MONTRÉAL, Oct. 02, 2024 (GLOBE NEWSWIRE) -- IntelGenx Technologies Corp. (the “Company” or “IntelGenx”), a leading drug delivery company focused on the development and manufacturing of pharmaceutical films, announces that the Company and its subsidiary IntelGenx Corp. (“IGX” and, together with the Company, the “IGX Entities”) have obtained on September 30, 2024 an approval and vesting order (the “Approval and Vesting Order”) from the Superior Court of Québec (Commercial Division) (the “Court”) issued in connection with the previously announced proceedings instituted pursuant to the Companies’ Creditors Arrangement Act (the “CCAA”).
The Approval and Vesting Order approved the previously announced transactions (collectively, the “Transaction”) contemplated in the sale proposal from atai Life Sciences AG (“atai”), as well as the implementation of a reorganization of the IGX Entities that involves: (a) the incorporation of two new entities (“Residual IGX” and “New ParentCo”) to ultimately hold certain excluded liabilities of IGX and certain excluded assets, and (b) the exchange of the shares of IGX, on a one-for-one basis, for common shares of New ParentCo.
Pursuant to the Transaction, which closed on October 2, 2024, atai acquired all of the issued and outstanding shares of IGX. The Transaction was structured as a credit bid, whereby atai agreed that its senior secured debt in IntelGenx was discharged in exchange for IGX shares. No atai equity or cash was exchanged in connection with this Transaction.
Based on the terms of the Transaction and the consideration received by New ParentCo, holders of the Company’s shares will not receive any payments for, or distributions on, their shares in connection with the CCAA proceedings. It is also expected that the Company, Residual IGX and New ParentCo, entities that will hold the remaining assets and liabilities that atai chose not to purchase as part of the Transaction, will file for bankruptcy in the coming weeks under the laws of their respective jurisdictions.
About IntelGenx
IntelGenx is a leading drug delivery company focused on the development and manufacturing of pharmaceutical films. IntelGenx’s superior film technologies, including VersaFilm®, DisinteQ™, VetaFilm® and transdermal VevaDerm™, allow for next generation pharmaceutical products that address unmet medical needs. IntelGenx’s innovative product pipeline offers significant benefits to patients and physicians for many therapeutic conditions. IntelGenx's highly skilled team provides comprehensive pharmaceutical services to pharmaceutical partners, including R&D, analytical method development, clinical monitoring, IP and regulatory services. IntelGenx's state-of-the-art manufacturing facility offers full service by providing lab-scale to pilot- and commercial-scale production. For more information, visit https://www.intelgenx.com/ and connect with us on X and LinkedIn.
IntelGenx Forward-Looking Statements
This press release contains forward-looking information under applicable securities law. All information that addresses activities or developments that we expect to occur in the future is forward-looking information. Forward-looking statements use such word as “will”, “may”, “potential”, “believe”, “expect”, “continue”, “anticipate” and other similar terminology. Forward-looking statements are based on the estimates and opinions of management on the date the statements are made. In the press release, such forward-looking statements include, but are not limited to, statements relating to filing for bankruptcy by the Company, Residual IGX and New ParentCo. However, they should not be regarded as a representation that any of the plans will be achieved. Actual results may differ materially from those set forth in this press release due to risks affecting the Company. IntelGenx assumes no responsibility to update forward-looking statements in this press release except as required by law. These forward-looking statements involve known and unknown risks and uncertainties. Investors are cautioned not to rely on these forward-looking statements and are encouraged to read IntelGenx’s continuous disclosure documents, including its current annual information form, as well as its audited annual consolidated financial statements which are available on SEDAR+ at http://www.sedarplus.ca and on EDGAR at http://www.sec.gov/edgar.
Contact:
Andre Godin, President & CFO, andre@intelgenx.com
