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Transdel Pharmaceuticals Enters Into License Agreement with JH Direct, LLC for Cosmeceutical Product

Agreement Includes Exclusive Worldwide License to Transdel's Anti-Cellulite Cosmeceutical Product

LA JOLLA, Calif., June 10 /PRNewswire-FirstCall/ -- Transdel Pharmaceuticals, Inc. (OTC Bulletin Board: TDLP) and JH Direct, LLC have entered into a licensing agreement providing JH Direct with the exclusive worldwide rights to Transdel's anti-cellulite cosmeceutical product which utilizes Transdel's patented transdermal delivery system technology, Transdel(TM). The licensing agreement between Transdel and JH Direct is a significant milestone for Transdel as it is the first agreement involving the use of Transdel's proprietary technology for a cosmeceutical product. Transdel plans to further develop its pipeline of cosmetic/cosmeceutical products.

Under the terms of the agreement, JH Direct will pay Transdel initial royalty advances and a continuing licensing royalty on the worldwide sales of the anti-cellulite product. The product will be launched through direct response television campaigns, created and managed by JH Direct, followed by an expansion into traditional channels of distribution, such as retail or wholesale channels. Transdel has retained the exclusive rights to seek pharmaceutical/dermatological partners for the anti-cellulite product for an initial period of one year, thereafter JH Direct will be allowed to expand in this channel.

"We are extremely pleased with our relationship with JH Direct and plan on building on this relationship to launch additional cosmeceutical products. This venture is very exciting as we believe it could represent the beginning of what may become a revenue stream for Transdel. An estimated 85% to 90% of women develop cellulite following puberty. The size of this target market combined with the desire to remove cellulite represents a $3 billion market and thus provides a promising market opportunity," stated Dr. Juliet Singh, President and Chief Executive Officer of Transdel. "We also plan on expanding our pipeline to include formulations for anti-aging, varicose vein and hyperpigmentation cosmetic/cosmeceutical products."

"We feel that the anti-cellulite product provides a significant market opportunity for JH Direct. The use of Transdel's propriety transdermal delivery system in the product will make it unique and potentially more effective than other products currently on the market," said Johann Verheem, JH Direct's Chief Executive Officer. "We anticipate bringing this product to market rapidly and expanding our relationship with Transdel in other areas."

About Transdel Pharmaceuticals, Inc.

Transdel Pharmaceuticals, Inc. (OTCBB: TDLP) is a specialty pharmaceutical company developing non-invasive, topically delivered products. The Company's innovative-patented Transdel(TM) cream formulation technology is designed to facilitate the effective penetration of a variety of products through the tough skin barrier. The Company is actively investigating other product candidates for transdermal delivery using the Transdel(TM) platform technology and is also actively pursuing partnerships with other groups or companies to expand its product portfolio.

The Company's lead pain product, Ketotransdel(R), a topical cream based non-steroidal anti-inflammatory drug ("NSAID"), is currently in Phase 3 clinical studies in the United States. Ketotransdel, if approved by the U.S. Food and Drug Administration, could become the first topical NSAID cream product in the United States for acute pain management, which is a multi-billion dollar market. The drug could address what the Company believes is a significant unmet medical need for patients and physicians seeking a potentially safer alternative to existing pain management approaches, such as oral NSAIDs. The Company anticipates reporting top-line results from this study during the third quarter of 2009. For more information, please visit

About JH Direct, LLC

JH Direct LLC is a fully integrated Direct Response Television Company focusing on developing sustainable brands launched through direct response television campaigns as part of a multi-channel distribution approach. The JH Direct senior management team has created and managed some of the most successful Direct Response Television brands in the cosmeceutical, beauty and fitness categories since the mid nineties.

JH Direct is funded by JH Partners, a San Francisco-based private equity firm focused on building sustainable, long-term equity value in consumer and marketing-driven growth companies.

Safe Harbor Statement

Statements made in this release that are not historical in nature constitute forward-looking statements. Forward-looking statements can be identified by the use of words such as "expects," "plans," "will," "may," "anticipates," "believes," "should," "intends," "estimates," and other words of similar meaning. Please note that forward-looking statements are based on projections, that these projections involve judgment, and that individual judgments may vary. Moreover, these statements are subject to risks and uncertainties that cannot be predicted or quantified and consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, risks and uncertainties associated with the uncertainty of the Company's future financial results and its ability to raise additional funds to support its operations, its ability to complete the required clinical trials and obtain FDA approval for Ketotransdel, the efficacy and the commercial success of any cosmetic/cosmeceutical products it develops, the impact of competitive products or pricing, and technological changes. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q filed with the SEC. Such documents may be read free of charge on the SEC's web site at All forward-looking statements included in this release are made as of the date of this press release, and the Company assumes no obligation to update any such forward-looking statements.

SOURCE Transdel Pharmaceuticals, Inc.
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