Date: Oct 01, 2005 Source: Biospace (
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OKLAHOMA CITY--(BUSINESS WIRE)--Nov. 3, 2003--ZymeTx, Inc. (Pink Sheets:ZMTX - News), a biotechnology and influenza disease management firm based in Oklahoma City, today announced that the United States Bankruptcy Court for the Western Division of Oklahoma has confirmed its reorganization plan, allowing the company to emerge from bankruptcy.
Since filing for reorganization in November 2002, ZymeTx has continued marketing and selling its ZstatFlu® product, a proven point-of-care diagnostic test for the detection of Influenza A and B. The non-invasive test, administered using a throat swab, renders a diagnosis in a doctor's office within 20 minutes. The company has also continued research activities during the reorganization funded primarily by federal and state research grants and operated the National Flu Surveillance Network(TM) (NFSN), an Internet-based program to pinpoint and track the spread of influenza across the United States.
"It has been a challenging process for our employees, vendors and stakeholders, but we are nevertheless pleased to announce we have succeeded in our reorganization effort and we are positioned to move forward with the company," commented Norman Proulx, the firm's president and chief executive officer.
Under the terms of the reorganization, the Company sold all of its ZstatFlu test kit inventory and licensed and/or sublicensed all of its proprietary rights to certain of its other technology and assets, including the chemiluminescence-based (Polaroid) rapid disease detection technology, the ZstatFlu test kits and the National Flu Surveillance Network, to DiagXotics, Inc., a Delaware corporation. In addition, stockholders of the Company will retain their shareholder status with ZymeTx, thereby giving them the opportunity to potentially recover some or all of their original investment in the Company depending on the revenues that the Company ultimately realizes from the sale of the inventory and the licensing agreements, as well as from its ongoing research activities related to its other technology.
"I am pleased our plan contains opportunity for ZymeTx creditors and shareholders to potentially benefit financially in the reorganized company," Proulx said. "We are grateful for the support of all stakeholders throughout the process this past year. As we look to the future, we have good reason for optimism with an acknowledged, accurate influenza diagnostic and excellent invitro and invivo data from our viral therapeutic program."
About The Company
ZymeTx, Inc., headquartered in Oklahoma City, is a biotechnology company engaged in the development of technology to produce products for the diagnosis and treatment of viral disease, viral management and disease surveillance. The Company developed ZstatFlu, the world's first rapid point-of-care test capable of detecting both Influenza A and B, and the National Flu Surveillance Network(TM) (NFSN), a network of physician sites across the country that use ZstatFlu to track influenza in their communities and practices. Additional information on ZymeTx and NFSN can be obtained by accessing the websites at www.zymetx.com and www.fluwatch.com.
This press release may contain forward-looking statements including statements regarding expected future results of operations, which are subject to risks and uncertainties. All forward-looking statements in this press release are based upon historical information available as of the date of this release. Such historic information may change or become invalid after the date of this release, and by making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release. The Company's SEC filings contain additional discussions about those facts, which could cause actual results to differ from management's expectations.
