Tokai Pharmaceuticals Announces Review of Strategic Alternatives
BOSTON--(BUSINESS WIRE)--Sep. 8, 2016-- Tokai Pharmaceuticals Inc. (NASDAQ: TKAI), a biopharmaceutical company focused on developing and commercializing innovative therapies for prostate cancer and other hormonally driven diseases, today announced that its Board of Directors has initiated a review of strategic alternatives for the company focused on maximizing stockholder value.
Potential strategic alternatives that may be explored or evaluated as part of this review include a sale of the company, a reverse merger, a business combination or a sale, license or other disposition of corporate assets of the company. There is no set timetable for this process and there can be no assurance that this process will result in any such transaction. In conjunction with this process, the company is continuing to assess the best path forward for its galeterone clinical trial program. The company now anticipates all patients enrolled in the ARMOR3-SV clinical trial will discontinue treatment by the end of the year.
As part of its review of strategic alternatives, Tokai has engaged Wedbush PacGrow as its financial advisor.
About Tokai Pharmaceuticals
Tokai Pharmaceuticals is a biopharmaceutical company focused on developing and commercializing innovative therapies for prostate cancer and other hormonally driven diseases. The company’s lead drug candidate, galeterone, is an oral small molecule that utilizes the mechanistic pathways of current second-generation hormonal therapies, while also introducing a unique third mechanism – androgen receptor degradation. Tokai is developing galeterone for the treatment of patients with metastatic castration-resistant prostate cancer. The company also has a cancer discovery program focused on compounds that potently and selectively degrade the androgen receptor. For more information on the company, please visit www.tokaipharmaceuticals.com.
About Wedbush Securities
Founded in 1955, Wedbush Securities is a leading investment firm that provides brokerage, clearing, investment banking, equity research, public finance, fixed income, sales and trading, and asset management to individual, institutional, and corporate clients. Headquartered in Los Angeles, with nearly 100 offices nationwide, the firm focuses on a dedication to quality service, client financial safety, continuity, and advanced technology. Wedbush Securities is the largest subsidiary of holding company WEDBUSH, Inc., which also includes affiliated firms Wedbush Asset Management, Wedbush Capital Partners, Wedbush Opportunity Partners, and Lime Brokerage, LLC.
Wedbush PacGrow specializes in numerous segments of the healthcare industry, including biopharma, medical technology, diagnostics, and life science tools companies at all stages of development. Focused on servicing the financial needs of public and private healthcare companies for over 25 years, Wedbush PacGrow maintains a full spectrum of capabilities, including public equity, PIPEs, ATMs, private equity, mergers & acquisitions, and strategic advisory.
Any statements in this press release about the company’s future expectations, plans and prospects, including statements about its strategy, future operations, development of its product candidates, the review of strategic alternatives and the outcome of such review and other statements containing the words “believes,” “anticipates,” “plans,” “expects,” “may,” and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: whether the company’s cash resources will be sufficient to fund its continuing operations for the period anticipated; whether, if it determines to move forward with the development of galeterone, necessary regulatory and ethics approvals to commence additional clinical trials for galeterone can be obtained and data from early clinical trials of galeterone will be indicative of the data that will be obtained from future clinical trials; whether the results of clinical trials will warrant submission for regulatory approval of galeterone, any such submission will receive approval from the United States Food and Drug Administration or equivalent foreign regulatory agencies and, if galeterone obtains such approval, it will be successfully distributed and marketed; and other factors discussed in the “Risk Factors” section of our quarterly report on Form 10-Q for the three months ended June 30, 2016 Any forward-looking statements contained in this press release speak only as of the date hereof and not of any future date, and the company expressly disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
Source: Tokai Pharmaceuticals Inc.
David Pitts/Maeve Conneighton, 212-600-1902
Ten Bridge Communications
Ann Stanesa, 617-230-0347