Objections To Cambridge Biotech's Reoganization

A temporary 21-day stay has been granted by the US Bankruptcy Appellate Panel in relation to Cambridge Biotech Corp's reorganization plans. The stay was requested by Institut Pasteur and Pasteur Sanofi Diagnostics, which are appealing the US Bankruptcy Court's confirmation of CBC's reorganization plan on the basis of their objections to the firm's assumption of various patent licenses owned by IP and PSD and licensed to CBC.

CBC, which is a therapeutics and diagnostics company focusing on infectious diseases and cancer, has requested that IP and PSD be required to post a $57.5 million cash bond, plus interest, for the pendency of the appeal.

Improved Profits In Second Quarter Second-quarter net income at CBC was $3.8 million, compared to a net loss a year ago of $1.2 million or five cents. Earnings per share were 15 cents. In the first half, CBC achieved net income of $4 million or 15 cents a share. In the 1995 first-half, the firm made a loss of $3.9 million or 15 cents per share.