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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): December 17, 1998
THE COVALENT GROUP, INC.
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(Exact name of issuer as specified in charter)
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<S> <C> <C>
NEVADA 0-21145 23-561668867
(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 releases, the Company has
recently entered into a multi-year contract for clinical development studies
with an aggregate estimated value of approximately $4 million. 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 the
contract 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
Exhibit No. Description
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99.1 Press release dated December 17, 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: December 22, 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 December 17, 1998
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EXHIBIT 99.1
COVALENT GROUP, INC.
TO CONDUCT $4 MILLION CLINICAL DEVELOPMENT STUDY
WAYNE, PA, December 17, 1998: Covalent Group, Inc. (Nasdaq: CVGR) today
announced that it has been awarded a $4 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
$8 million in investigator grants, clinical development fees, and other related
expenses.
"This new study, which is in a major therapeutic area, interfaces with our core
competency in advanced clinical research and will utilize our integrated
electronic centralized patient randomization, drug dispensing and drug tracking
system, TeleTrial. This system will cost-effectively accelerate the achievement
of the sponsor's clinical research milestones in this study," commented Bruce
LaMont, Chief Executive Officer. "Covalent will continue to deliver quality
services and innovative solutions to its expanding client base. Our experience
and expertise are affording us the opportunity to help ensure the success of our
clients' products in the marketplace."
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
several currently available proprietary products utilizing interactive speech
recognition technology including TeleTrial, a clinical trial management system,
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and Virtual HouseCall, a disease assessment system.
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This press release contains forward looking statements. Actual results might
differ materially from those projected in the forward-looking statements.
Additional information concerning factors and 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.
Company Contact: William Robinson, CFO 610-975-9533
Contact us on-line: http://www.cracorp.com/
