| Apollon, Inc. | |||
| Proposed Ticker: | APLN | One Great Valley Parkway | |
| Exchange: | NASDAQ-National Market | Malvern, PA 19355 | |
| Industry: | Manufacturing (SIC Code 2836) | (610) 647-9452 | |
| # of Employees: | 56 | ||
| Type of Shares: | Common Shares | Filing Date: | 10/14/97 | |
| U.S. Shares Filed: | 2,500,000 | Filing Range: | $11.00 - $13.00 | |
| Non-U.S. Shares Filed: | 0 | Offering Amount: | $30,000,000 | |
| Primary Shares: | 2,500,000 | Expenses: | - | |
| Secondary Shares: | 0 | Shares Out After: | 8,145,568 |
| Manager | Tier | Phone |
| Smith Barney Inc. | Lead Manager | (212) 723-7300 |
| Cruttenden Roth Incorporated | Co-manager | (800) 678-9147 |
| Genesis Merchant Group Securities | Co-manager | (800) 521-2424 |
| Issuer's Law Firm: | Ballard, Spahr,Andrews & Ingersoll |
| Bank's Law Firm: | Dewey Ballantine |
| Auditor: | Coopers & Lybrand |
| Registrar/Transfer Agent: | American Stock Transfer & Trust Co |
Dollar amounts in U.S. millions except for per share data | |||||
| 6 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 12/31/96 | 6/30/97 | 6/30/96 | 6/30/97 | ||
| Revenue: | $8.25 | $0.16 | $1.30 | Assets: | $7.16 |
| Net Income: | -$1.86 | -$6.41 | -$3.39 | Curr Assets: | $4.28 |
| EPS: | -$0.33 | -$1.13 | Liabilities: | $32.07 | |
| Prior EPS: | -$5.62 | -$2.60 | Curr Liabilities: | $1.67 | |
| Cash Flow/Oper: | -$1.03 | $0.08 | $9.10 | Equity: | -$24.92 |
| Cash Flow/Fin: | $9.30 | $0.40 | -$0.48 | Cash: | $4.00 |
| Cash Flow/Inv: | -$0.97 | $0.40 | Working Cap: | $2.62 | |
| Business Description |
| The company is a leader in the development of non-viral DNA-based vaccines and other DNA-based gene therapy products for the prevention and treatment of infectious and autoimmune diseases. The company's vaccine product candidates, which utilize its proprietary facilitated DNA delivery technology, are designed to stimulate an immune response by causing cells to express specific encoded antigenic proteins. The Company believes that its GENEVAX vaccine product candidates may have several positive attributes, including the ability to: (i) stimulate both humoral (antibody) and cellular (cytotoxic T-cell) immune responses; (ii) target different strains of the same pathogen, as well as multiple pathogens, with a single vaccine; (iii) be conveniently administered using conventional methods; (iv) demonstrate increased safety relative to live virus vaccines; and (v) be manufactured with relative ease. The Company believes that its technology represents a new paradigm for the development of preventive and therapeutic vaccines directed against a range of infectious diseases, including genital and oral/labial herpes, viral hepatitis, AIDS, genital warts and tuberculosis, as well as autoimmune diseases and cancer. |
| Competition |
| Competitors of the Company in the United States and other countries are numerous and include, among others, pharmaceutical and chemical companies, biotechnology firms, universities and other research institutions. These competitors are engaged in developing products for human prophylactic and therapeutic applications of DNA-based vaccines, other gene therapies, traditional drugs and viral vaccines, which are competitive with the Company's technologies and product candidates. Some of these competitors have potential products in clinical trials. Many of the Company's competitors have substantially greater financial, technical and human resources than the Company and significantly greater experience in pharmaceutical products and obtaining FDA and other regulatory approvals for such products. Accordingly, the Company's competitors may succeed in obtaining FDA or other regulatory approvals for products or in commercializing such products more rapidly than the Company. In addition, there are currently commercially available products for the treatment of certain of the diseases targeted by the Company. Furthermore, if the Company is permitted to commence commercial sales of its products, it may compete with respect to manufacturing efficiency and marketing capabilities, areas in which the Company has limited or no experience. |
| Business Plan |
| The company's goal is to develop and commercialize a substantial portfolio of DNA-based vaccine and gene therapy products aimed at the prevention and treatment of infectious and autoimmune diseases. In order to develop DNA-based vaccine products successfully, the Company is focusing a significant proportion of its resources on the advancement of its vaccine product candidates into human clinical trials including both clinical trials of preventive product candidates in healthy adults and clinical trials of therapeutic product candidates in infected patients. The Company's GENEVAX products incorporate its proprietary facilitated DNA delivery technology which the Company believes represents a new paradigm for the development of preventive and therapeutic vaccines directed against a wide range of diseases. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used to fund research and development, including preclinical and clinical studies and for working capital. |
| Name of Shareholder | % Owned Before | % Owned After |
| Hubert J.P. Schoemaker, Ph.D. | 46.40% | 32.50% |
| Centocor, Inc. | 34.00% | 23.60% |
| Morton Collins, Ph.D. | 21.90% | 15.20% |
| DSV Partners IV | 21.90% | 15.20% |
| Christopher Moller, Ph.D. | 13.10% | 9.10% |
| Chancellor Capital Management, Inc. | 12.20% | 8.50% |
| Technology Leaders Offshore C.V. | 7.00% | 4.90% |
| Technology Leaders, L.P. | 6.20% | 4.30% |
| Officer Name | Title | Age |
| Morton Collins, Ph.D. | Chairman of the Board | 61 |
| Vicent R. Zurawski, Jr., Ph.D. | President, Chief Executive Officer and Director | 51 |
| Richard S. Ginsberg, M.D. | Vice President, Clinical Research | 45 |
| James G. Murphy | Vice President, Finance and Administration, Chief Financial Officer and Treasurer | 41 |
| Richard B. Ciccarelli, Ph.D. | Vice President, Research and Development | 40 |
| Richard A. Carrano, Ph.d. | Vice President, Technology Development and Regulatory Affairs | 56 |