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Novavax Enters Into Estrasorb(R) Asset Sale and Supply Agreements with Graceway Pharmaceuticals, LLC
Date:2/19/2008

ROCKVILLE, Md., Feb. 19 /PRNewswire-FirstCall/ -- Novavax, Inc. (Nasdaq: NVAX) Novavax, Inc. has entered into a sale of all of its assets related to Estrasorb(R) in North America and a supply agreement for the product with Graceway Pharmaceuticals, LLC(TM) ("Graceway"). Estrasorb is indicated for the treatment of moderate to severe vasomotor symptoms associated with menopause. Novavax will retain the rights to commercialize Estrasorb in other parts of the world.

In a separate but related transaction, Graceway has also purchased from Allergan, Inc. any tangible and intangible assets related to the product. Simultaneous with the transaction between Novavax and Graceway, Allergan has terminated all of its previously licensed rights to commercialize the product. Following the transaction, Allergan will have no continuing role with the product.

The agreements between Novavax and Graceway provide for the sale of the patent associated with the product, the sale of other intellectual properties and assets, and the sale of all production equipment related to Estrasorb. Graceway granted back to Novavax a royalty-free license to the micellar nanoparticle technology for application in certain fields unrelated to Estrasorb. Under the supply agreement, Novavax will manufacture additional finished goods of Estrasorb with final delivery of the new inventory expected by mid-2008. Graceway will pay a preset transfer price per unit of Estrasorb for this supply of the product. Novavax will exit its Philadelphia manufacturing location upon completion of its delivery obligations to Graceway. The asset sale and ongoing production of Estrasorb will generate for Novavax only a modest profit related to this transaction in 2008. However, the transacti
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SOURCE Novavax, Inc.
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