AEGiS-PRn: Cell Genesys Receives $20 Million Equity Investment from Hoechst Marion Roussel PRNewswireImportant note: Information in this article was accurate in 1995. The state of the art may have changed since the publication date.
Click here to return to PRNewswire main menu
DonateNow


Cell Genesys Receives $20 Million Equity Investment from Hoechst Marion Roussel

PR Newswire - November 28, 1995


FOSTER CITY, Calif., Nov. 28 /PRNewswire/ -- Cell Genesys, Inc. (Nasdaq: CEGE) announced today that the waiting period under the Hart-Scott-Rodino Act related to the company's collaboration with Hoechst Marion Roussel (HMR) for its AIDS gene therapy program, has expired without action by the Federal Trade Commission or the Department of Justice. As a result, Cell Genesys has received $20 million from HMR for the purchase of two million shares of Cell Genesys common stock at $10 per share. Hoechst Marion Roussel is the worldwide pharmaceutical division of Hoechst AG of Frankfurt, Germany, recently formed after the acquisition by Hoechst AG of Marion Merrell Dow Inc.

Including the $20 million equity investment, Cell Genesys has received more than half of the approximately $50 million committed during the first two years of the collaboration announced last month. Based on research and development progress, Cell Genesys could also receive more than $100 million in additional funding for product development during the next five years. HMR also has been granted a redeemable warrant for the purchase of 750,000 shares of Cell Genesys common stock for approximately $10 million at $13.00 per share. Under the agreement, Cell Genesys will conduct the research, lead product development in North America and provide worldwide manufacturing services for its AIDS gene therapy program. HMR has worldwide marketing rights while Cell Genesys retains a co-promotion option in North America.

Cell Genesys is developing a novel gene therapy for AIDS that utilizes genetically modified T cells as a therapeutic agent to treat patients infected with HIV, the virus which causes AIDS. Killer T cells are genetically engineered with proprietary disease-specific receptors that enable these T cells to efficiently and selectively destroy HIV-infected cells. Cell Genesys is currently conducting a Phase I/II clinical trial of this therapy at the National Institute of Allergy and Infectious Diseases. Enrollment of patients in the Phase I portion of this trial has been completed and the Phase II portion of the trial has been initiated. Cell Genesys is also developing similar gene therapies for the treatment of specific cancers, including breast, colon, lung and prostate.

Hoechst Marion Roussel, a world leader in pharmaceutical-based health care, is dedicated to extending and enhancing human life through the discovery, development, manufacture and sale of pharmaceutical products. HMR is the worldwide pharmaceutical division of Hoechst AG with over $9 billion in revenues and sales in over 100 countries, and was recently formed following the acquisition by Hoechst AG of Marion Merrell Dow Inc.

Cell Genesys is genetically engineering cells of the human immune system to create innovative therapies for serious diseases. Using gene therapy technology to produce human T cell therapies and transgenic technology to produce human monoclonal antibodies, the company is developing new approaches to the treatment of viral infection, cancer and other diseases.

CONTACT: Kathleen Sereda Glaub, Senior Vice President and Chief Financial Officer of Cell Genesys, 415-358-9600, ext. 242/ 14:01 EST

Copyright (c) 1995/PR NewsWire. Reproduced with permission. Reproduction of this article (other than one copy for personal reference) must be cleared through the Permissions Desk, PR Newswire, 810 Seventh Avenue, New York, NY 10019.
951128
PR951147


Copyright © 1995 - PRNewswire. All rights reserved. Reproduced with permission. Reproduction of this article (other than one copy for personal reference) must be cleared through PRNewswire, Permissions, 810 Seventh Ave., 32nd Floor, New York, NY 10019  http://www.prnewswire.com.

AEGiS is a 501(c)3, not-for-profit, tax-exempt, educational corporation. AEGiS is made possible through unrestricted funding from Broadway Cares/Equity Fights AIDS, Elton John AIDS Foundation, National Library of Medicine, and donations from users like you.

Always watch for outdated information. This article first appeared in 1995. This material is designed to support, not replace, the relationship that exists between you and your doctor.

AEGiS presents published material, reprinted with permission and neither endorses nor opposes any material. All information contained on this website, including information relating to health conditions, products, and treatments, is for informational purposes only. It is often presented in summary or aggregate form. It is not meant to be a substitute for the advice provided by your own physician or other medical professionals. Always discuss treatment options with a doctor who specializes in treating HIV.

Copyright ©1980, 1995. AEGiS. All materials appearing on AEGiS are protected by copyright as a collective work or compilation under U.S. copyright and other laws and are the property of AEGiS, or the party credited as the provider of the content. .