AmpliPhi Biosciences announces settlement of pending lawsuit

The company’s insurance carrier will make a cash payment of $2.0 million to NRM.

Under the terms of a settlement agreement, NRM has agreed to dismiss with prejudice the lawsuit and AmpliPhi’s insurance carrier will make a cash payment of $2.0 million to NRM. A portion of the settlement payment (approximately $914,000) is attributable to accrued dividends that became payable to NRM upon the automatic conversion of its Series B convertible preferred stock into common stock, which amount is recorded in AmpliPhi’s balance sheet at 30 September 2016. AmpliPhi has agreed to pay its insurance carrier for the accrued dividends amount on an installment basis. AmpliPhi and NRM have agreed to release all claims against each other and all related parties. NRM and its affiliates continue to be significant shareholders in AmpliPhi.

“AmpliPhi is pleased that this matter has been resolved,” said M. Scott Salka, CEO of AmpliPhi Biosciences. “We believe that this settlement is in the best interests of our company and our shareholders. We will continue to focus on advancing our portfolio of innovative phage-based therapies and creating value from our proprietary technologies.”