Catalyst second-quarter net loss decreases to $1,328,541

Aug 13 2010

Catalyst Pharmaceutical Partners, Inc. (Nasdaq:CPRX) today announced its financial results for the second quarter and six months ended June 30, 2010.

Second Quarter 2010 Results
The Company reported a net loss of $1,328,541, or $0.07 per basic and diluted share, compared to a net loss of $1,761,887, or $0.13 per basic and diluted share, for the same period in 2009. For the six months ended June 30, 2010, the Company reported a net loss of $2,373,584, or $0.13 loss per basic and diluted share, compared to a net loss of $4,793,088, or $0.34 loss per basic and diluted share, for the same period in 2009.

Research and development expenses for the second quarter of 2010 were $797,935, compared to $1,238,253 in the second quarter of 2009. Research and development expenses for the six months ended June 30, 2010 were $1,237,522 compared to $3,698,885 for the first six months of 2009. The reduction is the result of decreased clinical trial activity in the first half of 2010 as compared to the prior year. The Company expects that research and development expenses will increase during the balance of 2010.

General and administrative expenses for the second quarter of 2010 totaled $535,197, compared to $530,559 in the second quarter of 2009. General and administrative expenses for the first six months of 2010 totaled $1,146,022 compared to $1,114,470 in the first six months of 2009.

As a development stage pharmaceutical company, Catalyst has no revenues to-date.

At June 30, 2010, the Company had cash and cash equivalents of $5.6 million and no debt.  Based on the registered direct stock offering that Catalyst completed on August 9, 2010, cash and cash equivalents at June 30, 2010 totaled $7.1 million on a pro-forma basis.  The Company believes it has sufficient capital to fund its ongoing CPP-109 and CPP-115 research and development activities and to continue its operations through at least the first quarter of 2012.

Second Quarter Accomplishments

• Signed a definitive Clinical Trial Agreement with the National Institute on Drug Abuse (NIDA) to collaborate on a U.S. Phase II(b) clinical trial evaluating CPP-109 for the treatment of cocaine addiction. The Company expects to enroll 200 subjects at 12 sites across the United States. 
• Presented data from Catalyst's recently completed Phase II(a) cocaine addiction trial at the American Society of Addiction Medicine Annual Medical-Scientific Conference.
• Presented CPP-109 data at the College on Problems of Drug Dependence which supports its continued development as a treatment for cocaine and methamphetamine addiction.
• Commenced non-clinical safety and efficacy studies for CPP-115.

Significant Recent and Upcoming Events

• In August, raised $1.5 million in a registered direct offering of common stock with two mutual funds.
• Expect to commence the CPP-109 U.S. Phase II(b) cocaine trial in the fall of 2010, with top-line results from this trial expected in the first quarter of 2012.
• Expect to report results of CPP-115 non-clinical trials in the third quarter of 2010.
• Expect to commence a CPP-109 investigator sponsored cocaine/alcohol co-morbidity study at the University of Pennsylvania by year-end. 

"We are very pleased to have completed our $1.5 million registered direct offering which was completed at the market price of our common stock on the day we entered into the agreement to sell the shares," said Patrick J. McEnany, Catalyst's Chief Executive Officer.  "We expect that this financing will provide sufficient capital for Catalyst to operate through the announcement of top-line results for the CPP-109 U.S. Phase II(b) cocaine trial.  In addition, CPP-115 non-clinical studies are well underway evaluating safety and efficacy in animal models for addiction, epilepsy and neuropathic pain.  We expect to report the results of these studies by the end of the third quarter.  Based upon the results of those studies, we hope to explore partnering opportunities for CPP-115, as well as to seek non-dilutive financing in various forms."