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Drug Maker Files Chapter 11

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By MICHAEL SASSO

msasso@tampatrib.com

Published: November 11, 2008

TAMPA - Accentia Biopharmaceuticals, the Tampa-based drug development company, has filed for bankruptcy protection while it tries to cut costs and seek additional financing.

Accentia on Monday filed for Chapter 11 bankruptcy, which gives a company time to reorganize while protected from creditors. It listed assets of $134.9 million and debts of $77.6 million. It wasn't immediately clear how many employees Accentia has, but a securities filing from September 2007 shows it had about 140 full-time employees at that time.

The company has been short of cash as it develops treatments related to the immune system. It is developing treatments that combat multiple sclerosis, chronic sinusitis and non-Hodgkins lymphoma, among other drugs. In a news release, the company attributed some of its financing problems to the global credit crisis and the slumping stock market, which have limited its access to capital. The company is seeking to lower operating expenses and financing costs and attract new partners or funding sources.

One of the company's major shareholders, Hopkins Capital Group, has shown a willingness to provide additional financing, the company said.

Reporter Michael Sasso can be reached at (813) 259-7865.

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