MISSISSAUGA, ON, July 6, 2016 /PRNewswire/ - A special
committee (the "Special Committee") of the board of
directors (the "Board") of Cipher Pharmaceuticals Inc.
(NASDAQ:CPHR; TSX:CPH) ("Cipher") responded today to an
Early Warning Report (the "EWR") filed on July 5, 2016 by 1207407 Ontario Limited
("1207407"), a company wholly owned by Dr. John D.
Mull. The Special Committee, comprised of directors
Stephen Wiseman, Thomas Wellner, William
Claypool and Stefan Aigner,
was established to address issues of the type referred to in the
EWR.
Cipher welcomes the opinions of its shareholders and actively
seeks opportunities to enhance shareholder value. The Board takes
its fiduciary responsibilities seriously. The Special Committee is
disappointed that Dr. Mull has chosen to use a public forum to
claim ownership of a series of initiatives, many of which were
already under active ongoing discussion by the members of the
Board, including Dr. Mull. The directors of Cipher share many
of the concerns enumerated in the EWR, and have proactively sought
to address those concerns, including through the formation of the
Special Committee.
The Special Committee and the Board will continue to meet to
consider further steps to advance the evaluation of
initiatives.
About Cipher Pharmaceuticals Inc.
Cipher Pharmaceuticals (NASDAQ:CPHR; TSX:CPH) is a rapidly
growing specialty pharmaceutical dermatology company with a
diversified portfolio of commercial-stage products with the goal of
becoming the most customer-centric dermatology company in
North America.
Through multiple transactions, including the acquisition of
Innocutis and its nine branded dermatology products, Cipher has
built its U.S. commercial presence, expanded its Canadian
dermatology franchise and broadened its pipeline. Cipher is
well-capitalized to drive long-term, sustained earnings growth by
leveraging its proven clinical development capabilities and
efficient commercial execution. For more information, visit
www.cipherpharma.com.
Forward-Looking Statements
Statements made in this news release may be forward-looking
and therefore subject to various risks and uncertainties. The words
"may", "will", "could", "should", "would", "suspect", "outlook",
"believe", "plan", "anticipate", "estimate", "expect", "intend",
"forecast", "objective", "hope" and "continue" (or the negative
thereof), and words and expressions of similar import, are intended
to identify forward-looking statements. Certain material factors or
assumptions are applied in making forward-looking statements and
actual results may differ materially from those expressed or
implied in such statements. Factors that could cause results to
vary include those identified in the Company's Annual Information
Form, Form 40‑F and other filings with Canadian and U.S.
securities regulatory authorities. These factors include, but are
not limited to, our ability to enter into in-licensing,
development, manufacturing and marketing and distribution
agreements with other pharmaceutical companies and keep such
agreements in effect; our dependency on a limited number of
products; integration difficulties and other risks if we acquire or
in-license technologies or product candidates; reliance on third
parties for the marketing of certain products; the product approval
process is highly unpredictable; the timing of completion of
clinical trials; reliance on third parties to manufacture our
products; we may be subject to product liability claims; unexpected
product safety or efficacy concerns may arise; we generate license
revenue from a limited number of distribution and supply
agreements; the pharmaceutical industry is highly competitive;
requirements for additional capital to fund future operations;
dependence on key managerial personnel and external collaborators;
no assurance that we will receive regulatory approvals in the U.S.,
Canada or any other jurisdictions;
certain of our products are subject to regulation as controlled
substances; limitations on reimbursement in the healthcare
industry; limited reimbursement for products by government
authorities and third-party payor policies; various laws pertaining
to health care fraud and abuse; reliance on the success of
strategic investments and partnerships; the publication of negative
results of clinical trials; unpredictable development goals and
projected time frames; rising insurance costs; ability to enforce
covenants not to compete; risks associated with the industry in
which it operates; we may be unsuccessful in evaluating material
risks involved in completed and future acquisitions; we may be
unable to identify, acquire or integrate acquisition targets
successfully; operations in the U.S.; inability to meet covenants
under our debt obligations; compliance with privacy and security
regulation; our policies regarding returns, allowances and
chargebacks may reduce revenues; certain regulations could restrict
our activities; additional regulatory burden and controls over
financial reporting; reliance on third parties to perform certain
services; general commercial litigation, class actions, other
litigation claims and regulatory actions; being a foreign private
issuer may limit the information available to U.S. shareholders; we
may lose our foreign private issuer status which could result in
significant additional costs; the potential violation of
intellectual property rights of third parties; our efforts to
obtain, protect or enforce our patents and other intellectual
property rights related to our products; changes in U.S., Canadian
or foreign patent laws; litigation in the pharmaceutical industry
concerning the manufacture and supply of novel and generic versions
of existing drugs; inability to protect our trademarks from
infringement; shareholders may be further diluted; volatility of
our share price; a significant shareholder; we do not currently
intend to pay dividends; our operating results may fluctuate
significantly; and our debt obligations will have priority over the
Common Shares in the event of a liquidation, dissolution or winding
up. All forward-looking statements presented herein should be
considered in conjunction with such filings. Except as required by
Canadian or U.S. securities laws, the Company does not undertake to
update any forward-looking statements; such statements speak only
as of the date made
SOURCE Cipher Pharmaceuticals Inc.