Nymox Pharmaceutical Corporation Sues AscellaHealth For $250 Million

IRVINE, Calif., Nov. 09, 2023 (GLOBE NEWSWIRE) -- This week, Nymox Pharmaceutical Corporation (“Nymox”) (OTC Markets - NYMXF) was forced to file a lawsuit in California Superior Court, Orange County, to protect its shareholders’ interests, as Nymox alleges that a would-be “black knight” competitor resorted to illegal and unlawful corporate espionage because it could not garner the support of enough Nymox shareholders by legitimate means. This company is Defendant AscellaHealth, LLC (“Ascella”). Unlike even a contentious hostile takeover bid, Ascella engaged in unlawful means in repeated attempts to gain control of Nymox for its own advantage, at what would have been the expense of Nymox’s shareholders.

The lawsuit contends the following:

• Ascella’s conduct included using connections with (now-former) Nymox corporate officers and directors, including its General Counsel, to pass off an investment proposal as a way to gain access to highly confidential and proprietary company information, and to take control of the company's assets by a kick-back scheme.
• After this scheme was uncovered and thwarted, Ascella has continued relentlessly in its attempts to interfere with Nymox’s relationship with its shareholders, including publishing confidential Nymox information using a front organization called “Committee to Restore Nymox Shareholder Value,” and undertaking a failed attempt to organize a sham shareholder meeting to take control of Nymox. 

Ascella presumably thought that Nymox would cave under these coordinated assaults on its business, allowing Ascella to reap the years of Nymox’s efforts to take its pipeline drugs including NYMOZARFEX to market.

Ascella did not count on the resiliency of Nymox’s management, the loyalty of its shareholders and other stakeholders, and the strength of the justice system in both the United States and the Bahamas. Nymox is confident that it will be vindicated in court. Nymox has not been deterred from its core business mission of bringing life changing drugs to market and looks forward to continued success notwithstanding the bad acts of Ascella. The company will be seeking $250 million in compensatory and punitive damages. 

About NYMOX

Nymox is in the process of submitting applications for the approval to market the Company's first in class drug NYMOZARFEX (TM) to treat the symptoms of benign prostatic hyperplasia (BPH). BPH is one of the most common conditions affecting middle aged and elderly men throughout the world. BPH can be devastating to men who suffer from the condition. Current treatments are associated with numerous intolerable side effects including sexual problems, such as impotence and retrograde ejaculation. Medications for BPH have been associated with prostate cancer, depression, gynecomastia and other adverse effects. The majority of men stop taking the available medications due to these and other problems. Surgery is often needed for advanced BPH. Surgery is usually effective but it is not without risks, the discomforts of surgery, and BPH surgery has side effects such as permanent retrograde ejaculation for many patients.