Valeant Pharmaceuticals International closed out 2007 by finding a buyer for its hepatitis C drug.
The Aliso Viejo drug maker said in December that it would sell Infergen to Three Rivers Pharmaceuticals LLC for $91.3 million.
Valeant is getting $70.8 million in cash and up to $20.5 million in two payments during the next 18 months.
In November, Valeant said it planned on selling Infergen, which accounted for $8.6 million in sales and costs of about $18.6 million in the third quarter.
Selling Infergen to Cranberry Township, Pa.-based Three Rivers “is an important step forward” in simplifying Valeant’s operations, Chief Executive Timothy Tyson said in a release.
Valeant acquired Infergen in 2006 for $113.5 million from InterMune Inc., a Bay area company. Amgen Inc., the Thousand Oaks-based biotechnology pioneer, originally developed Infergen.
Valeant’s sales have been lagging, and some on Wall Street have argued it needs a blockbuster drug to stimulate its growth.
Tyson has said the company has other drugs in its pipeline that show potential, including retigabine, an epilepsy treatment that’s in clinical trials.
The deal’s expected to close this quarter.
Study: Health Clinics Need Money
Community health clinics are struggling to keep up with rising demand for healthcare in spite of more federal money, according to a report from the Center for Studying Health System Change.
The study showed that federal funding for clinics has doubled to nearly $2 billion a year, but that the money has gone to build centers in additional communities, rather than supporting existing ones.
More than 16 million Americans received care at community health centers in 2006, up from 10 million in 2001, according to the federal Health Resources and Services Association.
The study found that such centers are facing growing problems referring patients who are either uninsured or covered by Medicaid for specialty care.
Orange County is one of 12 communities that the Washington, D.C.-based nonprofit, which is funded by the Robert Wood Johnson Foundation, studies as part of its look at the country’s healthcare industry.
The report specifically mentioned that as many as five OC clinics are now seeking or have obtained federally qualified or “look-alike” health center status, which makes them eligible for enhanced Medicare and Medicaid funding.
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Devax’s drug-coated stent: company withdrew plans for IPO |
Devax Withdraws Proposed IPO
Count Devax Inc. as one OC medical device maker that’s not going to test the public markets this year.
Lake Forest-based Devax has withdrawn plans to offer up to $85 million worth of its shares.
The company which makes stents coated with drugs to treat blood vessel diseases, said in a Securities and Exchange Commission filing that it “has determined that it is no longer in its best interests” to proceed with its proposed offering.
Devax originally filed to go public in May.
The device maker has raised $48.5 million in venture funding since 2001. Its investors include HBM BioVentures of the Cayman Islands and InterWest Partners of Menlo Park and Dallas.
St. Joseph, Blue Cross Contract
St. Joseph Health System, the Orange hospital operator, renewed its contract with Blue Cross of California. The contract covers more than 65,000 Blue Cross health maintenance organization or point-of-service members in the county, as well as members in Humboldt, Sonoma, Napa and San Bernardino counties.
Under the pact, members will be able to use St. Joseph Hospital-Orange, St. Jude Medical Center in Fullerton and Mission Hospital in Mission Viejo, as well as the system’s group medical practices.
Bits and Pieces:
Pegasus Biologics Inc., an Irvine developer of bone substitutes, said France Dixon Helfer resigned as chief executive to accept a similar job at an unnamed startup plastic surgery device company. Pegasus said Helfer will retain a seat on the company’s board and will continue to serve as an adviser Pacific Cardiovascular Associates, a Costa Mesa medical group, is going to open a new office at South Coast Medical Center in Laguna Beach this month. Pacific Cardiovascular, which operates in Orange, Los Angeles and Riverside counties, as well as in Guam, is also going to oversee the management of the hospital’s cardiac catheter laboratory DatCard Systems Inc., an Irvine software developer, said it received a patent for PacsCube and SmartLine, a pair of products that allow patients to look at their medical information on CDs or DVDs Life Tech, a Newport Beach company, introduced Fertili-T, an over-the-counter supplement for men and women to aid in conceiving Synthetic Blood International Inc., a Costa Mesa company, said it is finalizing a second-phase clinical trial protocol for Oxycyte, its blood substitute for treating traumatic brain injuries.
