-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, OL1kSII0LnWBpS/ZvmWCsm6EEOFCeVbR+oYXyMu9hHXOvda65jN8YtLVuyaYmynA MOyrHq0SkLKHWrgQg9+mug== 0000891618-01-500882.txt : 20010524 0000891618-01-500882.hdr.sgml : 20010524 ACCESSION NUMBER: 0000891618-01-500882 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20010523 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 20010523 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CONNETICS CORP CENTRAL INDEX KEY: 0001004960 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 943173928 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 000-27406 FILM NUMBER: 1646756 BUSINESS ADDRESS: STREET 1: 3400 W BAYSHORE RD CITY: PALO ALTO STATE: CA ZIP: 94303 BUSINESS PHONE: 4158432800 MAIL ADDRESS: STREET 1: 3400 W BAYSHORE RD CITY: PALO ALTO STATE: CA ZIP: 94303 FORMER COMPANY: FORMER CONFORMED NAME: CONNECTIVE THERAPEUTICS INC DATE OF NAME CHANGE: 19951214 8-K 1 f72970e8-k.txt FORM 8-K 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 May 23, 2001 -------------------------- (Date of earliest event reported) CONNETICS CORPORATION ----------------------------------------------- (Exact name of Registrant as specified in its charter) Delaware 0-27406 94-3173928 --------------- ----------------------- --------------------- (State or Other Jurisdiction (Commission File No.) (IRS Employer Identification No.) of Incorporation)
3400 West Bayshore Road, Palo Alto, California 94303 (Address of principal executive offices, including zip code) (650) 843-2800 ------------------------------------------------------- (Registrant's telephone number, including area code) 2 Item 5. Other Events. On May 23, 2001, Connetics Corporation announced that it has taken another step to focus all of its resources on growing its dermatology business. In connection therewith, Connetics will pursue a license or other strategic alternative for its relaxin program and is reducing its investment in the development of relaxin in favor of focusing the company's resources on expanding its dermatology business. Connetics will reduce its work force from 182 people to 155 people by eliminating positions related to relaxin. A copy of the press release relating to this announcement is attached hereto as Exhibit 99.1 and is incorporated into this report by reference. Item 7. Financial Statements, Pro Forma Financial Information and Exhibits. (c) Exhibits. 99.1 Press Release dated May 23, 2001. 2 3 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. CONNETICS CORPORATION By: /s/ John L. Higgins ------------------------------------------ John L. Higgins Executive Vice President, Finance and Administration and Chief Financial Officer Date: May 23, 2001 3 4 EXHIBIT INDEX 99.1 Press Release dated May 23, 2001.
4 EX-99.1 2 f72970ex99-1.txt EXHIBIT 99.1 1 EXHIBIT 99.1 Press Contacts: John L. Higgins Chief Financial Officer 650-843-2800 jhiggins@connetics.com CONNETICS ANNOUNCES PLANS TO INCREASE FOCUS ON DERMATOLOGY MARKET -- COMPANY WILL SEEK LICENSEE FOR RELAXIN PROGRAM -- PALO ALTO, CA -- MAY 23, 2001 -- Connetics Corporation (Nasdaq: CNCT) today announced that it has taken another significant step to focus all of its resources on aggressively growing its dermatology business. In the last three months, Connetics has acquired Soltec Research, divested Ridaura(R) and expanded its dermatology sales force. Connetics will pursue a license or other strategic alternative for its relaxin program and is reducing its investment in the development of relaxin in favor of focusing its resources on expanding its dermatology business. Connetics will reduce its work force from 182 people to 155 people by eliminating positions related to relaxin. "We believe our dermatology business has significant potential. Our product pipeline is expanding, and we project continued strong revenue growth. Given the progress building our dermatology business, we determined that we can bring the most value to our stockholders by focusing exclusively on dermatology," said Thomas G. Wiggans, President and Chief Executive Officer of Connetics. "Relaxin's biological activities suggest it could have significant potential as a therapeutic. However, given the costs and time required to develop relaxin, we have determined that it is incompatible with our dermatology business and financial objectives to continue to develop relaxin alone. We will free up financial resources and focus exclusively on building our dermatology business. Connetics is highly committed to serving the dermatology community and to building the leading, independent dermatology company." In the last six months, Connetics has had several important events in its dermatology business: - - Launched OLUX(R), Connetics' second dermatology product - - Acquired Soltec, a company focused on developing innovative topical delivery systems - - Expanded its sales force from 41 to 68 persons - - Added an anti-fungal product to the 2001 clinical development pipeline - - Added Glenn Oclassen, a prominent dermatology businessman, to Connetics' Board of Directors 2 Connetics expects to build its business by focusing on growing product revenues, aggressively developing new products, pursuing innovation with topical drug delivery and by providing the best customer service possible to dermatologists and the patients that use our products. Connetics currently has two products on the market Luxiq(R) and OLUX(R). The United States market for prescription dermatology products exceeded $3.5 billion in 2000. Connetics' sales force calls on approximately 95% of the dermatologists based in the United States. Relaxin is a naturally occurring hormone with several distinct biological activities including vasodilation, angiogenesis, and inhibition of fibrosis. The hormone is thought to be responsible for many cardiovascular changes that occur during pregnancy, including increased blood flow, which is due to an increase in the number of vessels (angiogenesis) and an expansion in the diameter of vessels (dilation). The site-specific angiogenic effects are mediated by local upregulation of bFGF and VEGF by relaxin, and the vasodilatory effects are thought to be mediated by inhibiting the constrictive effects of angiotensin and endothelin. Connetics currently holds a FDA approved IND for a Phase II trial in peripherial arterial disease to explore relaxin angiogenic potential. CONFERENCE CALL Connetics will hold a conference call to discuss this release at 4:45 p.m. EDT, 1:45 p.m. PDT on Wednesday, May 23, 2001. Interested investors and others may listen to the call either live by dialing 1-800-255-2466, access code 18965243 or on a replay basis by dialing 1-800-633-8284, access code 18965243. The replay will be available starting May 23, 2001 at 7:00 p.m. EDT, 4:00 p.m. PDT, and will run through 7:00 p.m. EDT, 4:00 p.m. PDT on June 6, 2001. ABOUT CONNETICS Connetics is an independent pharmaceutical company focused on the development and commercialization of innovative therapeutics for the dermatology market. The Company's products include Luxiq(R) (betamethasone valerate) Foam, 0.12% and OLUX(R) (clobetasol propionate) Foam, 0.05%. For more information about Connetics and its products, please visit Connetics' Web Site www.connetics.com, or send an e-mail to ir@connetics.com. This news release contains forward-looking statements and predictions with respect to future product revenues, sales growth, the introduction of new products into the market, and the development of programs in our dermatology pipeline. These statements represent our judgment as of the date of this news release and are subject to risks and uncertainties that could cause actual results or events to differ materially from those expressed in such forward-looking statements. In particular, we face risks and uncertainties that doctors may not prescribe our products in the amounts anticipated, that patients may not accept our products as readily as anticipated, and that development of product candidates in our pipeline may not succeed or that clinical trials may not go forward as planned. The actual results could differ materially from those contained in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to risks and other factors that are discussed in documents filed by Connetics with the Securities and Exchange Commission from time to time, including Connetics' most recently filed Annual Report on Form 10-K and Quarterly Report on Form 10-Q. -----END PRIVACY-ENHANCED MESSAGE-----