug discovery company with a proprietary platform technology. Sirona specializes in stabilizing carbohydrate molecules with the goal of improving efficacy and safety. New compounds are patented for maximum revenue potential.
Sirona's compounds are licensed to leading companies around the world in return for licensing fees, milestone fees and ongoing royalty payments. Sirona's laboratory, TFChem, is located in France and is the recipient of multiple French national scientific awards and European Union and French government grants. For more information, please visit www.sironabiochem.com.
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Sirona Biochem cautions you that statements included in this press release that are not a description of historical facts may be forward-looking statements. Forward-looking statements are only predictions based upon current expectations and involve known and unknown risks and uncertainties. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of release of the relevant information, unless explicitly stated otherwise. Actual results, performance or achievement could differ materially from those expressed in, or implied by, Sirona Biochem's forward-looking statements due to the risks and uncertainties inherent in Sirona Biochem's business including, without limitation, statements about: the progress and timing of its clinical trials; difficulties or delays in development, testing, obtaining regulatory approval, producing and marketing its products; unexpected adverse side effects or inadequate therapeutic efficacy of its products that could delay or prevent product development or commercialization; the scope and validity of patent protection for its products; competition from other pharmaceutical or biotechnology companies; and its ability to obtain additional financing to support its operations. Sirona Biochem does not assume any obligation to update any forward-looking statements except as required by law.
1 IDF Diabetes Atlas Eighth Edition 2017 https://www.sironabiochem.com/wp-content/uploads/2019/06/SBM-FS-QTR-ENDED-Q2-2019.pdf
SOURCE Sirona Biochem Corp.