MONMOUTH JUNCTION, N.J., Jan. 10, 2006 (PRIMEZONE) -- During 2005 VioQuest Pharmaceuticals (OTCBB:VQPH) made significant progress on its business strategy and achieved several important milestones:
-- VioQuest acquired two targeted therapeutic oncology compounds,
VQD-001 (sodium stibogluconate) a protein tyrosine phosphatase
inhibitor and VQD-002 (triciribine phosphate) a specific
inhibitor of phosphorylated Akt, through its acquisition of
Greenwich Therapeutics.
-- VioQuest's oncology compound VQD-001 entered Phase I/II clinical
trials at the Cleveland Clinic.
-- VioQuest expects to initiate clinical trials for its oncology
compound VQD-002 in solid tumors during the first quarter of 2006,
and liquid tumors during the second quarter of 2006.
-- VioQuest's subsidiary, Chiral Quest, posted record revenue growth
of over 100% for the fourth consecutive year. Chiral Quest's
client base includes twelve of the top eighteen pharmaceutical
companies, and over 60 customers worldwide.
-- Revenues for the year ended December 31, 2005, increased 153% to
approximately $3.8 million, compared to $1.5 million in 2004.
Fourth quarter revenue increased 182% to approximately $1.1 million
compared to $390,000 in the fourth quarter of 2004. The strong
revenue growth was driven by an expanded customer base and
increased demand for proprietary ligands, catalysts, and
contract process research and synthesis services.
-- Chiral Quest also entered into a license agreement with
Merck & Co. to supply a variety of chiral catalysts and
ligands.
-- Significant management upgrades were made throughout the year,
including the hiring of Daniel Greenleaf, President & CEO,
Richard Welter, Ph.D., Vice President of Corporate Business
Development, the promotion of Yaping Hong, Ph.D., to Senior Vice
President of Global Research & Development and Michael Cannarsa,
Ph.D., to General Manager of the company's subsidiary, Chiral
Quest.
-- A financing was completed in October 2005 in which VioQuest raised
gross proceeds of $8.4 million. Additionally on the financial
front, in December 2005, VioQuest entered into an agreement with
the New Jersey Economic Development Authority to transfer its net
operating loss carryforwards in consideration for approximately
$500,000 in non-dilutive cash.
"2005 was a tremendous year for VioQuest whereby many of the goals we set were accomplished," said Daniel Greenleaf, VioQuest's Chief Executive Officer. "Our research and development costs increased as expected, yet we continued to advance our therapeutics through the clinical pipeline which has better positioned us to reach some significant clinical milestones. At the same time, we are very proud of our Chiral Quest sales performance for this last year. The company's solid cash position due to our sales performance, and our recent financing, better enable us to execute our strategy to pursue the further clinical development of our therapeutics pipeline while expanding our Chiral Quest business."
The company continues to foresee an increase in net losses which are attributed to VioQuest's clinical drug development and growth of the Chiral Quest business.
VioQuest anticipates reporting full and complete audited financials for the year ended 2005 on or about March 31, 2006.
About VioQuest Pharmaceuticals, Inc.
VioQuest Pharmaceuticals, Inc.'s strategy is to acquire, develop, and commercialize targeted late preclinical and early clinical stage therapies with unique mechanisms of action for oncology, viral and autoimmune disorders. VioQuest is developing two novel anti-cancer agents VQD-001 and VQD-002 for the treatment of melanoma, myeloma, lymphoma; and breast, ovarian, pancreatic, colorectal cancers, respectively. VioQuest's life science subsidiary, Chiral Quest, Inc., a pioneer in asymmetric synthesis, offers proprietary chiral catalysts and synthesis expertise for creating important chiral intermediates and products, which improves the safety, efficacy and manufacturing efficiency of pharmaceutical products. Through Chiral Quest, VioQuest provides products and services to fine chemical manufacturers and twelve of the top eighteen pharmaceutical companies worldwide. For more information please visit www.vioquestpharm.com.
Forward-Looking Statements: This press release contains forward-looking statements that involve risks and uncertainties that could cause VioQuest's actual results and experiences to differ materially from the anticipated results and expectations expressed in these forward-looking statements. These statements are based on current expectations, forecasts and assumptions that are subject to risks and uncertainties, which could cause actual outcomes and results to differ materially from these statements. Among other things, there can be no assurances that any of VioQuest's research programs and compounds will be successfully commercialized. Risks, uncertainties and assumptions also include the possibility that the market for the sale of certain products may not develop as expected; and that development of these products may not proceed as planned. Additional risks are described in VioQuest's Annual Report on Form 10-KSB for the year ended December 31, 2004. VioQuest assumes no obligation and does not intend to update these forward-looking statements, except as required by law.