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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): November 9, 1998
THE COVALENT GROUP, INC.
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(Exact name of issuer as specified in charter)
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NEVADA 0-21145 56-1668867
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation or file Identification
Organization) number) Number)
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ONE GLENHARDIE CORPORATE CENTER
1275 DRUMMERS LANE
SUITE 100
WAYNE, PENNSYLVANIA 19087
(Address of principal executive offices)
(610) 975-9533
(Registrant's telephone number, including area code)
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Item 5. Other Events
As is more fully described in the attached press release, the Company
has recently entered into a multi-year contract for clinical trials with an
aggregate estimated value of approximately $13.6 million. The contract also
provides for the Company to administer and manage an additional $25 million in
investigator grants, clinical development fees, and other related expenses. See
the attached press release for more detailed information.
This report, including the press release attached hereto, contains statements
that are not based on historical fact and are "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995.
Among other things, they regard the Company's liquidity, financial condition,
operational matters and the potential revenues to be received from new
contracts. Words or phrases denoting the anticipated results of future events,
such as "anticipate," "believe," "estimate," "expects," "may," "will continue,"
"project," and similar expressions that denote uncertainty are intended to
identify such forward-looking statements. Additionally, from time to time, the
Company or its representatives have made or may make oral or written forward-
looking statements. Such forward-looking statements may be included in various
filings made by the Company with the Securities and Exchange Commission, or in
other press releases or oral statements made by or with the approval of an
authorized executive officer of the Company. The Company's actual results,
performance or achievements could differ materially from the results expressed
in, or implied by, such forward-looking statements: (1) as a result of risks
and uncertainties identified in the Company's publicly filed reports and
registration statements; (2) as a result of the outcome of one or more of the
contracts described in the press release attached hereto; (3) as a result of
factors over which the Company has no control, including the strength of
domestic and foreign economies, the overall CRO and pharmaceutical industries,
sales growth, competition and certain cost increases; or (4) if the factors on
which the Company's conclusions are based do not conform to the Company's
expectations.
Item 7. Financial statements, pro forma financial information and exhibits
(c) Exhibits
99.1 Press release dated November 9, 1998
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Signature
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned duly authorized.
Date: November 9, 1998 Covalent Group, Inc.
/s/ William K. Robinson
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William K. Robinson
Chief Financial Officer
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Exhibit Index
Exhibit No. Description
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99.1 Press release dated November 9, 1998
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Exhibit 99.1
COVALENT GROUP, INC. TO CONDUCT $13.6 MILLION CLINICAL DEVELOPMENT STUDY
WAYNE, Pa., Nov. 9 -- Covalent Group, Inc. (Nasdaq: CVGR) today announced
receiving the award of a $13.6 million contract from a leading pharmaceutical
firm to conduct a major, multi-year, clinical development study. The contract
also provides for Covalent to administer and manage an additional $25 million in
investigator grants, clinical development fees, and other related expenses.
Bruce LaMont, President and Chief Executive Officer commented, "We are
extremely pleased to have been selected by a world class organization to manage
a study which is of great importance to the success of our client's drug in the
marketplace." Mr. LaMont added, "This new study of a flagship product in a
major therapeutic area interfaces with our core competency in advanced clinical
research, and continues to demonstrate our company's experience and expertise in
providing innovative solutions to meet clients' needs."
Covalent provides drug development and health management solutions to
pharmaceutical and device manufacturers, as well as managed care organizations.
To aid its pharmaceutical and managed care customers, Covalent has developed a
disease assessment system using interactive voice recognition technology --
Virtual Housecall.
This press release contains forward-looking statements. Actual results
might differ materially from those projected in the forward-looking statements.
Additional information concerning factors that could cause actual results to
materially differ from those in forward-looking statements is contained in
Covalent's SEC filings, including periodic reports under the Securities Exchange
Act of 1934, as amended, copies of which are available upon request from
Covalent's investor relations department.
Contact Covalent Group on-line: http://www.cracorp.com/
