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NovaBay Pharmaceuticals Prices Initial Public Offering of Common Stock
Date:10/25/2007

ned from Dawson James Securities, Inc., Attn: Investment Banking, 925 South Federal Highway, 6th Floor, Boca Raton, FL 33432, telephone number (866) 928-0928. Copies of the Canadian prospectus may be obtained from Dundee Securities Corporation, 1 Adelaide St. E., Suite 2700, Toronto, Ontario M4T 1J9; Attn: Equity Capital Markets, E-mail: ecm@dundeesecurities.com.

About NovaBay

NovaBay Pharmaceuticals, Inc. is a biopharmaceutical company focused on developing innovative product candidates targeting the treatment or prevention of a wide range of infections in hospital and non-hospital environments. NovaBay has discovered and is developing a class of antimicrobial compounds, which it has named Aganocide compounds, which are based upon small molecules that are generated by white blood cells that defend the body against invading pathogens. NovaBay believes that Aganocide compounds could form a platform on which to create a variety of products to address differing needs in the treatment and prevention of bacterial and viral infections, including Methicillin-Resistant Staphylococcus aureus (MRSA). NovaBay has entered into a licensing and research collaboration agreement with an affiliate of Alcon, Inc. for use of the Aganocide compounds in the eye, ear and sinus and in contact lens solutions and a license agreement with an affiliate of Kinetic Concepts, Inc. for the use of NovaBay's NeutroPhase product in woundcare applications.

NovaBay(TM), Aganocide(TM) and NeutroPhase(TM) are trademarks of NovaBay Pharmacuticals, Inc. All other trademarks and trade names are the property of their respective owners.

Safe Harbor Statement

This release contains forward-looking statements, which are based upon management's current expectations, assumptions, estimates, projections and beliefs. These statements include, but are not limited to, statements regarding the development and potential benefits of, and the mar
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SOURCE NovaBay Pharmaceuticals, Inc.
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