Elite Pharmaceuticals Inc (ELTP)

[Mocha Jet]

Elite Announces Co-Development of Four Additional Products with SunGen Pharma

NORTHVALE, N.J., July 28, 2017 (GLOBE NEWSWIRE) -- Elite Pharmaceuticals, Inc. ("Elite" or the "Company") (OTCBB:ELTP), a specialty pharmaceutical company developing abuse-deterrent opioids and niche generic products, today announced Elite and SunGen Pharma, LLC ("SunGen") will co-develop four additional generic products bringing the total number of products developed under the amended agreement to eight.
Under the terms of Amendments to the parties' 2016 Development and License Agreement (the "Agreement"), Elite and SunGen will share the responsibilities and costs of development. Three products will be owned jointly by Elite and SunGen; three shall be owned by SunGen while Elite shall have the marketing rights once the products are approved by the FDA; and two shall be owned by Elite while SunGen shall have the marketing rights once the products are approved by the FDA. Elite will manufacture and package all eight products on a cost plus basis.

The product classes for the additional four products include antidepressants, antibiotics, and antispasmodics. The additional four products and their generic equivalents had total U.S. sales of more than $1.4 billion in 2016 according to IMS Health Data. The original four products and their generic equivalents had total U.S. sales of more than $3 billion in 2016 according to IMS Health Data.

Building on the success of the original agreement, Elite announced earlier this month a second agreement signed on July 6, 2017, in which Elite and SunGen will collaborate, develop and commercialize generic pharmaceutical products based upon a unique drug delivery platform used for extended release products. The parties will commence development of five generic extended release products and thereafter develop additional such products as there are more than a dozen products utilizing this type of technology. For the twelve months ending March 31, 2017, the initial five products and their generic equivalents had total U.S. sales of more than $2.5 billion according to IMS Health Data.

"We are delighted to continue building on our great partnership with SunGen, and are looking forward to more collaboration in the near future," said Nasrat Hakim, Chairman and CEO of Elite.