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EXHIBIT 99.1
[ALTAREX LOGO]
CONTACTS:
Sondra Henrichon Wayne Hendry Ezio Moalli, Ph.D.
Director, Investor Relations Investor Relations Chief Financial Officer
AltaRex Corp. The Equicom Group, Inc. Dompe Farmaceutici S.p.A.
Waltham, MA USA Toronto, ON Canada Milano, Italy
(781) 672-0138 ext. 5110 (416) 815-0700 ext. 238 +39 (02) 5838 3244
shenrichon@altarex.com whendry@equicomgroup.com moalli@dompe.it
FOR IMMEDIATE RELEASE
ALTAREX AND DOMPE FARMACEUTICI CLOSE ON PRIVATE PLACEMENT
- NET PROCEEDS TO ALTAREX OF C$7.75 MILLION -
WALTHAM, MA, DECEMBER 22, 2000 - ALTAREX CORP. (TSE: AXO, OTC: ALRXF) and Dompe
Farmaceutici S.p.A. (Dompe) announced today the closing of Dompe's private
placement purchase of 3,522,727 AltaRex Common Shares at C$2.20 per share for
net proceeds to the AltaRex of C$7.75 million. The shares are subject to a
180-day lock-up period. As a result of this purchase, Dompe will own
approximately 16% of the outstanding Common Shares of the Company. Proceeds from
this and other contemplated equity transactions will be used to advance
development of the Company's lead products, OvaRex(R) and BrevaRex(R) MAbs.
"Dompe is an important and valued partner as we proceed to a regulatory filing
of our ovarian cancer drug, OvaRex(R) MAb, both in the United States and
Europe," said Richard E. Bagley, President and CEO of AltaRex Corp. "This
investment reflects the confidence that Dompe has in OvaRex(R) MAb and our
overall strategy. We believe this collaboration will help realize the full
potential of OvaRex(R) MAb upon commercialization."
Under the terms of the Memorandum of Understanding dated November 15, 2000,
Dompe and AltaRex have formed a strategic alliance for the commercialization of
AltaRex's lead product OvaRex(R) MAb in Italy, Spain, Portugal, Switzerland,
Austria and certain Eastern European countries. The Memorandum of Understanding
also provides Dompe with the right of first offer in these territories for
additional cancer antibodies being developed by AltaRex. Dompe also has the
option to purchase an additional US$5 million in equity in a private placement
concurrent with a future public offering of AltaRex Common Shares in the United
States.
About Dompe Farmaceutici S.p.A.
Based in Milan, Italy, Dompe is one of Europe's most integrated and innovative
pharmaceutical and biotech companies. Traditionally established in the areas of
respiratory, anti-inflammatory and osteo-articular pharmaceuticals, Dompe has
since expanded its reach into biotechnology.
ALTAREX CORP.
610 LINCOLN STREET
WALTHAM, MA 02451
TEL. 781.672.0138 FAX. 781.672.0142
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[ALTAREX LOGO]
About Dompe Biotec
Dompe Biotec is a joint venture between Dompe Farmaceutici and Amgen. Dompe
Biotec is the leading biotechnology company in Italy focused on marketing
biotechnological drugs of high added value within specialized areas of medicine.
Dompe Biotec gained access to three early products of biotechnology by allying
with the large multinational firms that held European rights to them. Dompe
Biotec has since made a point of directly pursuing North American biotech
companies with innovative treatments for specific medical conditions. Dompe
Biotec has established successful partnerships with global biotechnology
companies such as Biogen, Genzyme and Pathogenesis, and more recently, Hemosol.
About AltaRex
AltaRex Corp. is focused exclusively on the research, development and
commercialization of antibody-based immunotherapeutic products to prolong life
and reduce the suffering associated with late-stage cancers. Data from clinical
studies suggest that through multiple mechanisms, AltaRex's proprietary
technology enhances the ability of the human immune system to produce an
anti-tumor response. The Company has five antibody-based products in various
stages of development. Its most advanced product is OvaRex(R) MAb, in late-stage
clinical development for the treatment of ovarian cancer.
Additional information about AltaRex research and development, news and events
can be found on its web site at www.altarex.com. Clinical information can also
be found at www.centerwatch.com. Additional information about ovarian cancer can
be found at www.nci.nih.gov, www.ovariancanada.org and at www.ovarian.org.
This news release contains forward-looking statements that involve risks and
uncertainties, which may cause actual results to differ materially from the
statements made. For this purpose, any statements that are contained herein that
are not statements of historical fact may be deemed to be forward-looking
statements. Without limiting the foregoing, the words "believes," "anticipates,"
"plans," "intends," "expects" and similar expressions are intended to identify
forward-looking statements. Such risks and uncertainties include, but are not
limited to our need for capital and the risk that the Company can not raise
funds on a timely basis on satisfactory terms or at all, changing market
conditions, completion of clinical trials, patient enrollment rates, uncertainty
of pre-clinical, retrospective and early clinical trial results, such as the
results described above which may not be indicative of results that will be
obtained in ongoing or future clinical trials, the establishment of
manufacturing processes and new corporate alliances, the timely development,
regulatory approval and market acceptance of the Company's products, uncertainty
as to whether patents will issue from pending patent applications and, if
issued, as to whether such patents will be sufficiently broad to protect the
Company's technology, and other risks detailed from time-to-time in the
Company's filings with the United States Securities and Exchange Commission and
Canadian securities authorities.
THE TORONTO STOCK EXCHANGE HAS NOT APPROVED OR DISAPPROVED OF THE
INFORMATION CONTAINED HEREIN.
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ALTAREX CORP.
610 LINCOLN STREET
WALTHAM, MA 02451
TEL. 781.672.0138 FAX. 781.672.0142