Press Releases
Flamel Announces Shareholder Approval of $12.8 Million Private Placement and Election of Three New Board Members
Lyon, France, March 23, 2000 – Flamel Technologies (Nasdaq: FLML) announced today that its shareholders approved the company’s $12.8 million private placement of its securities during a special shareholder’s meeting held today in Lyon, France. In addition, the company announced that it has elected three new members to its board of directors.
In accordance with French law, the financing, which was originally announced in a press release on March 1, has been approved by the company’s General Assembly. The closing of the private placement is expected to occur at the end of the month. Flamel expects to use the proceeds of the private placement to fund its research and development activities. Investors who participated in the private placement include Biotechnology Value Fund, Alta BioPharma Partners and Chase Capital Partners.
Flamel has elected Jean-Noel Treilles, André Ulmann and W. George Meredith to its board of directors. This brings the total number of members of Flamel’s board to five. These individuals are replacing seats vacated by a representative of Financière Gaz et Eaux and two representatives of Warburg Pincus. Ms. Janik Blouin, a sixth director, has indicated her intention to resign effective as of March 31, 2000 to pursue other business interests.
Jean-Noel Treilles has been the President of the Ethical division of E.Merck (the German based company) since 1999. Prior to this position, he served as Chairman and Chief Executive Officer of the Merck-Lipha France, and Chairman and Chief Executive Officer of LIPHA. André Ulmann has been the President and Chief Executive Officer of Laboratoire HRA Pharma (a French start-up pharmaceutical company) since 1996. Prior to his position with Laboratoire HRA Pharma Dr. Ulmann was the Head of Therapeutic Domain Bone Diseases with Hoechst-Marion-Roussel. W. George Meredith is the retired Executive Vice President of 3M's Life Sciences Sector and was a member of 3M’s board of directors. Mr. Meredith was employed by 3M from 1967 to 1999.
"We are delighted to announce the shareholder approval of our financing which we now intend to close shortly. This financing will greatly enhance our cash position. We are also very pleased to reinforce our board’s expertise with the addition of Mr. Treilles, Dr. Ulmann and Mr. Meredith," commented Dr. Gérard Soula, President and CEO of Flamel. "These individuals bring a breadth of experience in the development and manufacture of pharmaceutical products and can help build the future of Flamel. I am confident they will significantly contribute to the company’s success as we move forward with developing and commercializing our technologies."
Flamel Technologies S.A. is principally engaged in the development of advanced polymer technologies for unique medicinal applications. To meet important medical needs and develop commercially valuable products, the company is building on its primary technology platforms: the Medusa® system for the controlled peritoneal delivery of proteins and peptides, and the Micropump® system for the controlled delivery of certain oral drugs.
Micropump® and Medusa® are registered trademarks of Flamel Technologies.
This document contains a number of matters, particularly as related to the status of various research projects and technology platforms, that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The presentation reflects the current view of management with respect to future events and is subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements. These risks include risks that products in the development stage may not achieve scientific objectives or milestones or meet stringent regulatory requirements, uncertainties regarding market acceptance of products in development, the impact of competitive products and pricing, and the risks associated with Flamel’s reliance on outside parties and key strategic alliances. These and other risks are described more fully in Flamel’s Annual Report on the Securities and Exchange Commission Form 20-F for the year ended December 31, 1998.
