Unigene drug delivery, musculoskeletal news
Unigene reduced headcount by about 21 (40%) to 31 to conserve capital and extend its cash runway. The company said the cuts came from manufacturing of its osteoporosis drug Fortical calcitonin and recombinant calcitonin production operations. The company declined to disclose details.
Additionally, Victory Park Capital will purchase an additional $750,000 senior secured note to provide Unigene with additional working capital. The note bears interest at the greater of 15% or the prime rate plus 5%, converts at $0.09 and matures at the earlier of June 7 or when the unpaid balance becomes due and payable. The investor also declared an event of default on about $55.8 million in previous notes issued to Victory Park Capital by Unigene. The investor will sell assets from the company's biotechnology business, including Unigene's Peptelligence drug delivery technology, in a public auction on April 15. At Dec. 31, 2012, Unigene had $3.8 million in cash and a 2012 operating loss of $9.4 million. ...