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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): August 19, 1998
THE COVALENT GROUP, INC.
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(Exact name of issuer as specified in charter)
NEVADA 0-21145 56-1668867
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation or file Identification
Organization) number) Number)
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 multi-year contracts for clinical trials with an aggregate
estimated value of approximately $7.5 million. See the attached press releases
for more detailed information.
This report, including the press releases 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 August 19, 1998
99.2 Press release dated August 25, 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: September 18, 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 August 19, 1998
99.2 Press release dated August 25, 1998
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Exhibit 99.1
Covalent Group, Inc. Wins Mega-Clinical Study
WAYNE, Pa., Aug. 19 -- Covalent Group, Inc. (Nasdaq: CVGR) today announced
the signing of a clinical development study valued in excess of $5 million. The
contract is with a top tier pharmaceutical company for a multi-year, Phase III
mega-clinical development study.
Bruce LaMont, President and Chief Executive Officer said, "We are pleased
that after having proven Covalent's capabilities in previous studies, we now
have been asked by a premier pharmaceutical firm to conduct a major, multi-year,
development study involving a large number of sites and over 37,000 patients."
Mr. LaMont added, "This pivotal study fits well with the Company's strategy to
broaden the scope of development work based on establishing a reputation for
excellence in providing innovative solutions for clients' needs. I am confident
we will gain additional business from new clients, as well as our current client
base."
Covalent provides drug development and health management solutions to
pharmaceutical and device manufacturers, as well as to 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.
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Exhibit 99.2
Covalent Group, Inc. to Conduct Additional $2.5 Million Development Studies
WAYNE, Pa., Aug. 25 -- Covalent Group, Inc. (Nasdaq: CVGR) today announced
the signing of contracts with an aggregate value in excess of $2.5 million. The
scope of these contracts includes Phase I, II and III clinical trials, a
clinical New Drug Application (NDA), as well as Outcomes Research studies.
Bruce LaMont, President and Chief Executive Officer commented, "We are
extremely pleased with this new set of contracts primarily for three reasons.
First, they include repeat business from some of our existing and obviously
satisfied corporate clients. Second, two of the initiatives represent new
business from two large pharmaceutical companies that we are pleased to add to
our client list. And third, these contracts along with the previously announced
37,000 patient, $5 million, clinical trial represent only a fraction of our
signed letters of intent, which we believe will translate to actual contracts."
Covalent provides drug development and health management solutions to
pharmaceutical and device manufacturers, as well as to 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/
