Distribution Agreement

22 May 2006 07:00

Alliance Pharma PLC22 May 2006 For Immediate Release 22 May 2006 ALLIANCE PHARMA PLC ("Alliance Pharma" or "the Company") Leading distributor signed in Italy for PeriostatTM Alliance Pharma plc (AIM: APH), the speciality pharmaceutical company, ispleased to announce that it has entered into a distribution agreement with IdecoLinea Odontoiatrica, a leading specialist dental company, to register,distribute and market Periostat in Italy. Periostat is the first and only approved prescription medicine for the treatmentof the severe gum disease periodontitis. Ideco is a specialist dental company which markets implants and oral hygieneproducts to dentists, pharmacies and drugstores, and is highly experienced inthe dental market in Italy. Statistics indicate that 48 per cent of the Italian population over 35 years oldhave moderate to severe periodontitis, representing a potential market ofapproximately 14 million people. Periostat will be the only enzyme suppressionproduct on the market in Italy to treat periodontitis. Alliance possesses the marketing authorisation for Periostat in Italy and asubmission has been made to enable Ideco to distribute the product. The launchin Italy is expected in Q4 2006. Commenting on the news, John Dawson, Alliance Pharma's Chief Executive, said: "I am extremely pleased with addition of Italy to our distribution network forPeriostat. Periostat is a major growth opportunity for Alliance Pharma and thisagreement with Ideco Linea increases our international reach into a potentiallyvery significant market. We are excited to have the marketing authorisation inplace, and are on track to launch Periostat in Italy in the final quarter of2006." For further information:Alliance Pharma plc + 44 (0) 1249 466966John Dawson, Chief ExecutiveMaddy Scott, Finance Directorwww.alliancepharma.co.uk Buchanan Communications + 44 (0) 20 7466 5000Mark Court/Lisa Baderoon/Rebecca Skye Dietrich Notes to editors About Alliance Pharma Alliance Pharma, founded in 1996, is an AIM listed emerging specialitypharmaceutical company based in Chippenham, Wiltshire, UK. The company has astrong track record of acquiring the rights to established niche brands andowns, or shares, the rights to 30 branded pharmaceutical products and continuesto explore opportunities to expand the range. Alliance Pharma's products are prescribed in the treatment of a wide range ofconditions and include brands used in periodontitis (a serious gum disease), theprevention of heart disease, in Parkinson's disease, in nutrition, in nasalinfections, in the treatment of dermatological conditions and in childbirth.Alliance Pharma's sales are mainly prescription driven. Its products aredistributed to hospitals directly and to pharmaceutical wholesalers whichservice both hospital and retail pharmacies with their prescriptionrequirements. Alliance Pharma is also developing novel products for sleep disorders and theinduction of labour. Alliance Pharma joined the AIM market of the London Stock Exchange in December2003 and trades under the symbol APH. About Periostat Periostat is the first and only approved oral pharmaceutical product for theadjunctive treatment of adult periodontal disease (periodontitis) by thesuppression of those enzymes that destroy periodontal support tissues. Periostatis included in the Secretary of State for Health's list for dental prescribingand is listed on the UK's Dental Practitioners' Formulary. Periodontitis isestimated to affect 11 per cent of the adult population in the UK. Alliance Pharma acquired the rights to Periostat in November 2004 fromCollaGenex International Ltd, part of CollaGenex Pharmaceuticals Inc (Nasdaq:CGPI), for the territories of the enlarged European Union, Switzerland, Israel,Australia, New Zealand and South Africa. This information is provided by RNS The company news service from the London Stock Exchange