NEW YORK, NY (December 23, 2004) – Intrac, Inc. and Innovative Drug Delivery Systems (IDDS), Inc. recently announced the two companies have consummated a merger.
The transaction was completed by the merger of a wholly owned subsidiary of Intrac, Inc. with the specialty pharmaceutical company IDDS, a private company, with IDDS remaining as the survivor corporation and a wholly owned operating subsidiary of Intrac.
IDDS also announced that it closed an $18 million private placement of its common stock priced at $3.00 per share. Rodman & Renshaw served as the exclusive placement agent for IDDS.
“I am pleased to reach this milestone in the development of our company,” said Dr. Fred Mermelstein, president and chief executive officer of IDDS. “Institutional investment in our company strengthens our access to broad capital markets and facilitates our clinical development programs as they move towards commercialization.”
On the merger, historical IDDS stockholders received approximately 71.5 percentof Intrac’s outstanding shares, the investors in IDDS’s $18 million private placement received approximately 24 percent of Intrac’s outstanding shares and the existing Intrac equity holders received approximately 4.5 percent of Intrac’s outstanding shares. In addition, IDDS officers and directors will replace Intrac officers and directors and Intrac will implement IDDS’s business plan, the companies said.
IDDS is a specialty pharmaceutical company. The company’s product candidates address the market segment for prescription medications used to treat acute and episodic moderate-to-severe pain associated with breakthrough cancer pain, post operative pain, orthopedic injury, procedural pain, burn pain, and trauma.