Press Releases

AMERICAN BIOGENETIC SCIENCES, INC. SELLS ASSETS OF ITS SUBSIDIARY, STELLAR BIO SYSTEMS, INC.

Copiague, NY, July 2, 2001 – American Biogenetic Sciences, Inc., (ABS)(NASDAQ: MABA), a developer of innovative diagnostic technologies and novel therapeutics for cardiovascular and neurological diseases, announced today the sale of the assets of its Stellar Bio Systems, Inc. (Stellar) subsidiary to PanBio Limited.

The sale consists of $1.2 million upfront cash payment at closing plus up to $540,000 payable quarterly over three years, based on revenues of a portion of the Stellar business. Under the terms of the sale, the buyer of Stellar will continue contract manufacturing of ABS’ Thrombus Precursor Protein (TpP™) ELISA diagnostic test kit for ABS.

Stellar, established in 1982 and based in Columbia, Maryland, manufactures and distributes research and biotechnical products for the diagnostic, research, and manufacturing segments of the biomedical community. In April of 1998, ABS acquired Stellar.

"This sale and its proceeds strengthens ABS’ operations and enables us to concentrate more on activities closer to our core business,” said Alfred J. Roach, founder, CEO and Chairman of the company. “Our strategy is commercializing the innovative products now emerging from our R&D pipeline."

Josef C. Schoell, President and COO of ABS added, “The contract manufacturing agreement with PanBio allows ABS to continue marketing the ELISA TpP kits without any interruption, while we concentrate our efforts on licensing ABS 205 and the Antigen Free Technology.”

American Biogenetic Sciences, Inc., based in Copiague, N.Y., researches and develops diagnostic tests for cardio-pulmonary conditions and infectious diseases, as well as for new treatments for neurological disorders including epilepsy, migraine, mania, Parkinson’s disease and Alzheimer’s disease.

Statements in this press release that are not strictly historical are “forward looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, and should be considered as subject to various risks and uncertainties that could cause actual results to differ materially from those anticipated, including the risk that its products may not be commercialized. For further details and a discussion of these risks and uncertainties, see the Company's Securities and Exchange Commission filings including its annual report on Form 10K.

 

For a complete analysis of the ABS pipeline go to:
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