DGAP-News: Merrion Pharmaceuticals Plc Signs Collaboration and Option Agreement and Warrant Agreement With Novo Nordisk

Merrion Pharmaceuticals plc

22.12.2010 08:00
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DUBLIN, Ireland, 2010-12-22 08:00 CET (GLOBE NEWSWIRE) –Merrion Pharmaceuticals Plc, a publicly listed product development company,
today announced the signing of a Collaboration and Option agreement with Novo
Nordisk. The agreement will evaluate the ability of Merrion–s patented GIPET(r)
technology to boost the oral bioavailability of an undisclosed proprietary
compound.

Following the feasibility studies, Novo Nordisk will have the option to enter
into a further licensing agreement for Merrion–s GIPET technology. The
financial terms of a possible future licensing agreement have been pre-agreed.

As part of the agreement Merrion has granted Novo Nordisk a warrant to acquire
ordinary shares of up to [Eur]1,500,000 in Merrion at yesterday–s closing share
price ([Eur]3.00). The warrant will be exercisable for 20 business days commencing
on the day following the signing of a license agreement.

Merrion can request Novo Nordisk to acquire up to [Eur]500,000 worth of shares in
Merrion at yesterday–s closing share price ([Eur]3.00) exercisable for 20 business
days commencing on the day following the signing of a license agreement.

Commenting on the announcement, John Lynch, CEO, Merrion Pharmaceuticals, said,
–We are very pleased to be entering into another agreement with Novo Nordisk
with our unique GIPET technology. This agreement further strengthens the links
between the two companies following the license agreements for oral GLP-1 and
Insulin respectively. This, along with the other recently announced agreements
with Rebel and a top 10 pharma company, means that Merrion has an additional 6
compounds in its preclinical pipeline.–

Merrion–s patented drug delivery technology, GIPET(r), is supported by a large
database reflecting 10 years– research and development by drug delivery experts
and 21 clinical studies conducted on a broad range of drug types. In a database
comprising more than 40 compounds, GIPET has shown the ability to improve
absorption by as much as 200 times, achieving excellent intersubject
reproducibility and with a positive safety database. This includes traditional
small molecules as well as biopharmaceutical peptides and proteins, making
GIPET a platform technology with broad applicability. Merrion–s technology is
endorsed through collaborations with pharmaceutical companies such as Novo
Nordisk (oral Insulin, oral GLP-1), Ferring Pharmaceuticals and others.

About Merrion:

Merrion Pharmaceuticals is a publicly listed product development company
focused on delivering innovation to the market by:

— designing our own patented products and
— partnering with other pharmaceutical companies to develop patented
products.

Established in 2003, Merrion are engaged in the development of oral forms
(tablets/capsules) of drugs that have poor absorption and are generally given
by injection. Merrion Pharmaceuticals– patented drug delivery technologies
(GIPET(r)) hugely increase bioavailability, by improving absorption in the
gastrointestinal tract, of drugs that are otherwise poorly absorbed. As well as
increasing absorption, Merrion–s technologies also increase the consistency of
absorption.

These new products can provide substantial benefits in enhanced drug efficacy,
improved safety, toxicity and side effect profile, health economics, patient
experience and quality of life.

Merrion has agreements with several pharmaceutical companies. Merrion has two
license agreements with Novo Nordisk A/S to develop and commercialise oral
Insulin and oral GLP-1 using Merrion–s GIPET technology. Merrion also has an
oral drug delivery research collaborative program with Ferring Pharmaceuticals,
a Swiss based international pharmaceutical company. There are other,
unannounced collaborations.

Merrion Pharmaceuticals is based in Dublin, in a state of the art, purpose
built cGMP facility which allows rapid development and reduced risk in taking
product ideas from conception to final product formulation. Merrion also has
operations in Wilmington, North Carolina.

Merrion is listed on the Irish Stock Exchange (ESM) under the symbol MERR.

www.merrionpharma.com

CONTACT: Merrion Pharmaceuticals
Jonathan O–Connell
+ 353 (0) 1 6423300
info@merrionpharma.com
www.merrionpharma.com

Goodbody Stockbrokers
Diane Hodgson
Linda Hickey
+ 353 (0) 1 6670400

Brunswick Group
Jon Coles
Will Carnwath
+ 44 207 404 5959
merrion@brunswickgroup.com
News Source: NASDAQ OMX

22.12.2010 Dissemination of a Corporate News, transmitted by DGAP –
a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Language: English
Company: Merrion Pharmaceuticals plc

United States
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ISIN: US9901027097
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End of Announcement DGAP News-Service

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