Mechelen, Belgium; 12 November 2010 - Galapagos NV (Euronext: GLPG) announces today that third quarter 2010 operational and financial results were in line with management expectations. These results encourage the Company to retain full year 2010 financial guidance given earlier this year: group revenues of over €135 million, with positive operational income and cash flow, and a positive net result in 2010.
In the third quarter 2010, candidate drug GLPG0259 entered Phase II clinical trials in rheumatoid arthritis (RA) patients. Interim results for this trial are expected in mid-2011, with completion of the dose-finding by the end of 2011. Furthermore, the company is progressing Phase I trials with GLPG0555 and GLPG0634 in RA, and with GLPG0492 in cachexia and Duchenne. The Phase II trial with Nanocort for treatment of flares in multiple sclerosis will report an interim analysis early next year. The Phase Ib trial with GLPG0187 in cancer patients, is scheduled to begin early next year. Galapagos advanced more than 50 drug discovery programs, many of which are milestone-bearing in major alliances with top pharma.
Acquisition of R&D center in Zagreb
In September, Galapagos acquired GSK's state-of-the art research center in Zagreb. This center with 130 employees provides additional capacity for Galapagos' growing R&D requirements. In addition, Galapagos will provide R&D services to GSK under a three year fee-for-service contract to the value of €14 M.
Deals for service operations
Last quarter, the service division extended a major agreement with the U.S. National Institutes of Health, signed a new collaboration with the University of Bristol, and capitalized on the synergies between Argenta and BioFocus through a deal extension with Genentech.
In September, Galapagos announced that its Board of Directors appointed Mr. Howard Rowe, previously a Managing Director at Goldman Sachs, as an Independent Director of the Company. Following the close of the third quarter, Galapagos raised €28.7 million through a private placement on 19 October 2010.
Galapagos (Euronext: GLPG; OTC: GLPYY) is a mid-size biotechnology company specialized in the discovery and development of small molecule and antibody therapies with novel modes-of-action. The Company is progressing one of the largest pipelines in biotech, with six clinical and over 50 small molecule discovery/pre-clinical programs. Through risk/reward-sharing alliances with GlaxoSmithKline, Lilly, Janssen Pharmaceutica, Merck & Co., Roche and Servier, Galapagos is eligible to receive up to €3.3 billion in downstream milestones, plus royalties. The Galapagos Group has over 800 employees and operates facilities in seven countries, with global headquarters in Mechelen, Belgium. More info at: www.glpg.com
Onno van de Stolpe, CEO
Tel: +31 6 2909 8028
Elizabeth Goodwin, Director Investor Relations
Tel: +31 6 2291 6240
This release may contain forward-looking statements, including, without limitation, statements containing the words "believes," "anticipates," "expects," "intends," "plans," "seeks," "estimates," "may," "will," "could," "stands to," and "continues," as well as similar expressions. Such forward-looking statements may involve known and unknown risks, uncertainties and other factors which might cause the actual results, financial condition, performance or achievements of Galapagos, or industry results, to be materially different from any historic or future results, financial conditions, performance or achievements expressed or implied by such forward-looking statements. Given these uncertainties, the reader is advised not to place any undue reliance on such forward-looking statements. These forward-looking statements speak only as of the date of publication of this document. Galapagos expressly disclaims any obligation to update any such forward-looking statements in this document to reflect any change in its expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based, unless required by law or regulation.