Haemacure goes into survival mode

Canada's Haemacure, which develops human plasma-derived protein products, is drastically cutting costs as it looks to sell or merge the company. The company has been in search of financing since the third quarter of 2008 but has thus far been unable to secure funds. As a result, Haemacure has placed 12 of its 18 employees "on leave." Additionally, the company's CEO Joseph Galli and President Marc Paquin will continue to work for nominal compensation, and all consulting agreements have been suspended.

The changes will give Haemacure about 90 days to either arrange a bridge loan, obtain new financing, or to sell or merge the company. Unless new financing is obtained, Haemacure won't commence phase II/III clinical trials for its lead product candidate, an all-human fibrin sealant, as planned in mid-2009.

- check out Haemacure's release