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Depomed Announces Receipt of $1 million Milestone Payment From Ironwood Pharmaceuticals, Inc.
Date:5/11/2012

MENLO PARK, Calif., May 11, 2012 /PRNewswire/ -- Depomed, Inc. (NASDAQ: DEPO) today announced that it has received a $1 million milestone payment from Ironwood Pharmaceuticals, Inc. following the development and delivery of a prototype formulation of an Ironwood development candidate meeting pre-specified attributes under its Research Collaboration and License Agreement to license Acuform® technology to Ironwood signed in July 2011. Under the terms of the agreement, Depomed licensed to Ironwood worldwide rights to Depomed's Acuform gastric retentive drug delivery technology for an Ironwood development program directed at gastrointestinal disorders. Under the terms of the agreement, Depomed received an upfront license fee on signing in 2011 and is eligible to receive additional payments pending achievement of certain development and regulatory milestones, as well as royalties on product sales.

About Depomed
Depomed, Inc. is a specialty pharmaceutical company with two approved and marketed products. Gralise™ (gabapentin) is a once-daily treatment approved for the management of postherpetic neuralgia (PHN).  Glumetza® (metformin hydrochloride extended release tablets) is approved for use in adults with type 2 diabetes and is commercialized by Santarus, Inc. in the United States.  Depomed formulates its products and product candidates with its proven, proprietary Acuform® drug delivery technology, which is designed to improve existing oral medications, allowing for extended release of medications to the upper gastrointestinal tract when dosed with food. Additional information about Depomed may be found on its website, www.depomed.com.

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