Pharma Patch plc, which acquired 14 percent of Cangene Corp. twoweeks ago, announced that it has begun a bid to acquire all theremaining shares of the Toronto company.Pharma Patch, incorporated in Ireland, is developing transdermal drugdelivery systems through its Medipro Sciences Ltd. subsidiary inToronto. It is offering one share of Pharma Patch (NASDAQ:SKINY),represented by an American depository receipt, for three shares ofCangene (TSE:CNJ). Cangene has about 9.5 million shares outstanding(about 10.4 million on a fully diluted basis).Pharma Patch stock closed Friday at $5 per share. Cangene has beentrading recently at approximately $2 Canadian (U.S. $1.45) per share.The offer is contingent upon at least 90 percent of the Cangene sharesnot already owned by Pharma Patch being validly tendered. The offeris open until July 22. Cangene has 10 days to respond.Cangene's two lead products are a granulocyte macrophage colonystimulating factor, which is in a Phase II/III trial in Canada, and anucleic acid sequence-based amplification product used in HIVresearch and other applications.Cangene officials would not comment Thursday, but previously saidthey didn't understand the takeover attempt because their productswere not suitable for transdermal delivery.Pharma Patch, in its bid circular, said the acquisition would lead toincreased efficiencies that would reduce overhead expenses. _ JimShrine
(c) 1997 American Health Consultants. All rights reserved.