World News: 00:30 GMT Friday 15th March 2019. [Thérapeutique Knight inc. via Globe Newswire via SPi World News]
MONTREAL, March 14, 2019 (GLOBE NEWSWIRE) -- Knight Therapeutics Inc. (TSX: GUD) ("Knight"), a Canadian specialty pharmaceutical company, today issued the following statement addressing a press release and presentation from Medison Biotech Ltd. (“Medison”) and its CEO, Meir Jakobsohn, who is also a director and shareholder of Knight as the result of a 2015 agreement between the two companies.
Knight continues to be disappointed by Mr. Jakobsohn’s ongoing attempts to extort Knight’s Board of Directors (the “Board”) into agreeing to a scheme that is not in the best interest of Knight’s shareholders and only advances his own self-serving agenda.
Knight has attempted to maintain an open and constructive dialogue with Mr. Jakobsohn and, over the past several months, has repeatedly asked him to provide the company with a presentation outlining his views about the company’s strategy and again opened the door for him to present to his fellow directors in person. Unfortunately, it was not until the morning of Wednesday, March 13, that such a presentation was provided on short notice before a scheduled Board meeting. Despite the limited time the Board had to consider the presentation, it operated in good faith to engage Mr. Jakobsohn in a constructive dialogue in an effort to identify avenues of cooperation that would be beneficial to Knight’s shareholders. Following Mr. Jakobsohn’s presentation, the Board expressed the desire of continuing their dialogue and asked about next steps. The Board is therefore disappointed by Mr. Jakobsohn’s public release of his presentation and elimination of private discussions. It appears that rather than meaningfully attempting to find an outcome that is in the best interest of Knight’s shareholders, Mr. Jakobsohn has instead opted to engage in yet another self-serving proxy fight tactic.
“Let’s be clear, the scheme released today is an attempt to extort Knight shareholders for the sole benefit of Mr. Jakobsohn. He wants to take Knight’s resources and reputation and use them to prop up Medison which is making less and less money each and every year since 2015,” said Knight CEO Jonathan Ross Goodman. “The direction he outlines is based on a flawed understanding of the Canadian market, full of holes and inconsistencies, and demonstrates the fact he is devoid of industry experience outside of Israel. The message we have heard from shareholders since Mr. Jakobsohn launched his campaign has been clear: Do not give him access to Knight’s money and do not risk derailing the steady progress we are seeing. I can assure all shareholders that we remain committed to successfully executing on our long-term strategic plan and protecting the interests of all Knight shareholders. We will not allow a 7% shareholder in Knight to use his position to benefit his 70% stake in Medison.”
While Knight will provide more detailed commentary on in due course, shareholders should be aware of an immediate series of glaring holes, inconsistencies, and misleading statements.
Knight is confident that it has the right plan in place to build long term shareholder value.
Since its launch in 2014, Knight has:
Knight’s strategy is on track: As reported in Knight’s Q4, 2018 report, year over year revenue and net income increased by 45% and 40% respectively. The company has a well-defined strategic plan —regularly reviewed and refined to maximize shareholder value—that is working.
Knight advises shareholders to take no action with respect to Mr. Jakobsohn’s latest missive. The Board and its advisors will carefully review the ideas included and provide a detailed response to shareholders in due course.
This document contains forward-looking statements for Knight Therapeutics Inc. and its subsidiaries. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. Knight Therapeutics Inc. considers the assumptions on which these forward-looking statements are based to be reasonable at the time they were prepared, but cautions the reader that these assumptions regarding future events, many of which are beyond the control of Knight Therapeutics Inc. and its subsidiaries, may ultimately prove to be incorrect. Factors and risks, which could cause actual results to differ materially from current expectations are discussed in Knight Therapeutics Inc.'s Annual Report and in Knight Therapeutics Inc.'s Annual Information Form for the year ended December 31, 2018. Knight Therapeutics Inc. disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information or future events, except as required by law.
Globe Newswire: 00:30 GMT Friday 15th March 2019
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