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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report: March 23, 2000
(Date of earliest event reported)
AVANIR PHARMACEUTICALS
(Exact name of registrant as specified in its charter)
CALIFORNIA
(State or other jurisdiction of incorporation)
0-18734 33-0314804
(Commission File Number) (IRS Employer Identification No.)
9393 Towne Centre Drive, Suite 200, San Diego, California 92121
(Address of principal executive offices) (Zip code)
(858) 558-0364
(Registrants telephone number, including area code)
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Item 5. OTHER EVENTS
The registrant incorporates by reference herein the press release dated
March 24, 2000 attached hereto as Exhibit 99.
Item 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
(i) Exhibit 99 -- Press Release dated March 24, 2000
SIGNATURES
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 hereunto duly authorized.
AVANIR PHARMACEUTICALS
Date: April 19, 2000 By: /s/ Gregory P. Hanson
--------------------------------
Gregory P. Hanson
Vice President, Finance and
Chief Financial Officer
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EXHIBIT 99
AVANIR ANNOUNCES SETTLEMENT OF LITIGATION WITH FORMER CEO
SAN DIEGO, March 24 /PRNewswire/ -- AVANIR Pharmaceuticals (OTC Bulletin Board:
AVNR), previously LIDAK Pharmaceuticals, David H. Katz, M.D., (the company's
founder, former CEO, and a former director) and Mrs. Lee R. Katz (the wife of
Dr. Katz) jointly announced a comprehensive settlement of all disputes, claims
and litigation they have asserted against each other.
In the aftermath of a lengthy jury trial between AVANIR and the Katzes in
September and October 1999, both the company and Dr. and Mrs. Katz expressly
regret the expense and tribulation each have experienced as a result of actions
by the other. The company specifically regrets that any of its public
statements, including statements regarding cause for termination of Dr. Katz'
employment, may have reflected adversely on him or provoked criticism of him by
third parties. Dr. Katz regrets that any of his public statements regarding
AVANIR, its directors or its officers may have reflected adversely on them or
provoked criticism of AVANIR's management team by third parties. AVANIR
recognizes the significant intellectual, scientific and financial contributions
Dr. and Mrs. Katz have made to the development, growth and success of the
company. AVANIR and the Katzes each extend best wishes to the other for their
future endeavors.
Under the settlement terms, AVANIR has conveyed to Dr. Katz shares of Class A
Common Stock valued at $3.9 million, and an additional cash payment in the
amount of $175,000 has been made to Dr. Katz. A portion of the settlement has
been funded by the company's insurer. Dr. Katz, his wife and two daughters have,
in return, assigned voting control of their stock in AVANIR, whether directly or
beneficially owned, to company management for a period of 7 years, and all of
Dr. Katz' outstanding stock options, exercisable into 1,827,000 shares, have
been cancelled. In addition, Dr. Katz and his wife have assigned the company any
and all their rights to certain technology and related patent applications
pertaining to research on allergy and asthma treatments.
AVANIR Pharmaceuticals, based in San Diego, develops novel therapeutic products
for the treatment of chronic diseases.
