SOURCE: Spencer Pharmaceutical, Inc.

March 16, 2011 09:25 ET

Spencer Pharmaceutical Inc. Announces Mutually Agreed Extension to the Closing

BOSTON, MA--(Marketwire - March 16, 2011) - Spencer Pharmaceutical Inc. (PINKSHEETS: SPPH) has requested an extension to the closing of the buy-out offer to finalize and release the independent animal research analysis to shareholders and stakeholders.

The Company is pleased to report that Al-Dorra and its subsidiary Hail First Pharma have agreed to provide additional funding to facilitate the completion of the animal studies and ongoing operational expenses in the amount of $1.2 million. As an accommodation, Al-Dorra/Hail First Pharma have agreed to postpone the closing of the buy-out offer and keep the offer open until the end of the 2nd Quarter, 2011.

In further news, the holders of an additional One-hundred and three million (103,000,000) shares of common stock have agreed to tender their common stock in favor of the Al-Dorra buy-out and its subsidiary Hail First Pharma. This represents, in addition to management's shares already committed, an aggregate of over 55% of the issued and outstanding shares in the Company.

"Spencer Pharmaceutical has an obligation to provide full and fair disclosure in effecting a securities transaction and requires the additional time to fulfill this requirement," stated Dr. Max Arella President and CEO of Spencer Pharmaceutical Inc. Furthermore "We would like to thank the continued support of Al-Dorra and Hail First Pharma in our mutual efforts to bring this transaction to a successful conclusion," added Dr. Arella.

Spencer Pharmaceutical Inc. is a US based Pharmaceutical Research and Development Corporation, which is developing innovative drug release and absorption systems for the treatment of metabolic diseases such as diabetes and metabolic syndrome.

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. Although there is an offer currently coming from a third party, the Company can provide no assurances that the offer will be made, the timelines achieved, or the minimum offer will be realized.

Contact Information

  • Contact:

    Ian Morrice
    Executive Vice President and Director
    Spencer Pharmaceutical Inc.
    1+(617) 973-5017