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Sigma Pharmaceuticals Limited (SIP) announced the appointment of former chief financial officer Mark Hooper as its new managing director and CEO. Mr Hooper was the pharmaceutical manufacturer’s CFO from 2001 – 2006 before he joined Symbion Health Limited in 2006 as CFO and then PaperlinX in the same role in 2008, where he has been since. 

Sigma chairman, Dr John Stocker, said the company had recruited a CEO who would hit the ground running, with a deep knowledge of the company and the industry.

“Mark will be a critical element in Sigma's next phase of development in conjunction with the Board headed by new Chairman, Brian Jamieson, who takes over at the forthcoming AGM,” Dr Stocker said.

The company expects Mr Hooper to commence with Sigma in September this year.

Sigma is currently the subject of a $707 million takeover offer from South Africa's Aspen Pharmacare Holdings Limited. The offer valued Sigma’s shares at 60c each.

As at 1120 AEST, Sigma shares were up 0.5c to 48.5c.

Tenet Healthcare Corporation announced it has withdrawn from preliminary discussions regarding a potential acquisition of Healthscope Limited (HSP). Tenet said has been unable to complete the work necessary to convey to shareholders the potential value, including the inherent risks and opportunities, of this transaction due to the sequence of events associated with the acquisition process, including the premature disclosure of non-public information regarding Tenet’s preliminary interest in the Australian private hospital operator.

“Although the due diligence process has commenced, it is in the early stages and has not proceeded as quickly and completely as anticipated,” the US health care services company said.

“Tenet has concluded that in order to eliminate a prolonged period of uncertainty and market speculation surrounding this possible transaction, it is best to withdraw from this process.”

At the close of trade yesterday, Healthscope shares were trading at $5.49.

Tenet Healthcare Corporation announced it has withdrawn from preliminary discussions regarding a potential acquisition of Healthscope Limited (HSP). Tenet said has been unable to complete the work necessary to convey to shareholders the potential value, including the inherent risks and opportunities, of this transaction due to the sequence of events associated with the acquisition process, including the premature disclosure of non-public information regarding Tenet’s preliminary interest in the Australian private hospital operator.

“Although the due diligence process has commenced, it is in the early stages and has not proceeded as quickly and completely as anticipated,” the US health care services company said.

“Tenet has concluded that in order to eliminate a prolonged period of uncertainty and market speculation surrounding this possible transaction, it is best to withdraw from this process.”

At the close of trade yesterday, Healthscope shares were trading at $5.49.

Cochlear Limited (COH) said its USA subsidiary, Cochlear Americas, has signed a settlement agreement with the US Department of Justice and the Offices of Inspector General of the US Department of Health and Human Services. The company said under the terms of conditions of the agreement, Cochlear Americas has agreed to pay US$950,000.

Cochlear said its subsidiary specifically disputes and denies the factual and legal allegations in relation to sales programmes and other conduct alleged to have occurred from 1998 to 2003 in the USA.

”However, in order to avoid ongoing legal fees and the uncertainty and expense of litigation, the parties have now agreed to resolve the matter,” the company said.

As at 1027 AEST, Cochlear shares were down 40c to $74.59.

Novogen Limited’s (NRT) shares slumped more than 50% Wednesday after its US subsidiary Marshall Edwards Inc, said its ovarian cancer drug had failed, during Phase 3 trials, to show any improvement in longevity for women suffering from the disease.

The company noted that only 142 out of a planned 340 patients were recruited for the trial.

CEO of Marshall Edwards, Daniel Gold, said that while he was disappointed with the result, he was not overly surprised considering the small number of patients in the trial.

“However, we remain confident that our investigational isoflavone platform, including triphendiol, a potentially more potent, second-generation analogue of phenoxodiol, may be of benefit to women with ovarian cancer, particularly when administered intravenously,” Dr Gold said.

Marshall Edwards is a specialist oncology company focused on the clinical development of anti-cancer therapeutics.

At 1550 AEST, Novogen shares were trading down 21c to 18.5c each.

Isoft Group Limited (ISF) has revised its revenue and earnings expectations for FY10 downwards due to rollout delays, uncertainty associated with the change in UK government and a weak European economic environment. The company forecast revenue for the year to be in the range of $440m to $455m and EBITDA to be in the range of $45M to $60M, before exceptional items.

Isoft said it has achieved a significant milestone with the ‘go live’ of the University Hospitals of Morecambe Bay NHS Trust, which occurred over the last weekend, as it represents a validation of the core underlying Lorenzo platform and the first implementation of Lorenzo Release 1.9 in a complex hospital environment.

