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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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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): June 22, 1998
LXR BIOTECHNOLOGY INC.
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(Exact name of Registrant as specified in its charter)
DELAWARE 1-12968 68-0282856
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
1401 MARINA WAY SOUTH, RICHMOND, CALIFORNIA 94804
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code: (510) 412-9100
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Not Applicable
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(Former Name or Former Address, if Changed Since Last Report)
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INFORMATION TO BE INCLUDED IN THE REPORT
ITEM 5. OTHER EVENTS
On June 22, 1998, LXR Biotechnology Inc. (the "Company") issued a press
release, a copy of which is attached herein as Exhibit 99.1, relating to certain
changes in the Company's strategic plans.
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ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
99.1 Press Release Issued by the Company on June 22, 1998.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
LXR BIOTECHNOLOGY INC.
Date: June 22, 1998 By: /s/ G. Kirk Raab
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G. Kirk Raab, Interim Chief Executive Officer
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EXHIBIT INDEX
Exhibit
99.1 Press Release Issued by the Company on June 22, 1998.
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Exhibit 99.1
[LXR BIOTECHNOLOGY INC. LETTERHEAD]
Contacts: Shelli J. Geer, Chief Financial Officer
Leah Wong, Corporate Communications
LXR Biotechnology inc.
510.412.9100
LXR BIOTECHNOLOGY INC. ANNOUNCES
IMPLEMENTATION OF STRATEGIC PLAN
Richmond, Calif,. -- June 22, 1998 -- LXR Biotechnology(R) (AMEX: LXR),
announced today the implementation of a strategic plan to accelerate the
transition of the Company from a research firm to a drug development firm.
Under the plan, the Company will be focusing on the clinical development and
commercialization of Elirex (TM), a patented small molecule compound for the
inhibition of heart muscle damage following a heart attack and
CP-Cardiosol(TM), a patented solution for protecting hearts during
cardiopulmonary bypass surgery. Cardiosol is the subject of corporate
partnering discussions. Because of the limited commercial market for heart
transplant solutions, the clinical development of HK-Cardiosol is being
suspended pending developments in corporate partnering discussions. The Company
is doing additional preclinical studies that will allow the initiation of
clinical trials for CP-Cardiosol. The current strategy for further development
of CP-Cardiosol is expected to require obtaining a corporate partnership. The
plan also entails the suspension of most pure research at the company and a
reduction of the Company's burn rate to extend the Company's cash through
approximately the first quarter of 1999. The strategic plan, which includes a
significant reduction in personnel, was developed by the executives and Board
of Directors, which was largely reconstituted this year.
"Elirex and Cardiosol are the crown jewels of LXR, which the Company believes
will have significant market potential," said G. Kirk Raab, chairman and interim
CEO of LXR. "Although LXR has a scientific staff that rivals any that I have
been associated with, we cannot afford the luxury of research that will have
payoffs in the distant future. Cutting the burn rate now is appropriate when we
have a significant amount of cash in the bank. Maintaining cash reserves will
allow LXR to pursue the aggressive development of Elirex and CP-Cardiosol,
enhance our leverage in corporate partnering discussions, minimize the need for
dilutive financings and have the structure in place pending the hiring of a new
CEO. The name of the game, frankly, is shareholder value. It is, however, a
painful task for us to let go to a number of people who have so selflessly
contributed to creating the body of proprietary technology that LXR enjoys."
LXR Biotechnology Inc. is a biopharmaceutical company engaged in research and
development of innovative therapeutics designed to treat diseases through the
control of apoptosis or gene-directed cell death.
Statements in this press release that are not historical are forward looking
statements. These forward looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially from those
anticipated in any forward looking statements, all of which are difficult to
predict and many of which are beyond the control of the Company, including, but
not limited to, the risks and uncertainties related to the obtaining, validity,
and enforcement of patents, new and developing technologies, the inherent
complexity and uncertainty regarding the development of new pharmaceutical and
medical device products, LXR's early stage of development, the results of
research and development efforts, results of future clinical trials, future
capital needs and the uncertainty of additional funding and government
regulations or approval of clinical trials, and other factors which are
detailed in the Company's periodic reports and registration statements filed
with the Securities and Exchange Commission. LXR does not undertake to revise
or update any forward looking statements to reflect events or circumstances
that may arise after the date hereof.
For more information, visit LXR Biotechnology's web site at http://www.lxr.com
