Centocor's R&D spin-off Tocor
Executive Summary
On July 1, Centocor will exercise option to purchase all 2,875,000 outstanding shares of callable common stock of Tocor. Centocor spun off Tocor in 1989 to carry on research in monoclonal antibody-based therapies for inflammatory diseases ("The Pink Sheet," Jan 15, 1990, p. 14). Repurchase will be made through issuance of 2 mil. shares of Centocor stock; 1991 2nd quarter results will register a $ 71 mil. charge to earnings for acquired R&D. The deal means Centocor re-acquires rights to mAB products being developed for rheumatoid arthritis, multiple sclerosis and lupus erythematosus.