AVANIR Pharmaceuticals Announces $20 Million Common Stock Offering

SAN DIEGO--(BUSINESS WIRE)--Dec. 16, 2005--AVANIR Pharmaceuticals (AMEX:AVN) today announced it has obtained commitments to purchase $20.0 million of its common stock in a registered-direct offering. Under the terms of the transaction, AVANIR will sell approximately 6.0 million shares of Class A common stock to a select group of institutional investors at a price of $3.35 per share. Federated Kaufmann and a large, Boston based institutional money manager were the participating funds in this offering. This offering was initiated through Leerink Swann & Company. The net proceeds are expected to be approximately $19.4 million after offering expenses. The transaction is expected to close on or about December 21, 2005.