| FAIRFIELD, N.J., Jan 08, 2008 (BUSINESS WIRE) -- Unigene Laboratories, Inc. (OTCBB: UGNE) announced plans to
broaden the activities of its joint venture with the Shijiazhuang
Pharmaceutical Group Co., Ltd ("SPG") and to expand the potential
product line to be developed and marketed by the joint venture.
Unigene and SPG plan to establish the SPG-Unigene Biotechnology
Research Institute in China. The Institute will continue ongoing
registration activities for Unigene's calcitonin products, develop
biopharmaceutical manufacturing facilities compliant with U.S. current
Good Manufacturing Practice guidelines, and establish and supervise
the creation of a new pharmaceutical distribution network for joint
venture products in China, all to take advantage of the world's
largest osteoporosis market. Unigene will maintain its 45% ownership
position in the joint venture. The combined capital investment
commitment for the joint venture will remain at $15 million. Unigene's
initial cash contribution to the joint venture will remain at
$900,000, which will be paid by Unigene upon the satisfaction of
certain conditions, while the majority, or possibly all, of its
remaining contribution will be in the form of technology.
"The creation of the Institute should allow for the addition of
potential new revenue-generating products and programs to our joint
venture distinct from calcitonin, thereby expanding our commercial
opportunities in China," commented Dr. Warren Levy, President and CEO
of Unigene. "The formation of the Institute will allow us to take
advantage of the rapidly growing market potential for biotechnology
products in China, to apply for government funds to support joint
venture programs and to more fully utilize the additional resources
available as a result of the acquisition of SPG by a private equity
fund led by Legend Holdings and Goldman Sachs, which occurred in
August of 2007."
About Unigene
Unigene Laboratories, Inc. is a biopharmaceutical company focusing
on the oral and nasal delivery of large-market peptide drugs. Due to
the size of the worldwide osteoporosis market, Unigene is targeting
its initial efforts on developing calcitonin and PTH-based therapies.
Fortical(R), Unigene's nasal calcitonin product for the treatment of
postmenopausal osteoporosis, received FDA approval and was launched in
August 2005. Unigene has licensed the U.S. rights for Fortical(R) to
Upsher-Smith Laboratories, worldwide rights for its oral PTH
technology to GlaxoSmithKline and worldwide rights for its calcitonin
manufacturing technology to Novartis. Unigene's patented oral delivery
technology has successfully delivered, in preclinical and/or clinical
trials, various peptides including calcitonin, PTH and insulin.
Unigene's patented manufacturing technology is designed to
cost-effectively produce peptides in quantities sufficient to support
their worldwide commercialization as oral or nasal therapeutics. For
more information about Unigene, call (973) 882-0860 or visit
www.unigene.com. For information about Fortical, visit
www.fortical.com.
Safe Harbor statements under the Private Securities Litigation
Reform Act of 1995: This press release contains forward-looking
statements as defined in Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Such forward-looking statements are based upon Unigene
Laboratories, Inc.'s management's current expectations, estimates,
beliefs, assumptions, and projections about Unigene's business and
industry. Words such as "anticipates," "expects," "intends," "plans,"
"predicts," "believes," "seeks," "estimates," "may," "will," "should,"
"would," "potential," "continue," and variations of these words (or
negatives of these words) or similar expressions, are intended to
identify forward-looking statements. In addition, any statements that
refer to expectations, projections, or other characterizations of
future events or circumstances, including any underlying assumptions,
are forward-looking statements. These forward-looking statements are
not guarantees of future performance and are subject to certain risks,
uncertainties, and assumptions that are difficult to predict.
Therefore, our actual results could differ materially and adversely
from those expressed in any forward-looking statements as a result of
various risk factors. These risks and uncertainties include the risks
associated with the effect of changing economic conditions, trends in
the products markets, variations in Unigene's cash flow, market
acceptance risks, technical development risks and other risk factors
detailed in Unigene's Securities and Exchange Commission filings.
SOURCE: Unigene Laboratories, Inc.
Unigene Investors:
The Investor Relations Group
Erika Moran / Dian Griesel, Ph.D., 212-825-3210
or
Media:
Lynn Granito, 212-825-3210
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