Vancouver, British Columbia--(Newsfile Corp. - November 24, 2015) - M Pharmaceutical (CSE: MQ) (OTCQB: MPHMF) (FWB: T3F2), a clinical-stage developing innovative technologies for obesity and weight management, is taking steps to add a novel weight loss product to its product line. The company has entered into a letter of intent to acquire assets from Chelatexx, LLC, related to C-103, a reformulated version of orlistat.
InvestmentPitch.com has produced a "video news alert" which provides a brief overview of the product and company. If this link is not enabled, please visit www.InvestmentPitch.com and enter "M Pharma" in the search box.
If you cannot view the video above, please visit:
http://www.investmentpitch.com/video/0_211zf07 k/M-Pharmaceutical-CSEMQ-is-taking-steps-to-add-a-novel-weight-loss-product-to-its-product-line
Orlistat is currently marketed as Xenical® in prescription strength capsules by Roche Laboratories, and as alli® in over-the-counter strength capsules by GlaxoSmithKline.
Terms of the acquisition include an up-front cash payment, 10 million common shares of M Pharmaceutical, and a low single-digit royalty on net sales. The transaction is subject to finalizing terms within the next 14 calendar days and certain closing conditions which are expected to conclude by January 2016.
Matthew Lehman, CEO, stated: "The acquisition of C-103 from Chelatexx, LLC is an exciting addition to the M Pharmaceutical pipeline. This product fits into our mission of developing innovative technologies for obesity with fewer side effects than currently available products."
Orlistat has proven safe and effective in numerous clinical trials and remains the only FDA-approved weight management drug for the pediatric population of adolescents 12 years of age and older. Orlistat does not affect the central nervous system and it is not systemically absorbed, as compared to other approved weight management drugs. Recent sales of orlistat have declined from its peak due to uncomfortable and well-publicized side effects of the product.
The development goal of the C-103 reformulation is to maintain the proven efficacy of orlistat while minimizing or eliminating the undesirable side effects. The company cautions that there is no guarantee that the reformulated C-103 will achieve its development goals and that there are no guarantees that it will be approved by any health regulatory agency.
M Pharmaceutical also announced a significant reorganization of its priorities to concentrate on the development of its two oral products, C-103 and Trimeo, for obesity treatment and weight loss. Trimeo is an oral capsule containing wrapped, superabsorbable, biodegradable polymers. These pill-like devices are swallowed with water and expand in the stomach to induce a feeling of fullness and reduce food intake. The company plans to minimize continued investment in its two earlier stage technologies Trimtec and eMosquito and review potential opportunities to divest or partner these technologies.
The shares are currently trading at $0.11, and with 26.3 million shares outstanding, the company is capitalized at $2.9 million.
For more information about M-Pharma, please visit the company's website www.m-pharma.ca, call 604-428-0511 or email info@m-pharma.ca.
About InvestmentPitch
InvestmentPitch.com, a multimedia company that provides a combined solution for creating and hosting financial video content, and distributing it across multiple platforms to investors and financial professionals, specializes in producing short three minute videos based on significant news releases and research reports.
CONTACT:
InvestmentPitch.com
Barry Morgan, CFO
bmorgan@investmentpitch.com
