NovaDel Grants Exclusive License for Animal Drugs Using
Proprietary Lingual Spray Technology
Former Senior Animal Health Executives Will Commercialize NovaDel's Drug
Delivery Technology for Pets, Other Animals
FLEMINGTON, N.J., Sept. 14 /PRNewswire-FirstCall/ -- NovaDel Pharma, Inc. (AMEX:NVD) granted an exclusive worldwide license to its patented lingual spray
drug delivery technology to Velcera Pharmaceuticals, Inc. of Langhorne, PA, for
development of innovative veterinary medicines.
Velcera is a development-stage, privately-held animal health company headed by
former senior executives at the animal units of Merial, Merck, and
Schering-Plough.
NovaDel received an equity stake in the new venture along with an upfront cash
technology fee. The agreement provides NovaDel with milestone payments for
each product developed by Velcera and royalties on product sales. Products will
be formulated in NovaDel labs at Velcera expense and Velcera will fund all
development and regulatory activities. The resulting Velcera products will be
manufactured by NovaDel.
"This is a way for NovaDel to expand its lingual spray technology into another
market by capitalizing on Velcera's resources and expertise in this area," said
Gary A Shangold, MD, NovaDel's chief executive officer. The animal health
market is $14 billion globally and growing and our technology offers what
appear to be very special advantages in drug administration and compliance. We
are fortunate to have a partnership with a company of very seasoned executives
whose focus is on improving animal health by way of NovaDel's patented delivery
system." NovaDel's technology is expected to overcome the well-known problem of poor
compliance when it comes to administration of pills by pet owners. Cats and
dogs are often uncooperative in taking a pill. Some pets appear to take the
pill, only to then spit it out later when out of sight of the owner. Still
others will intentionally avoid ingesting medication mixed with their food.
With NovaDel's technology, pet owners would more easily administer drugs by
dispensing a fine mist of the product onto the gum and/or inner cheek areas.
Rapid absorption through the oral mucosa takes the drug into the bloodstream.
In human health, this direct delivery into the bloodstream generally means
lower doses are sufficient for the same therapeutic effect achieved with higher
doses in a pill form of the same drug. The technology offers the additional
advantage of largely avoiding first pass liver metabolism. NovaDel's first
human drug was submitted for approval to the US FDA earlier this year.
"In our years of experience and technology assessment, we have yet to see a
drug delivery platform as robust and versatile as NovaDel's lingual spray
technology," commented Velcera's Chief Executive Officer Dennis Steadman, the
former vice president of North American Operations for Merial Ltd.
"Particularly in the pet market, which is our initial focus," he continued,
"there is a definite unsatisfied need to ease the physical and emotional
discomfort of drug administration by pet owners and to help improve compliance
for better therapeutic outcomes. We have an excellent team at Velcera and
strong financial backing. Now, with our NovaDel partnership we have a strong
proprietary position to offer better versions of high value off- patent animal
pharmaceuticals as well as look at some newer molecules." A trial conducted at an independent facility sponsored by Velcera showed that
NovaDel's delivery technology was well accepted by cats and dogs and that it
could represent a significant leap forward in simplifying pet-owner
administration of medicines.
The animal health market is estimated to be valued at about $14 billion
worldwide. The companion pet category is the fastest growing segment,
currently valued at about $5 billion worldwide.
NovaDel Pharma Inc. is a specialty pharmaceutical company engaged in the
development of novel drug delivery systems for prescription and over-the-
counter drugs. The Company's proprietary lingual spray technology delivery
system offers the patient the potential for (i) fast onset of action; (ii)
improved drug safety by reducing the required drug dosage and reducing side
effects; (iii) improved patient convenience and compliance; and (iv) enhanced
dosage reliability. The Company plans to develop such products independently
and through collaborative arrangements with major pharmaceutical and biotech
companies.
Except for historical information contained herein, this document contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements involve known and unknown risks
and uncertainties that may cause the Company's actual results or outcomes to be
materially different from those anticipated and discussed herein including, but
not limited to, the successful completion of its pilot pharmacokinetic
feasibility studies, the ability to develop products (independently and through
collaborative arrangements), the ability to commercialize and obtain FDA and
other regulatory approvals for products under development and the acceptance in
the marketplace for lingual spray products.. Further, the Company operates in
industries where securities may be volatile and may be influenced by regulatory
and other factors beyond the Company's control. Important factors that the
Company believes might cause such differences are discussed in the risk factors
detailed in the Company's most recent Annual Report and Registration
Statements, filed with the Securities and Exchange Commission. In assessing
forward-looking statements contained herein, if any, the reader is urged to
carefully read all cautionary statements contained in such filings.
Velcera Pharmaceuticals, Inc. is a privately-held, development-stage animal
health company dedicated to breaking-through the administration barriers in
veterinary medicine to bring new convenience, improved compliance and
therapeutic benefits to veterinarian medicines. Velcera combines patented drug
delivery technology with in-depth animal health expertise and solid financial
backing to develop and market new and unique animal health medicines. The new
Velcera name is constructed from Vela (Latin root, to pass through) and Cere
(Latin suffix, breaking through) reflecting the company's dedication to
breaking-through to improve veterinary medicine. Velcera, headquartered in
Langhorne, Pennsylvania USA, is lead by President and CEO, Dennis Steadman and
staffed with expertise from major global animal health companies.
Contact:
Barry C. Cohen
VP Business & New Product Development
NovaDel Pharma Inc. 908.782-3431 x 2160 Thomas Redington
Redington, Inc. 203.222.7399
212.926.1733
DATASOURCE: NovaDel Pharma Inc.
CONTACT: Barry C. Cohen, VP Business & New Product Development of NovaDel Pharma Inc., +1-908-782-3431 x 2160; or Thomas Redington of Redington, Inc., +1-203-222-7399, or +1-212-926-1733,
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