KemPharm Inc. (NASDAQ: KMPH) is through with its 2016 annual shareholder meeting. But several issues came up during the latest AGM. According to a press release by the company following the annual meeting, shareholders voted to approve two nominees to the company’s board.
During the AGM, shareholders had the opportunity to approve or decline the nomination of two directors to KemPharm’s board to serve for three years. The proposed names were Danny L. Thompson and Travis C. Mickle. When it came to voting, shareholders overwhelmingly voted in favor of their nomination. As such, Thompson and Mickle will both serve on the board of KemPharm until 2019.
However, the terms of these directors could end early in case of death or their removal because of any violations or other issues.
Ratification of independent auditors
The other issue that shareholders were asked to either approve or reject by exercising their voting rights was the selection of KemPharm Inc. (NASDAQ: KMPH)’s independent public accountant. On the matter of the public accounted, shareholders ratified the selection of Ernst & Young LLP.
More than 88% of KemPharm Inc. (NASDAQ: KMPH)’s outstanding shares were represented at the recent annual shareholder meeting.
KemPharm Inc. (NASDAQ: KMPH) is developing an abuse-deterrent drug for the management of severe pain. The compound is called KP511 and is currently in human clinical Phase 2 trial. What is of note is that the company drug has been granted Fast Track designation by the FDA. Abuse-deterrent opioid market is currently a small market but it is expanding and KemPharm could unlock massive revenue if KP511 is successful.
The company’s opportunities in the abuse-deterrent market could also be boosted by lack of intense competition in the space.
What happened in 1Q2016 for KemPharm Inc. (NASDAQ: KMPH)?
KemPharm Inc. (NASDAQ: KMPH) logged a net loss of $2.9 million or $0.20 in 1Q2016. Higher spending on R&D appear to be taking a hit on the company’s finances, but those investments could pay off in the long run when the candidates being development come to market.