SOURCE: Hail First Pharma Inc.

March 16, 2011 10:47 ET

Hail First Pharma Signs Buy-Out Extension Agreement

KUWAIT CITY, KUWAIT--(Marketwire - March 16, 2011) - Hail First Pharma Inc., a subsidiary of Al-Dorra Holdings, a privately held Kuwaiti company, announced today that it has granted an extension to the closing of the buy-out transaction with Spencer Pharmaceutical Inc.(PINKSHEETS: SPPH).

According to the Extension Agreement, Al-Dorra and/or its subsidiary will fund the animal studies and operational expenses in the amount of $1.2 million USD. This extension is granted to Spencer Pharmaceutical to allow a complete release of the analysis by the independent research organization on the drug delivery platform. The companies have agreed to postpone the closing to the second quarter of 2011. Shareholders, representing over 55% of the total outstanding of Spencer Pharmaceuticals, have already agreed to tender their shares in favor of the transaction.

Hail First Pharma has also delayed its IPO to the second quarter of 2011 due to current market turmoil, although a strong commitment has already been receive from several institutional investors.

"The delay should not be viewed as a negative thing, since we are only granting this delay to comply with disclosure requirements and we do not want to appear to be hiding results from shareholders," said Hussain Al-Awaid, Chairman of Hail First Pharma Inc. "The various technologies acquired and companies will truly create a leading pharmaceutical for our shareholders," further added Al-Awaid.

Important Information
About Forward-Looking Statements in this press release may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "intend" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above. In addition, such statements could be affected by risks and uncertainties related to the exploration for and development of mineralized material, product demand, market and customer acceptance, competition, pricing and development difficulties, as well as general industry and market conditions and growth rates and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on the Company's website does not constitute a part of this release.

Contact Information

  • Contact:
    Hussain Al-Awaid
    Tel +971-5061-25585