Akorn, Inc. Signs Supply Agreement with Fresenius Kabi AG for Premix Product

Published: Apr 03, 2008

BUFFALO GROVE, Ill.--(BUSINESS WIRE)--Akorn, Inc. (NASDAQ:AKRX - News) today announced that it has signed a five-year supply agreement with Fresenius Kabi for a novel premix product. Premix medications are ready to use intravenous drug products, which eliminate compounding steps in the pharmacy or at the point of care.

Under the terms of the agreement, Akorn will be responsible for development, marketing and distribution of the premix product. Fresenius Kabi will manufacture the product at its intravenous solutions manufacturing facility in Halden, Norway. The product is expected to launch in 2012. Current product sales of this product in the U.S. are in excess of $500 million. Akorn will own the ANDA. Financial terms of the agreement were not disclosed.

Arthur S. Przybyl, Akorn's President and Chief Executive Officer, stated, “We look forward to partnering with Fresenius Kabi on this novel premix product. Additional niche products will be added that provide unique market value and fulfill customer needs."

Previously, this product was to be supplied by another manufacturer. Recently, they communicated their intention to discontinue contract manufacturing operations and have provided a settlement fee to Akorn for termination of the Agreement.

About Akorn, Inc.

Akorn, Inc. manufactures and markets sterile specialty pharmaceuticals. Akorn has manufacturing facilities located in Decatur, Illinois and Somerset, New Jersey and markets and distributes an extensive line of hospital and ophthalmic pharmaceuticals. Additional information is available at the Company’s website at www.akorn.com.

Materials in this press release may contain information that includes or is based upon forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Forward-looking statements give our expectations or forecasts of future events. You can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with a discussion of future operating or financial performance. In particular, these include statements relating to future steps we may take, prospective products, future performance or results of current and anticipated products, sales efforts, expenses, the outcome of contingencies such as legal proceedings, and financial results.

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Akorn, Inc. Arthur S. Przybyl President and CEO (847) 279-6100

Source: Akorn, Inc.

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