For Immediate Release
MAP PHARMACEUTICALS CLOSES $30 MILLION SERIES B FINANCING
Funds Support Clinical Development of Multiple Novel Inhalation Drug Products
September 7, 2004
MOUNTAIN VIEW, CA -- MAP Pharmaceuticals, Inc., a leading developer of novel inhaled drug products, today announced the closing of a $30 million Series B preferred stock financing with several top-tier biotechnology investors. Proceeds from this financing will be used primarily to advance the clinical development of the company's inhaled drug products for the treatment of asthma and migraine, as well as the Tempo™ Inhaler platform.
The financing was co-led by three investment firms: Pequot Ventures, the private equity arm of Pequot Capital Management, Inc., Bay City Capital and Skyline Ventures. The Perseus-Soros Biopharmaceutical Fund (PSBF), the founding investor in MAP, was also a significant investor in this round. With the closing of this financing, Patrick Enright of Pequot Capital Ventures, Carl Goldfischer of Bay City Capital, and John Freund of Skyline Ventures will join MAP's Board of Directors. Steve Elms and Anthony Sun of PSBF, Gerri Henwood, CEO of Auxilium Pharmaceuticals, Michael McCord of McCord Investments, and Thomas Armer, President and CSO of MAP, remain on the Board.
MAP Pharmaceuticals' lead product candidate, which is scheduled to enter Phase II clinical trials in fall 2004, is a novel nebulized form of budesonide, a steroid currently used to treat pediatric asthma. Preclinical and Phase I clinical data for MAP's unit dose budesonide (UDB) product demonstrate that the drug was delivered more than 20% faster than current inhaled therapeutics, with approximately one-third more drug consistently delivered to the lung. Current therapies require young children to endure up to 20-minute administrations, twice daily. MAP's UDB product offers the potential to improve the quality of life for these young patients and their families by providing shorter dosing sessions and more effective administration.
MAP is also developing the proprietary Tempo™ Inhaler. Tempo™ is a next-generation pressurized metered dose inhaler (pMDI) that has been shown to deliver drug to the lungs efficiently and consistently. MAP's Tempo™ platform combines the company's proprietary formulations with in-house drug delivery expertise to optimize the administration of high-value inhaled drugs. MAP's Tempo™ development portfolio includes drug candidates for the treatment of central nervous system (CNS) and lung disorders, including migraine and asthma. In addition to developing its own products, MAP is seeking corporate partnerships to expand the application of Tempo™ for inhaled drugs.
"We are delighted by this milestone transaction, which will enable us to advance the clinical development of MAP's drug products and help build the team and resources necessary to maximize our opportunities," said Thomas Armer. "The funds will also support our goal to partner Tempo™ with companies in need of a next generation inhalation delivery platform."
"The breadth and novelty of MAP Pharmaceuticals' respiratory portfolio are the key reasons we invested in MAP," said Patrick Enright, general partner from Pequot Capital Ventures. "We believe that MAP's nebulized budesonide, the Company's lead product, will bring substantial benefits to asthma patients, and achieve great success in the marketplace. In addition, the Tempo™ Inhaler has broad applicability for treatment of respiratory diseases and the precise, rapid administration of systemic drugs."
About MAP Pharmaceuticals, Inc.
MAP Pharmaceuticals, Inc. is a specialty pharmaceutical company developing innovative therapies and inhalation delivery platforms to treat a broad spectrum of respiratory and systemic diseases. MAP's lead product is a proprietary formulation of budesonide for the treatment of pediatric asthma. The Company is also developing a series of respiratory and inhaled systemic drugs based on its Tempo™ Inhaler platform, including a rapid-relief treatment for migraine. Tempo™ is a next generation breath-actuated pMDI that automatically adjusts to different inhalation maneuvers but is exceptionally easy to use, enhancing compliance. Tempo™ also features a novel aerosol flow controller that ensures efficient and consistent delivery of the drug to the lungs, while minimizing oral deposition.
MAP cautions you that statements included in this press release that are not a description of historical facts may be forward-looking statements. The inclusion of forward-looking statements should not be regarded as a representation by MAP that any of its plans will be achieved. Actual results may differ materially from those set forth in this release due to the risks and uncertainties inherent in MAP's business due to a number of factors, including: (i) we and our products face significant competition; (ii) if we do not successfully manage any growth we experience, we may experience increased expenses without corresponding revenue increases; (iii) we are dependent on third parties for supply of all the products we offer; (iv) unexpected adverse side effects or inadequate therapeutic efficacy of our products could delay or prevent product development or commercialization, or could result in recalls or product liability claims; and (v) we may not be able to identify appropriate acquisition, licensing, or co-promotion candidates in the future or to take advantage of the opportunities we identify. All forward-looking statements are qualified in their entirety by this cautionary statement and MAP undertakes no obligation to revise or update this news release to reflect events or circumstances after the date hereof.
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