ROCKY MOUNT, NC--(Marketwire - May 18, 2011) - PharmStar Pharmaceuticals, Inc., (PINKSHEETS: PHAR) (the “Company”), a U.S. drug developer, manufacturer and marketer of the FDA-approved, Over-the-Counter (OTC) liquid pain reliever Aquaprin™, today announced that it has closed a transaction to acquire a new CGMP facility to produce Aquaprin, the Company’s primary product, plus other line extensions.
On April 18, 2011, the Company entered into an agreement to purchase the facility, which is located in Wilson, North Carolina. Wilson is the home to many pharmaceutical companies, and has an excellent support system for the industry. The building is next to Walter Kidde’s international headquarters.
The move is expected to expedite the Company’s commercialization of Aquaprin and complete a 17-year developmental journey for the patented liquid form of aspirin. While the Company continues to target a 12 to 14 month window to bring the product to market, hopes are high that moving to Wilson may help expedite the timeline.
PharmStar will begin moving into the new facility immediately, and has been preparing for the move over the last 30 days. PharmStar CEO Howard Phykitt founded Granutec, Inc. in 1985 in Wilson, NC before selling the company in 1989. He remained with the company through 1991. Mr. Phykitt then started Health Corporation, developing and marketing the original form of Aquaprin.
Mr. Phykitt stated, “Jennifer Lantz, Director of the Economic Development Council, and the city of Wilson has been wonderful in this process, and I am genuinely excited to be back. They told me they wanted us to be here, and they proved it. I am appreciative of all the work they did to help us make this happen quickly.”
Mr. Phykitt continued, “This was a monumental day for me, and for the Company. It is a day that we have worked so hard for and have endured to create. I feel that I now can get on with my work of bringing this new product to life and building a great company.”
The Company did not issue any type of a new debt instrument, nor did the Company dilute its existing common share capital structure in order to finance the transaction, which is consistent with the company’s objective of minimizing future dilution of its shareholder base.
About PharmStar Pharmaceuticals
PharmStar Pharmaceuticals, Inc. is a U.S.-based drug development, manufacturing and marketing company and the innovator of Aquaprin™, an FDA-approved Over-the-Counter (OTC) liquid pain reliever. In development since 1993 with over $3 million invested to-date, Aquaprin™ is a liquid derivative of aspirin based on a patent-pending formula. The product is designed to dissolve nearly instantly in just 1.5 ounces of water, which can be absorbed into the bloodstream up to 10 times faster than traditional OTC pain relievers, and with little to no stomach upset. PharmStar’s headquarters are located in Rocky Mount, NC. For more information, visit www.pharmstarinc.com.
Forward-Looking Statements Disclosure
This press release includes “forward-looking statements” within the meaning of the federal securities laws, commonly identified by such terms as “believes,” “will,” “looking ahead,” “anticipates,” “estimates” and other terms with similar meaning. Although the Company believes that the assumptions upon which its forward-looking statements are based are reasonable, it can give no assurance that these assumptions will prove to be correct. Important factors that could cause actual results to differ materially from the Company’s projections and expectations are disclosed in the Company’s filings with the Securities and Exchange Commission. All forward-looking statements in this press release are expressly qualified by such cautionary statements and by reference to the underlying assumptions.
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