SPARTA REPORTS NET LOSS FOR 4TH QTR AND YEAR ENDED 1998.Sparta Pharmaceuticals, Inc. (The OTC Bulletin Board OTC Bulletin Board An electronic quotation listing of the bid and asked prices of OTC stocks that do not meet the requirements to be listed on the NASDAQ stock-listing system. : SPTA SPTA Spectrin, Alpha SPTA Silicon Prairie Technology Association SPTA Southern Pressure Treaters Association (Gulf Shores, Alabama) SPTA Saint Petersburg Telegraph Agency (PTA predecessor 1904-1914) ), Horsham, Pa., has reported a net loss of $1,034,000, or 29 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. for the fourth quarter, and a net loss of $4,062,000, or $1.18 per share, for the year ended December 31, 1998. This compares with a net loss of $1,323,000, or 45 cents per share, for the fourth quarter and a net loss of $4,879,000, or $2.16 per share, for the year ended December 31, 1997, after adjustment to reflect the one-for-five reverse split of the company's outstanding common stock which was effected on May 13, 1998. Weighted average shares outstanding for the years ended December 31, 1998 and 1997 were 3,446,252 and 2,260,261, respectively. Revenue increased to $849,000 for the year 1998 from $601,000 for 1997 due to increased grant, contract and license fee income, resulting primarily from two Small Business Innovation Research grants the company received and a licensing agreement with Schering-Plough. Revenue decreased to $99,000 for the fourth quarter of 1998 from $210,000 for the fourth quarter of 1997 due both to lower levels of grant, contract and license fee income and lower levels of investment income generated from lower cash balances available for investment as the company has continued to consume investable funds for operations. At December 31, 1998, the company had cash and investments of $2,470,359 and working capital of $1,956,988. In addition, stockholders' equity Stockholders' Equity The portion of the balance sheet that includes capital received from investors in exchange for stock (paid-in capital), donated capital, and retained earnings. This is equal to total assets minus liabilities, preferred stock and intangible assets. was $2,212,890, and there were 3,651,843 shares of common stock outstanding. In January 1999, the company and SuperGen, Inc. ("SuperGen") entered into an Agreement and Plan of Reorganization dated January 18, 1999 pursuant to which a subsidiary of SuperGen will merge with and into the company (the "Merger"). If the Merger and related amendments to Sparta's Certificate of Incorporation certificate of incorporation n. some states issue a certificate to prove a corporation's existence upon the filing of Articles of Incorporation. In most states the Articles are sufficient proof. are approved by Sparta's stockholders, after the Merger, Sparta will operate as a wholly-owned subsidiary of SuperGen. In the merger, the company's stockholders will receive 650,000 shares of SuperGen common stock (subject to adjustment) in exchange for all shares of common stock and Series B' Convertible Preferred Stock Convertible Preferred Stock Preferred stock that includes an option for the holder to convert the preferred shares into a fixed number of common shares, usually anytime after a predetermined date. Also known as "convertible preferred shares". of Sparta that they own. Sparta is a development stage pharmaceutical company engaged in the business of acquiring rights to, and developing for commercialization, technologies and drugs for the treatment of a number of life threatening diseases including cancer, cardiovascular disorders, chronic metabolic diseases metabolic disease, n a disorder that causes dysfunction of the metabolic action of the body, resulting in loss of control of homeostasis. paraneoplastic syndrome and inflammation. The company has focused on acquiring compounds that have been previously tested in humans and animals and technologies that may improve the delivery or targeting of previously tested, and in some cases marketed, drugs. Sparta's portfolio of compounds in development includes three potential oncology products and one for the treatment of Type II diabetes Type II diabetes Type II diabetes is the most common form of diabetes and usually appears in middle aged adults. It is often associated with obesity and may be delayed or controlled with diet and exercise. Mentioned in: Diabetic Ketoacidosis , all in clinical trials, and an emerging platform technology in recombinant and small molecule protease inhibitors Protease Inhibitors Definition A protease inhibitor is a type of drug that cripples the enzyme protease. An enzyme is a substance that triggers chemical reactions in the body. . For more information, call 215/442-1700, ext.207. |
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