Exhibit
99.1
This
information is not an offer to sell securities and is not soliciting an
offer to
buy securities. Investors are urged to read the documents relating to the
proposed transaction that may be filed from time to time by either party
with
the Securities and Exchange Commission. These documents will contain important
information regarding the proposed transaction and may be obtained after
they
are filed free of charge at the Securities and Exchange Commission's website
at
www.sec.gov.
ACCESS
NEWS
Contact:
Company
Stephen
B. Thompson
Vice
President, Chief Financial Officer
(214)
905-5100
Contact:
Investor Relations
Donald
C.
Weinberger/Alisa Steinberg (media)
Wolfe
Axelrod Weinberger Assoc. LLC
(212)
370-4500
Andrew
Hellman, CEOcast, Inc. for Access Pharmaceuticals
(212)
732-4300
ACCESS
PHARMACEUTICALS SIGNS DEFINITIVE
MERGER AGREEMENT WITH SOMANTA PHARMACEUTICALS
DALLAS, TX
and
Irvine, CA, April 19, 2007, ACCESS
PHARMACEUTICALS, INC. (OTC BB: ACCP) and Somanta
Pharmaceuticals, Inc. (OTC BB: SMPM)announced today that they have
signed a definitive merger agreement by which Access will acquire Somanta.
The
companies had previously announced the execution of a non-binding Letter
of
Intent regarding the merger.
Under
the terms of the merger agreement, Access will issue 1.5 million shares of
common stock to Somanta stockholders in exchange for all the outstanding
capital
stock of Somanta. The merger agreement has been approved by the boards of
both
companies. In addition, Access has received voting agreements from certain
Somanta shareholders representing approximately 81% of Somanta’s outstanding
common shares and approximately 60% of its outstanding preferred shares under
which the parties, subject to certain limited exceptions, have granted an
irrevocable proxy to vote their Somanta shares in favor of the merger. The
closing of the merger is subject to the fulfillment of certain conditions
contained in the merger agreement. The parties expect the transaction to
be
completed during the summer.
With
the proposed acquisition of Somanta, Access will acquire four novel anti-cancer
compounds in development, one of which is currently in Phase 2 clinical trials.
Each of the drug candidates acts by a unique mechanism of action and has
the
potential to target a wide range of cancer types.
“We
believe this transaction will immediately strengthen our drug pipeline,
enhancing Access’ franchise value within the oncology space,” commented Stephen
R. Seiler, Access' President and CEO. “In addition to offering a clinical-stage
drug candidate, Somanta’s pre-clinical pipeline is highly diversified with each
anti-cancer compound having its own novel mode of action, which can be applied
to a wide range of cancer types.”
About
Somanta
Somanta Pharmaceuticals is a company focused on the development of novel
oncology compounds and anti-cancer agents. Somanta's lead clinical product
Sodium Phenylbutyrate (PB) is currently in Phase 2 development and is being
developed with its partner, Virium Pharmaceuticals. In National Institute of
Health sponsored trials, PB has demonstrated the greatest activity in CNS
cancers, several of which are "orphan" indications such as Glioblastoma
Multiforme. Moreover, promising data has also emerged which suggests PB may
be
an effective therapy for certain blood cancers and other solid tumors. PB has
been well tolerated; its safety profile has generally been established due
to
its many years of clinical use in pediatrics for inherited urea cycle
disorders.
Somanta's
pre-clinical drug candidates include Angiolix, Prodrax and Alchemix. Angiolix
is
a humanized monoclonal antibody which appears to induce cell death selectively
to tumor blood vessels using a different mode of action than VEGF- oriented
therapies. Prodrax, is a novel family of prodrugs that enables compounds to
remain inert until they reach the hypoxic region of tumors where they become
toxic, thus targeting tumor cells which are typically difficult to kill.
Alchemix is a pan-target inhibitor that is effective in tumor cells resistant
to
conventional chemotherapy by targeting and irreversibly binding to DNA. Somanta
believes Prodrax and Alchemix have the ability to overcome many different
pathways of drug resistance, and will be studied in a broad range of cancers
including lung, colon, ovarian and renal. Proof-of-principle pre- clinical
studies have been completed in both of these compounds, and Phase 1 dose
escalation trials are being planned. Somanta has prepared clinical development
plans for all preclinical projects. For additional information on Somanta
Pharmaceuticals, please visit http://www.somanta.com.
About
Access
Access Pharmaceuticals, Inc. is an emerging biopharmaceutical company that
develops and commercializes propriety products for the treatment and supportive
care of cancer patients. Access' products include ProLindac™, currently in Phase
II clinical testing of patients with ovarian cancer and MuGard™ for the
management of patients with mucositis. The Company also has other advanced
drug
delivery technologies including Cobalamin™-mediated targeted delivery and oral
drug delivery. For additional information on Access Pharmaceuticals, please
visit our website at http://www.accesspharma.com.
This
press release contains certain statements that are forward-looking within the
meaning of Section 27a of the Securities Act of 1933, as amended, and that
involve risks and uncertainties, including statements relating to the value
of
our products in the market, our ability to achieve clinical and commercial
success and our ability to successfully develop marketed products. These
statements are subject to numerous risks, including but not limited to the
risks
detailed in our Annual Report on Form 10-KSB for the year ended December 31,
2006 and other reports filed by us and Somanta with the Securities and Exchange
Commission.
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