However, the company said at the same time, political uncertainty in the lead up to the recent UK election and the subsequent change in government, have together led to the deferral of decisions in relation to the English NPfiT program particularly for Isoft’s partner Computer Sciences Corporation, Inc. 

“For Isoft, this has affected the timing and conclusion of negotiations surrounding the potential of an agreement with CSC in relation to the market opportunities in England and in particular the Southern cluster of English hospitals, as well as delays in milestone payments,” the company said.

“The revenues associated with this agreement had been anticipated in fiscal 2010 and are now anticipated in fiscal 2011.”

Isoft said it typically earns disproportionately higher revenues in the final quarter of the fiscal year.

“The factors outlined above, which together with currency impacts as a result of the strong Australian dollar, have resulted in revised revenue, EBITDA and cash flow expectations for the period,” the company said.

As at 1111 AEST, Isoft shares were down 8.5c to 47.5c.

Healthscope Limited (HSP) said it has received two takeover offers since Friday that topped that which was made by Blackstone Group and partners on May 20 valuing the hospital operator’s shares for $5.75 each. The company said the most recent offers both priced Healthscope’s shares at $5.80 each.

Media reports have already suggested Kohlberg Kravis Roberts & Co could be one of the new bidders.

Healthscope said after considering the proposals, its board has formed the view that both proposals are equal to or superior to the consortium’s proposal.

The company said it has therefore concluded that these parties would, subject to negotiation of appropriate confidentially agreements, also be granted the opportunity to conduct due diligence.

“The board considers that at this time the interests of shareholders will be best served by a formal process to thoroughly evaluate whether a change of control offer, at a price and on terms that the board would recommend, can be secured,” Healthscope said.

“In order to ensure that any process operates as quickly and effectively as possible the board does not intend to make any further announcements unless and until a recommended offer is secured, or unless there is a development which it judges should be disclosed immediately.”

The company said such a process would take “several weeks”.

Healthscope recommended shareholders take no action on the offers.

As at 1032 AEST, Healthscope shares were halted at $5.23.

Sigma Pharmaceuticals Limited (SIP) said it has opened its books to South African pharmaceutical manufacturer, Aspen Pharmacare, to conduct due diligence on the company as a part of its previously announced takeover offer.

On 21 May Aspen offered to buy Sigma at an indicative price of 60c cents a share, valuing the company at around $700 million.

Sigma said it had entered an exclusivity agreement over the next four weeks with Aspen, whereby no rival bids for the company would be considered and Sigma would not sell any assets that had not been previously announced.

At 1027 AEST, Sigma shares were trading up 1c at 51c each.

Fisher & Paykel Healthcare Corporation Limited (FPH) posted a net profit NZ$71.6 million for the year ended 31 March 2010, an increase of 15% compared to the prior year. The company said the result was on the back of strong growth in both the obstructive sleep apnea and respiratory and acute care product groups, as well as favourable foreign exchange hedging results.

Fisher & Paykel Healthcare said revenue increased 10% to NZ$503.3 million for the year, while EBIT was flat at NZ$102.8 million over the prior year.

The company said EBIT margin declined 20.4% and constant currency operating revenue growth was 12% compared to the prior year.

Fisher & Paykel Healthcare also declared a final dividend of NZ7c per share carrying a full imputation credit of NZ3c per share. Non-resident shareholders will receive a supplementary dividend of NZ1.2353c per share.

Looking ahead, the company said it would be introducing its new ICON flow generator range into Europe, North America and the remainder of our international markets over the next year.

”We will also be expanding our R&D activities, our sales and distribution teams and our New Zealand and Mexico manufacturing capacity,” Fisher & Paykel Healthcare said.

The company that, at an average NZD:USD spot exchange rate for the year of 0.67 it forecasts operating revenue of approximately NZ$560 million for FY11 and profit after tax of approximately NZ$70 million to NZ$75 million.

At the close of trade Tuesday, Fisher & Paykel Healthcare shares were trading at $2.75.

Healthscope Limited (HSP) said it would grant the members of the consortium that offered to takeover the hospital operator for $5.75 per share, or $1.82 billion, the opportunity to conduct due diligence. Last week the consortium increased its offer from $5.50 per share.

Rumours quickly surfaced the private equity firm that made the offer was a JV between TPG and Carlyle Group.

Today Healthscope said it has undertaken careful review of both the initial and revised proposals put to it by the consortium.

“The board has concluded that, based on their revised proposal and subject to negotiation of and appropriate confidentially agreement, the members of the consortium will be granted the opportunity to conduct due diligence,” the company said.

“It is expected that this process will take several weeks.”

Healthscope continued to recommend shareholders take no action.

As at 1023 AEST, Healthscope shares were unchanged at $5.24.