Ampio Pharmaceuticals signs LOI to acquire DMI Biosciences

Apr 23 2010

Ampio Pharmaceuticals, Inc. (OTC Bulletin Board: AMPE), today announced that it has entered into a letter of intent (LOI) to acquire DMI Biosciences, Inc.

This acquisition will give AMPIO access to all rights, royalties and patents associated with a drug that treats premature ejaculation (P.E.) recently licensed to a specialty pharmaceutical company after demonstrating safety and efficacy in a Phase II clinical trial. This P.E. drug is protected by multiple U.S. and International patents, and is currently undergoing Phase III clinical trials in Europe.  

"Premature ejaculation is an under-reported condition that we believe affects substantially more men than erectile dysfunction (E.D.)", noted Chief Scientific Officer Dr. David Bar-Or, who developed the drug during his tenure at DMI Biosciences, Inc. "Consequently we know there is a serious need for a product that can treat this sexual dysfunction. " said Dr. Bar-Or.

"Among the assets being acquired in this stock purchase are a number of patent applications on combination drugs that would treat P.E. and E.D. in a single tablet," said Don Wingerter, Ampio's chief executive officer.  "Dr. Bar-Or is confident we can continue to develop safe and effective solutions for these types of medical conditions."

"The structure of this transaction will include a tax free exchange to the shareholders and we anticipate working diligently to complete the transition from the L.O.I. to a final agreement," Mr. Wingerter continued. "This agreement has the potential to provide AMPIO with a royalty stream that could begin as early as 2011.  Because of a confidentiality agreement, AMPIO cannot at this time disclose the licensee for the drug that is executing the Phase III trial.  The acquisition of the P.E. drug by AMPIO enhances our portfolio of drugs that currently focus on alleviating diabetic and inflammatory conditions."