June 23 (Bloomberg) -- Phytopharm Plc, a U.K. biotechnology company, lost its broker, Canaccord Capital Inc., after anti- animal testing protesters firebombed a Canaccord executive's car.
Canaccord, Canada's biggest independent brokerage firm, resigned as of today, Buchanan Communications' Bobby Morse, a spokesman for Canaccord, said. The Animal Liberation Front ignited a bomb under Canaccord director Michael Kendall's car in a London suburb May 19, the group said on its Web site.
The attack is part of a six-year-old campaign to shut Huntingdon Life Sciences Group Plc, which tests products on animals. Phytopharm's former partner, Japanese drugmaker Yamanouchi Pharmaceutical Co., was a Huntingdon client, Wang Chong, Phytopharm finance director said. Animal Liberation Front and another group, Stop Huntingdon Animal Cruelty, has targeted Huntingdon suppliers such as BOC Group Plc, customers such as Johnson Matthey Plc, and banks including HSBC Holdings Plc.
``Canaccord regrets having to do this but the priority is the safety of their staff,'' Morse said. ``Life's too short.''
Canaccord arranged a 10.1 million pound ($18.6 million) share sale for Godmanchester, England-based Phytopharm earlier this year. Phytopharm hasn't had a chance to find a new broker, Chong said.
Phytopharm shares fell 19 pence, or 17 percent, to 93.5 pence as of 1:43 p.m. in London after trading as low as 87.5 pence. The shares have fallen 59 percent this year.
Huntingdon, which has facilities near Cambridge, England and in East Millstone, New Jersey, moved its headquarters to the U.S. in 2001 after managing director Brian Cass was attacked with a baseball bat outside his home.
U.K.-based Animal Liberation Front spokesman Robin Webb didn't immediately return a phone call seeking comment.
`Track You Down'
Rachel McQuilliam, a spokeswoman for the Thames Valley police, said that although the incident happened last month, the police were only informed yesterday.
``We have recovered the vehicle for forensic analysis but we haven't even been round to get a statement from the man in question,'' McQuilliam said in an interview.
Drugmakers including Novartis AG, Switzerland's biggest pharmaceuticals company, have urged the U.K. government to protect workers following attacks on U.K. animal-testing facilities.
``If you support or raise funds for any company associated with HLS we will track you down, come for you and destroy your property by fire,'' Animal Liberation Front said on its Web site.
Yamanouchi was ``well known for conducting work with Huntingdon,'' Chong said in an interview.
Phytopharm was developing its Cogane experimental Alzheimer's treatment with Yamanouchi before the Japanese company decided not to continue development in March.
``ALF has been targeting us for over a year,'' Chong said. ``They broke into our offices twice but since we got an injunction against them, they've pretty much left us alone.''
``They do come and protest outside our offices,' he said.
Canaccord doesn't plan to exit the biotechnology industry, Morse, the brokerage's spokesman, said.
Terrorism
``This particular incident was obviously very serious and we were dealing with terrorism,'' Morse said. ``Canaccord has a strong franchise in biotechnology and most of the companies will not draw the attention of the ALF in this way.''
In January, U.K. Prime Minister Tony Blair's government said it was planning a new law against causing ``economic damage'' in an attempt to combat animal-rights extremists who target pharmaceutical companies.
Two new offenses -- one of breaking criminal or civil laws with the intention of threatening or interfering with contracts involving an animal research organization and another making it illegal to threaten someone because they're associated with animal research -- take force under the Serious Organized Crime and Police Act.
This act makes it an offense to protest outside someone's home in a way that causes alarm or distress, changes harassment rules to cover companies and gives the police more powers to move protesters.
`` There is of course still a problem when people behave outside the laws that are there,'' Aisling Burnand, chief executive of the U.K.'s BioIndustry Association said in an interview.
Former Targets
Auditors Deloitte & Touche and banks including HSBC refused to deal with Huntingdon after activists targeted them.
In October 2003, five Japanese companies that were customers of Huntingdon were granted permanent injunctions by London's High Court blocking animal rights protesters from harassing their employees.
Yamanouchi, Asahi Glass Co., Eisai Co., Sankyo Co. and Daiichi Pharmaceutical Co. asked the High Court for exclusion zones around their offices. The orders stop activists from coming within 100 yards of the companies' offices, though they can carry out peaceful demonstrations with no more than 12 protesters once a week.
The number of companies that have stopped supplying services to U.K. organizations involved in animal research because of intimidation by animal rights activists is rising, a drug industry group said in January.
Some 42 of the 113 suppliers that cut ties in 2004 with drug companies and others that use animals in research reported doing so in the last quarter of the year compared with 26 in the third quarter, the Association of the British Pharmaceutical Industry said. Comparable figures for 2003 weren't available, the ABPI said.
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