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Pharming announces restructuring plan

August 2, 2012 - Leiden, The Netherlands

Biotech company Pharming Group NV("Pharming" or "the Company") (NYSE Euronext: PHARM) today announced astrategicrestructuring plan of its Dutch operations designed to accelerate theCompany'spath to sustainability and future profitability. The proposed plan, whichnecessitates a request for "collective redundancies", was filed with the Dutchauthorities (UWV Werkbedrijf, in accordance with the "Wet Melding CollectiefOntslag"). The process entails a formal procedure, required when there is aneedfor downsizing of an organisation by 20 staff or more. The plan continues therestructuring initiated in June by the closure and subsequent sale ofPharming'sUS facility.

Post the completion of this restructuring, the organisation will havemaintainedfull capabilities to execute technology transfers of platform technology andproduct processes as well as retaining all product development associatedknow-how. Furthermore, Pharming will continue to participate in existingcollaborative product development and to pursue potential partnerships in thefuture.

The Company will thus maintain sufficient personnel to achieve these strategicobjectives by aligning the staffing resources and potential partneringrequirements of the organisation with its strategic needs post the anticipatedfinish of Study 1310 (our US pivotal trial) and submission of the RuconestBLAto the FDA .

As a result of the restructuring, the Company aims to reduce costs byapproximately EUR 3.5-5 million annually over the coming 12-18 months. Thetimingof the plan will be influenced by external (e.g. authorities and businessdevelopment activities) and internal influences (operational deliverables).

Pharming's Works Council has yet to advise on the restructuring plan,accordingto the Works Councils Act art 25. Following the decision of the authoritiesandthe advice of the Works Council, the plan will be implemented.

"This restructuring will allow Pharming to implement the next steps in itsbusiness strategy: transitioning from a mainly internal research driven modeltoa market driven, externally focused, collaborative research and developmentmodel", said Sijmen de Vries, CEO. "It is clear that Pharming must adopt aleaner, more cash efficient business model if it is to survive in the longerterm and we firmly believe that these actions will help to re-positionPharmingto create value for our stakeholders."


Pharming is conducting a Phase III clinical study with RUCONEST® under aSpecial Protocol Assessment (SPA) that is intended to support the submissionofa Biologics License Application (BLA) to the U.S. Food and Drug Administration(FDA). RUCONEST is being evaluated for the treatment of acute attacks ofangioedema in patients with HAE in an international, multicenter, randomized,placebo-controlled Phase III study at a dosage strength of 50 U/kg with aprimary endpoint of time to beginning of relief of symptoms. Santarus haslicensed certain exclusive rights from Pharming to commercialize RUCONEST inNorth America for the treatment of acute attacks of HAE and other futureindications. Under the terms of the license agreement, a $10 million milestoneis payable to Pharming upon successful achievement of the primary endpoint ofthe Phase III clinical study. The study is expected to be completed by the endof the third quarter of 2012.

About RUCONEST® and Hereditary Angioedema

RUCONEST® (INN conestat alfa) is a recombinant version of the humanprotein C1inhibitor (C1INH). RUCONEST is produced through Pharming's proprietarytechnology in milk of transgenic rabbits and is approved in Europe fortreatmentof acute angioedema attacks in patients with HAE. RUCONEST® is aninvestigational drug in the U.S. and has been granted orphan drug designationfor the treatment of acute attacks of HAE, a genetic disorder in which thepatient is deficient in or lacks a functional plasma protein C1 inhibitor,resulting in unpredictable and debilitating episodes of intense swelling oftheextremities, face, trunk, genitals, abdomen and upper airway. The frequencyandseverity of HAE attacks vary and are most serious when they involve laryngealedema, which can close the upper airway and cause death by asphyxiation.According to the U.S. Hereditary Angioedema Association, epidemiologicalestimates for HAE range from one in 10,000 to one in 50,000 individuals.

About Pharming Group NV

Pharming Group NV is developing innovative products for the treatment of unmetmedical needs. RUCONEST® is a recombinant human C1 inhibitor approved forthetreatment of angioedema attacks in patients with HAE in all 27 EU countriesplusNorway, Iceland and Liechtenstein, and is distributed in the EU by SwedishOrphan Biovitrum (OMX: SOBI). RUCONEST® is partnered with Santarus, Inc(NASDAQ: SNTS) in North America where the drug is undergoing Phase IIIclinicaldevelopment. The product is also being evaluated for follow-on indications inthe areas of transplantation and reperfusion injury. The advanced technologiesof the Company include innovative and validated platforms for the productionofprotein therapeutics, technology and processes for the purification andformulation of these products. A feasibility study, using the validatedtransgenic rabbit platform, aimed at the development of recombinant FactorVIIIfor the treatment of Haemophilia A is underway with partner, Renova Life, Inc.Additional information is available on the Pharming website, download the Pharming Group Investor Relations App, click here.

This press release contains forward looking statements that involve known andunknown risks, uncertainties and other factors, which may cause the actualresults, performance or achievements of the Company to be materially differentfrom the results, performance or achievements expressed or implied by theseforward looking statements.

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Press release (PDF):

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Source: Pharming Group N.V. via Thomson Reuters ONE


Sijmen de Vries
T: +31 (0)71 524 7400
Karl Keegan
T: +31 (0)71 524 7400

FTI Consulting
Julia Phillips
John Dineen
T: +44 (0)207 269 7193


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