Bionovo Announces Arbitration Decision in Lawsuit Filed by Former Officer - All Claims Denied
EMERYVILLE, Calif., June 11 /PRNewswire-FirstCall/ -- Bionovo, Inc.
(Nasdaq: BNVI) announced today that an arbitration decision issued on June 10,
2009 has denied all claims against the company and its founders, Drs. Isaac
Cohen and Mary Tagliaferri.
The decision was in reference to a suit filed by former Chief Financial
Officer James P. Stapleton, alleging fraud, negligent misrepresentation and
breach of oral contract stemming from Mr. Stapleton's separation from Bionovo.
The binding arbitration took place on May 11 and 12, 2009, before Sherman W.
Smith, Jr., JAMS.
"It is unfortunate that this arbitration was necessary at all. We are
pleased that we have prevailed on all of the issues presented," said Isaac
Cohen, O.M.D., Bionovo's Chairman and CEO.
There are some residual claims remaining, which were not subject to this
arbitration. The Company hopes to resolve these quickly, now that the
arbitrator has ruled on several key facts and legal issues in the case.
Bionovo is a pharmaceutical company focused on the discovery and
development of safe and effective treatments for women's health and cancer,
markets with significant unmet needs and billions in potential annual revenue.
The company applies its expertise in the biology of menopause and cancer to
design new drugs derived from botanical sources which have novel mechanisms of
action. Based on the results of early and mid-stage clinical trials, Bionovo
believes they have discovered new classes of drug candidates within their rich
pipeline with the potential to be leaders in their markets. Bionovo is
headquartered in Emeryville, California and is traded on the NASDAQ Capital
Market under the symbol, "BNVI". For more information about Bionovo and its
programs, visit: http://www.bionovo.com.
Forward Looking Statements
This release contains certain forward-looking statements relating to the
business of Bionovo, Inc. that can be identified by the use of forward-looking
terminology such as "believes," "expects," or similar expressions. Such
forward-looking statements involve known and unknown risks and uncertainties,
including uncertainties relating to product development, efficacy and safety,
regulatory actions or delays, the ability to obtain or maintain patent or
other proprietary intellectual property protection, market acceptance,
physician acceptance, third party reimbursement, future capital requirements,
competition in general and other factors that may cause actual results to be
materially different from those described herein as anticipated, believed,
estimated or expected. Certain of these risks and uncertainties are or will be
described in greater detail in our filings with the Securities and Exchange
Commission, which are available at http://www.sec.gov. Bionovo, Inc. is under
no obligation (and expressly disclaims any such obligation) to update or alter
its forward-looking statements whether as a result of new information, future
events or otherwise.
SOURCE Bionovo, Inc.
/CONTACT: Claire Fong, or Tom Chesterman, both of Bionovo,
+1-510-601-2000, firstname.lastname@example.org; or Investors, Joe Diaz, or Robert Blum,
or Joe Dorame, all of Lytham Partners, LLC, +1-602-889-9700,
email@example.com, for Bionovo/
/Web Site: http://www.bionovo.com /
CO: Bionovo, Inc.; James P. Stapleton
IN: HEA PHA
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2987 06/11/2009 16:30 EDT http://www.prnewswire.com