WINNIPEG, Manitoba - (August 27, 2003) - Medicure
Inc. (TSX:MPH), a cardiovascular drug discovery and development
company, today reported the results of operations for the fiscal
year ended May 31, 2003. All amounts referenced herein are in Canadian
dollars unless otherwise noted.
For the year ended May 31, 2003, Medicure recorded a net loss of
$4,194,000 or $0.11 per share, compared to a net loss of $3,875,000
or $0.14 per share for the year ended May 31, 2002. The increased
loss was mainly attributable to the Company's clinical development
program and the increased business development activity required
to support the program.
Research and Development expenditures increased marginally to $3,118,000,
as compared to $3,104,000 for fiscal 2002, and represented 70% of
the Company's total expenditures in fiscal 2003. A significant portion
of the expenditures in fiscal 2003 were attributed to the Phase
II trial, MEND-1, managed by Duke Clinical Research Institute, which
showed that the Company's lead product, MC-1, reduces ischemic heart
damage following angioplasty.
In addition, the Company enhanced its Research and Development
capabilities with the expansion of its research team, and a rise
in screening and preclinical testing of compounds brought forward
by the Company's drug discovery program. The Company's scientific
developments led to the announcement in June 2003 of a second clinical
candidate, MC-4232 for use in the treatment of hypertension.
Medicure expects that Research and Development expenditures for
fiscal 2004 to be higher than fiscal 2003 with a significant portion
of the increase attributed to the Phase II Coronary Artery Bypass
Graft (CABG) trial of MC-1, and the Phase II Hypertension trial
involving MC-4232.
As at May 31, 2003, the Company had cash and cash equivalents totaling
$4,131,000 compared with $8,341,000 at the previous year-end. During
fiscal 2003, the Company did not perform any private or public financings.
Subsequent to May 31, 2003, the Company bolstered its cash position
by raising gross proceeds of $7,648,000 (before share issuance costs
of $606,000) through a private placement of 8,997,632 common shares
of the Company at $0.85 per share. The financing increased the Company's
cash and cash equivalents to $10,739,000 as at June 30, 2003.
"As a result of this financing, the Company now is in a strong
and favourable cash position, allowing us to fund the forthcoming
Phase II trials, as well as fund operations until the end of fiscal
2005," stated Derek Reimer, CA, Medicure's Chief Financial
Officer.
2003 HIGHLIGHTS
- In January, the Company announced positive results with treatment
of its lead compound, MC-1, from its MEND-1 phase II clinical
trial. A multi-centre, control blinded study, MEND-1 evaluated
the cardioprotective effect of MC-1 in mitigating damage caused
by ischemia and ischemic reperfusion injury in 60 high-risk cardiovascular
patients undergoing angioplasty procedure. Primary and secondary
endpoints of the trial were met and results exceeded expectations
of both the Company and the principal investigators;
- Results from Medicure's MEND-1 Phase II clinical trial were
presented by Duke Clinical Research Institute at a special Satellite
Symposium in connection with the 52nd Annual Scientific Sessions
of the American College of Cardiology conference in Chicago, Illinois;
- Medicure received FDA clearance to initiate a Phase II/III trial
of its newest drug candidate, MC-4232 in the treatment of hypertension.;
- The Company entered into a collaborative agreement with Dr.
Stephen Hanessian of the University of Montreal, in the synthesis
of novel sodium/hydrogen exchanger inhibitors (NHE-1 inhibitors)
for use as cardioprotective therapeutics;
- The US Patent and Trademark Office issued three new patents
and three Notices of Allowance to Medicure protecting the composition
of several of the Company's new chemical entities.
"During fiscal 2003, we made significant strides and advancements
toward achieving our goal of becoming a world class biotechnology
company developing effective therapeutics for unmet cardiovascular
needs," stated Albert D. Friesen, PhD, Medicure President and
Chief Executive Officer. "We will continue to assemble and
strengthen the elements necessary - both human and scientific -
to build upon the successes we achieved in fiscal 2003."
General and administration expenses totaled $1,284,000 for the
year ended May 31, 2003, as compared to $950,000 for the year ended
May 31, 2002. The increased spending in fiscal 2003 as compared
to fiscal 2002 was primarily attributable to the internal growth
required to support the Company's increasing business development
and investor relations activities. These activities were primarily
associated with increasing the awareness of the Company's clinical
trial results in both the medical and investment communities in
North America and Europe. The Company also incurred stock-based
compensation expenses of $105,000 in fiscal 2003 as compared to
nil in fiscal 2002; this is a result of adopting new accounting
standards in fiscal 2003 related to measurement of compensation
associated with stock options granted by the Company to non-employees.
Interest and other income for fiscal 2003 totaled $241,000 as compared
to $184,000 for fiscal 2002. Interest income was higher in fiscal
2003 primarily due to a larger average cash and cash equivalents
balance, which resulted from equity offerings in fiscal 2002 that
raised net proceeds of $9,004,000. Throughout fiscal 2003 and fiscal
2002, management invested funds in short-term investments.
VIEW FINANCIAL TABLES
(PDF)
About Medicure
Inc.
Medicure
Inc. is a cardiovascular drug discovery and development
Company focused on developing effective therapeutics for unmet needs
in the field of cardiovascular medicine. The Company's lead drug,
MC-1, is focused on the prevention and treatment of ischemia, ischemic
reperfusion injury, and stroke. The cardiovascular and stroke market
is the largest pharmaceutical sector with annual global sales of
over US $70 billion. In the United States alone, more than 7 million
people suffer some form of Acute Myocardial Infarction (heart attack)
annually, 6.2 million suffer from angina and 1.6 million undergo
bypass surgery or angioplasty procedure.
The Company's second product candidate, MC-4232, is being targeted
for the treatment of hypertension, a common disorder in which blood
pressure remains abnormally high. Approximately 73% of the more
than 50 million adult Americans who have hypertension, are not adequately
treated.
Medicure also has a medicinal chemistry based Drug Discovery program
focused on discovery and advancement of novel small molecules, anti-ischemics
and anti-thrombotics towards human clinical studies.
This news release
contains forward-looking statements that involve risks, which may
cause actual results to differ materially from the statements made,
and accordingly may be deemed to be forward-looking statements made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. The forward-looking statements are
made as of the date hereof, and the Company disclaims any intention
and has no obligation or responsibility to update or revise any
forward-looking statements, whether as a result of new information,
future events, or otherwise.
For more information, please contact:
Derek Reimer
Chief Financial Officer
Don Bain
Director of Investor & Public Relations
