Redwood Pharma AB (OM:REDW) provided an update on the process for divesting the company's assets. A number of ophthalmology companies in the USA, Europe and Asia have been invited to participate in an auction process which is expected to be completed during the month of July. Redwood Pharma announced on May 23 that due to financial difficulties, it intends to sell off the company's assets in an accelerated auction process, where potential buyers have the opportunity to acquire all or part of the company.

Assets available for sale are: RP501, RP101, license to the IntelliGel drug delivery platform, listing on the Nasdaq First North Growth Market and certain high-tech production equipment. "Redwood Pharma is working intensively on the sale of our projects RP501, RP101 and the IntelliGel platform to one or more companies that want to take the baton in the development and commercialization of an innovative product portfolio in the field of ophthalmology. In the current financial climate, it has unfortunately been impossible for us to fund the last steps towards a market introduction of our unique products ourselves, but we are convinced that in the right hands they have a good potential to generate significant sales revenue", says Martin Vidaeus, CEO at Redwood Pharma.

The schedule for the auction process: June 10 - 23 Redwood outreach to possible candidates; 23 June Indicative bids are collected and reviewed; 24 June - 7 July Redwood candidate selection; 8 - 21 July Final candidate negotiations and 22 - 26 July Announcement of deal.