|POZEN and Nycomed Enter into Option Agreement for Lornoxicam|
CHAPEL HILL, N.C. & ROSKILDE, Denmark--(BUSINESS WIRE)--July 22, 2003--POZEN Inc. (NASDAQ: POZN), and Nycomed announced today that they signed an exclusive option agreement, under which POZEN may acquire from Nycomed a license to certain rights related to lornoxicam, a non-steroidal anti-inflammatory drug (NSAID).
POZEN paid an upfront fee of $50,000 to Nycomed upon signing the option agreement. During the term of the option agreement, POZEN will explore the development of novel product candidates containing lornoxicam alone or in combination with other active ingredients for pain or other indications. Depending upon the achievement of certain milestones, up to an additional $450,000 is payable under the option agreement.
In the event that POZEN elects to exercise the option, it will pay Nycomed additional fees, including certain license fees, regulatory approval milestones and royalties on sales of any products developed using the licensed rights. Additionally, POZEN will fund product development and retain exclusive commercialization rights in the U.S. and Canada and semi-exclusive rights in select European countries. Nycomed will have a right of first negotiation for commercialization rights in the Nordic countries for any future products developed by POZEN combining lornoxicam with another active ingredient.
Nycomed's lornoxicam is approved and marketed in most European countries, and in several countries in the Middle East, South America and Asia, including Japan and China (brandnames Xefo, Xafon, Acabel, Lorcam).
"Lornoxicam is a potent analgesic pain reliever, which makes it an attractive candidate for combination therapy," said John R. Plachetka, Pharm.D., chairman, president, and chief executive officer of POZEN. "This option agreement serves as an important first step for POZEN to expand into new therapeutic areas."
"Nycomed has continuously developed new formulations of lornoxicam, most recently a Quick Release formulation, which is under approval in several countries. The option agreement with POZEN is an endorsement of the continuing value of lornoxicam in pain treatment. Nycomed is looking forward to follow POZEN's work with the compound in order to further exploit lornoxicam's potential," said Hakan Bjorklund, chief executive officer of Nycomed.
POZEN is a pharmaceutical company developing therapeutic advancements in a cost effective manner. Since its inception, POZEN has developed the largest and most advanced product pipeline in the field of migraine. Product development efforts are focused on diseases with unmet medical needs where POZEN can improve efficacy, safety, and/or patient convenience. The company's common stock is traded on The NASDAQ Stock Market under the symbol "POZN". For detailed company information, see POZEN's website: www.pozen.com.
Nycomed is a European-focused pharmaceutical company. Nycomed sources, develops, manufactures and markets specialist and prescription pharmaceuticals and consumer health products. Dedicated sales teams target general practitioners, hospital specialists and pharmacies. In-house capabilities also include international product sourcing, late-stage clinical trials, local and European registration and life-cycle management. Nycomed has 36 sales offices in 15 European markets including the CIS, and manufacturing facilities in Austria, Belgium, Denmark, Estonia, Finland and Norway. Headquartered in Roskilde, Denmark, the Company's 2002 revenues amounted to EUR 562.9 million, with EBITDA of EUR 108.3 million. The total number of employees is approximately 2,800, of whom more than half are within sales and marketing. Nycomed is on the internet at www.nycomed.com.
POZEN forward-looking statements: Statements included in this press release that are not historical in nature are "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. You should be aware that our actual results could differ materially from those contained in the forward-looking statements, which are based on management's current expectations and are subject to a number of risks and uncertainties, including, but not limited to, our failure to successfully commercialize our product candidates; costs and delays in the development and FDA approval of our product candidates, resulting in, among other things, our failure to achieve milestones that would have provided us with revenue; our inability to enter into or maintain, and the risks resulting from our dependence upon, collaboration or contractual arrangements necessary for the development, manufacture, commercialization, marketing, sales and distribution of any products; competitive factors; our inability to protect our patents or proprietary rights and obtain necessary rights to third party patents and intellectual property to operate our business; our inability to operate our business without infringing the patents and proprietary rights of others; general economic conditions; the failure of any products to gain market acceptance; our inability to obtain any additional required financing; technological changes; government regulation; changes in industry practice; and one-time events, including those discussed herein and in our Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2003 under "Management's Discussion and Analysis of Financial Condition and Results of Operations." We do not intend to update any of these factors or to publicly announce the results of any revisions to these forward-looking statements.