Stockholders of Aeolus Pharmaceuti-cals Inc., a drug developer that lists Laguna Niguel as its corporate base but primarily operates in San Diego, are looking to sell off some $16 million in stock.
Nearly 19 million shares of Aeolus are up for sale, according to a Securities and Exchange Commission filing.
Sellers include Aeolus’ principal shareholder, Connecticut’s Xmark Asset Management LLC and Xmark Opportunity Manager LLC, which owned 72% of Aeolus at the end of January.
The sellers are set to get the proceeds from the sale.
Aeolus previously was known as Incara Pharmaceuticals Inc. and operated in Research Triangle Park, N.C. It moved its offices to Laguna Niguel in August, according to its filing.
The company is developing what it describes as “a new class of catalytic antioxidant compounds” for treating diseases and disorders of the central nervous system, respiratory system, cancer and autoimmune system, which is an immune system that attacks its own tissues.
Aeolus’ lead candidate is AEOL 10150, which is in clinical trials. The company said safety results from a first-phase study were positive.
Now the company is working on a multiple-dose study of AEOL 10150 in patients who have amytrophic lateral sclerosis, a neuromuscular disorder better known as Lou Gehrig’s disease after the New York Yankee star who passed away from the affliction.
The drug maker’s shares trade on the low-profile bulletin board exchange. The stock trades for about a buck with a market value of about $13 million.
Aeolus isn’t profitable. For the 12 months through September, the company posted a net loss of $6.9 million on revenue of $252,000, primarily from grant income and contracts.
As with other development-stage companies, the lion’s share of Aeolus’ expenses, $4.5 million, are from research and development.
Aeolus’ accumulated deficit was $148.6 million at the end of December. It could take at least five years to generate recurring revenue, the company said.
Product development, federal approval and landing commercial sales are challenges.
Aeolus has one full-time employee, Chief Executive Richard Burgoon. All other executives and service providers are consultants.
OnCure Ups Credit, Buys Imaging Centers
OnCure Medical Corp., a Newport Beach-based outpatient radiation therapy services company, said last month it’s tapped an expanded credit line to buy Coastal Radiation Oncology Medical Group Inc. for an undisclosed price.
Coastal, which has been around since 1968, has eight outpatient radiation centers in Salinas, San Luis Obispo, Santa Maria, Templeton, Ventura, Thousand Oaks, Westlake Village and Simi Valley.
OnCure, a privately held company, owns, operates and manages 28 radiation centers and other mobile radiology units in California and Florida.
The company’s shareholders include Crossbow Ventures, a Palm Beach, Fla.-based private equity firm, Boston’s Halpern, Denny & Co. and Wellesley, Mass.-based private equity firm MedEquity Capital LLC.
Aging Conference
Medicare, multicultural aging, aging with the HIV virus and federal policy directions in health and long-term care for the elderly are on the agenda of the upcoming National Council on Aging’s and American Society on Aging’s conference in Anaheim.
The event is set for March 16 to 19 at the Hilton Anaheim.
Mark McClellan, head of the Centers for Medicare and Medicaid Services, and former ABC television anchor Hugh Downs are scheduled speakers.
McClellan is set to talk about the controversial Medicare prescription drug benefit. Downs, the longtime anchor of ABC’s newsmagazine “20/20,” is going to talk about the images of age in America.
Bits and Pieces:
Inspire Pharmaceuticals Inc., a business partner of Allergan Inc., Irvine, said it bought the American rights to the nasal form of epinastine, an antihistamine to fight nasal allergies, for $2.5 million from Boehringer Ingelheim GMBH, a German drug maker. Inspire co-promotes Restasis, a dry eye medication, and Elestat, an anti-itching eye medication, with Allergan Orange Coast Memorial Medical Center, Fountain Valley, opened an inpatient oncology unit and also appointed Dr. Glen Justice as medical director of oncology services VQ OrthoCare, Irvine, introduced a pair of electrotherapy devices designed to provide relief and management of post-surgical or chronic pain. VQ OrthoCare said electrotherapy is considered a non-narcotic, non-addictive and non-invasive alternative to drugs.
