MELBOURNE, Australia, and DUBLIN, Calif., Nov. 27 /PRNewswire-FirstCall/ -- Mayne Pharma Ltd. (ASX: MYP - News) and SuperGen Inc. (Nasdaq: SUPG - News) announced today that Mayne has agreed to acquire the remaining worldwide rights to Nipent® (pentostatin for injection) for a total consideration of US $8 million.
SuperGen will receive approximately US $3.75 million upfront when the transaction closes. The balance of the purchase price includes US $1.25 million of payments contingent on key events and the remaining US $3 million is payable over a five-year period on the anniversary of the closing date. The transaction is subject to customary closing conditions and regulatory approval.
Nipent® is approved for patients with hairy-cell leukaemia. Sales of Nipent® in Europe last year were almost US $5 million with France, Germany, Greece, Italy and UK being the key markets. In August 2006 Mayne Pharma acquired the North American rights to Nipent® from SuperGen, for a total consideration of US $34 million.
Commenting on today's announcement, Mayne Pharma's Head of Commercial Operations for Europe Middle-East and Africa, Mike Kotsanis, said, "This acquisition is in-keeping with our strategy, announced last May, to acquire niche marketed or close-to-market proprietary products that strengthen our oncology focus across Europe and raise Mayne Pharma's profile with key customers and opinion leaders."
"The transaction marks the completion of SuperGen's transition to a targeted drug discovery and development company that is powered by a strong balance sheet and a well-fuelled royalty and milestone financial engine," said Dr. James S. Manuso, SuperGen's chairman, president and chief executive officer. "The transition of the Nipent® North American franchise to Mayne Pharma was very efficient. We expect the same with respect to transitioning this remaining franchise."
Based in Dublin, Calif., SuperGen is a pharmaceutical company dedicated to the discovery, acquisition, rapid development and commercialization of therapies for solid tumors and hematological malignancies. SuperGen is developing a number of therapeutic anticancer products focused on inhibitors of aurora-A, tyrosine kinase and DNA methyltransferase. For more information about SuperGen, please visit http://www.supergen.com.
About Mayne Pharma
Mayne Pharma Ltd. is a specialty pharmaceutical company focused on developing, manufacturing and selling a comprehensive range of products to oncology customers in more than 65 countries around the world. The company seeks to augment its growth by accessing additional marketed or development- stage products either through acquisition or partnership. Mayne Pharma generated sales of more than A$800 million in its financial year ended June 30, 2006, and is listed on the Australian Stock Exchange under the symbol 'MYP.' For more information about Mayne Pharma, please visit http://www.maynepharma.com.
This press release contains "forward-looking" statements within the meaning of Section 21A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and is subject to the safe harbor created thereby. The actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. These forward-looking statements include statements regarding SuperGen's estimate of its potential tax liability. Important factors that could cause the potential tax liability to be higher or lower include, but are not limited to, the final determination of the potential liability which is currently being assessed. Other factors that could cause actual results to differ materially from expectations include, but are not limited to, the risk factors detailed in the Company's filings with the Securities and Exchange Commission including reports on its most recently filed Form 10-K and Form 10-Q. These forward-looking statements are made only as of the date hereof, and we disclaim any obligation to update or revise the information contained in any such forward-looking statements, whether as a result of new information, future events or otherwise.
Vice President Investor Relations
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Teresa La Thangue
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Source: SuperGen Inc.
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