- Five-year Agreement
- Guaranteed Purchase Requirements - Good Faith Negotiations for Contract Manufacturing of DaySpring Core
- Value Projected To Range Between $4.4M-7M Over Five Years
IRVING, Texas, Oct. 1 /PRNewswire-FirstCall/ -- Carrington Laboratories, Inc. (Pink Sheets: CARN) (http://www.CarringtonLabs.com) today announced it has formalized its previously announced multi-year supply and distribution term sheet with DaySpring Pharma, LLC (http://www.dayspringpharma.com). The previous announcement included a two-year term; the final, formal agreement has been extended to five years.
Under the terms of this agreement, Carrington will supply multiple prescription products based on Carrington's flagship DiaB(TM) and Radia(TM) brands to DaySpring for distribution into the physician market. Carrington's DiaB(TM) and Radia(TM) products have been developed specifically for diabetic wound care and for patients undergoing radiation therapy. In exchange for guaranteed volumes of these prescription products, DaySpring will receive market protection in the physician market. All products will contain Carrington's Acemannan Hydrogel(TM). The parties will also enter into good faith negotiations for the manufacture and supply of other DaySpring products.
"We are excited about the formal partnership with DaySpring. This relationship provides the platform to take our leading brands that include Acemannan Hydrogel(TM) into other healthcare markets outside hospitals, nursing homes, and home healthcare facilities," stated Doug Golwas, vice president of corporate sales and marketing for Carrington. "These products are a natural extension for DaySpring's sales force and channels to market. DaySpring currently markets to prescription health care professionals throughout the United States. Its products BroveX(TM) and Lidocream(TM) are recognized by healthcare professionals and are used in a broad spectrum of treatments.
Dr. Wade Smith, CEO of DaySpring, said, "Carrington is known for its market leadership in advanced wound care in hospital settings. There is a tremendous market opportunity, with patients and physicians, to establish these brands as the standard in the treatment of wound and skin care within the diabetic and radiation therapy markets."
VelocityHealth Securities, Inc. served as the exclusive advisor to DaySpring in the transaction.
About Acemannan Hydrogel(TM)
Acemannan Hydrogel contains the highest level of polymeric acetylated mannans than any other commercially available product from Aloe vera L. It is used as the key ingredient in Carrington's products marketed in the pharmaceutical industry for wound healing and cessation of pain. Acemannan Hydrogel is currently being used in various prescription and non-prescription medical devices for the management of stomatitis, apthous ulcers, diabetic ulcers, first-through third-degree burns, surgical incision sites, and general wounds, cuts and lesions.
About DaySpring Pharma
DaySpring Pharma, LLC is a niche-focused, specialty pharmaceutical company focused on acquiring, developing and commercializing approved and late-stage branded products, with a particular focus on women's health care, pediatrics, and dermatology. While unique, these markets are the fastest-growing pharmaceutical sectors. Its focus includes therapeutic agents and products that exceed the needs of patients in these under-served markets. For more information, visit http://www.dayspringpharma.com.
Carrington Laboratories, Inc. is an ISO 9001-certified, research-based, biopharmaceutical and consumer products company currently utilizing naturally-occurring complex carbohydrates to manufacture and market products for mucositis, radiation dermatitis, wound and oral care, as well as to manufacture and market the nutraceutical raw material Manapol(R) and cosmetic raw material Hydrapol(TM). Carrington also manufactures and markets consumer products and manufactures quality products for other companies. Manufacturing operations comply with cGMP standards. DelSite Biotechnologies, a subsidiary of Carrington, is developing its proprietary GelSite(R) technology designed to provide controlled release of peptide and protein-based drugs. The GelVac(TM) formulation of GelSite is being funded by HHS and is being developed as a nasal powder delivery system for vaccines and therapeutics in particular the H5N1 Avian (Bird) Flu. Research on Carrington's technology is protected by more than 130 patents in 26 countries. Select products carry the CE mark, recognized by more than 20 countries around the world. For more information, visit http://www.carringtonlabs.com .
Certain statements in this release concerning Carrington may be forward- looking. Actual events will be dependent upon a number of factors and risks including, but not limited to: subsequent changes in plans by the Company's management; delays or problems in formulation, manufacturing, distribution, production and/or launch of new finished products; changes in the regulatory process; changes in market trends; and a number of other factors and risks described from time to time in the Company's filings with the Securities & Exchange Commission.
|SOURCE Carrington Laboratories, Inc.|
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