SOURCE: Gamma Pharmaceuticals, Inc.

March 15, 2010 08:30 ET

Gamma Pharmaceuticals Announces Retention of Leading Investment Banking Boutique and National Law Firm to Advise on Financial and Strategic Alternatives

LAS VEGAS, NV--(Marketwire - March 15, 2010) - Gamma Pharmaceuticals, Inc. (NASDAQ: GMPM): Gamma Pharmaceuticals, Inc. ("Gamma" or the "Company") announced that it has retained Burnham Securities Inc., ("Burnham"), the New York based investment banking boutique, and Nelson Mullins Riley & Scarborough LLP ("Nelson Mullins"), the national general practice law firm founded in 1897, to assist and advise Gamma management ("Management") in a variety of corporate initiatives and to assist the Company in seeking financial and strategic alternatives.

Peter Cunningham, Gamma's Chief Executive Officer, commented on the engagements. "Gamma is at the most exciting point in the Company's history. After two years of challenges, where Management has had to bootstrap the Company forward to raise capital, formulate products, establish marketing and promotional platforms, and set up supply chain logistics, we have recently set in place several arrangements that position Gamma for potentially significant growth and profitability. Our previously announced ventures and agreements with Evander Holyfield, Jugular Inc., new distributors and an expanded retail customer base have transformed Gamma as a company. We are now rushing to confirm purchase orders and commission manufacturing to quickly ramp up to our contract minimums. As some commentators have said, 'the table for Gamma has been set.' The 'new' Gamma requires top-notch professional advisors to assist and advise Management in seeking financial and strategic alternatives designed to maximize shareholder value."

Randal Stephenson, Managing Director of Burnham Securities Inc., said, "We feel honored to assist and advise Gamma at this exciting time. The Company's recent initiatives have transformed Gamma almost overnight from a pre-revenue, developing business into a company with contractually guaranteed minimum sales volumes and annualized revenues of approximately $48 million. This fundamentally alters the Company's intrinsic value. Moreover, the new product lines under development with boxing legend Evander Holyfield and others are expected to generate additional sales volume and revenues significantly above these contract minimums. We are actively fielding numerous strategic inquiries and analyzing several financial and strategic alternatives, including a possible capital infusion by an equity sponsor, which is expected to create substantial additional shareholder value."

Joe Cunningham, Gamma's Chief Financial Officer, commented on the retention of Burnham. "We are very pleased to have a seasoned banker like Randal Stephenson and a venerable firm like Burnham as our investment bankers. Randal has been advising Gamma for the past two years through our development period, and he and Burnham were instrumental in guiding us through the several initiatives we recently announced. Now that the Company is positioned for substantial growth and profitability, Burnham's strong track record in debt and equity capital raising and mergers and acquisitions advisory will prove invaluable. Burnham is actively developing and investigating several financial and strategic alternatives designed to further increase the value of Gamma."

Joe Cunningham added about Nelson Mullins' engagement, "Nelson Mullins has proven to be exactly the legal advisor required by the 'new' Gamma. We just completed a flurry of joint ventures, long-term agreements and other corporate initiatives all of which are anticipated to be value-enhancing. Nelson Mullins' experience and commercial savvy helped us clarify, organize and conclude these sophisticated agreements and important initiatives. In addition, their calm hand supported our negotiations from start to finish. It is critical that we have a world class, sophisticated legal counsel like Nelson Mullins as Gamma continues to investigate opportunities, both here in the U.S. and overseas."

About Burnham Securities Inc.

Burnham Securities Inc. ( is the investment banking unit of Burnham Financial Group located in New York. Burnham investment bankers have established themselves to be among the industry's most experienced, responsive and professional. Burnham's broad network of corporate and financial sponsor relationships, and its knowledge of the capital markets, allow the firm to shape strategic financial alternatives, suggest and structure business combinations, identify capital sources, negotiate terms and arrange injections of capital. As an integral part of Burnham Financial Group and the firm's 70-year history (together with predecessor firms), Burnham Securities Inc. blends relationship value with creativity during each assignment.

About Nelson Mullins Riley & Scarborough LLP

Nelson Mullins Riley & Scarborough LLP (, with more than 40 diversified practice areas, provides creative solutions to complex legal and business problems while offering value-added service to clients. Many Nelson Mullins clients, including growth companies, expanding local businesses, and major international companies, retain the Firm to provide all of their legal services. Other clients are national companies requiring assistance with specific regional or local legal matters. With more than 400 attorneys and government relations professionals practicing from offices in Atlanta, Boston, Tallahassee, West Virginia, Washington, D.C., and throughout the Carolinas, Nelson Mullins has strong roots in the business community and an appreciation for new directions in the business world.

About Gamma Pharmaceuticals, Inc.

Gamma Pharmaceuticals, Inc. ( is a marketing and product formulation company selling its own branded products through wholesalers and direct to retailers, both in the US and internationally. Gamma's core focus is the marketing and sale of vitamins and nutriceuticals, OTC pharmaceutical products and personal care products in Greater China and the United States. Branded nutritional supplements are sold under the trademarks Brilliant Choice™ children's nutritional supplements featuring the call to action "Mom you've made a brilliant choice for you children's nutrition;" SAVVY™ adult nutritional supplements featuring the call to action, "Be SAVVY Stay Healthy;" and, Jugular Energy Products™ and high performance supplements featuring the call to action, "Go for the Jugular™." Gamma's customer focus is on selling products in the Lifestyle of Health & Sustainability ("LOHAS") marketplace and in the Energy Supplement Market. A series of innovative marketing programs supports Gamma's product sales and retail partners.

At present Gamma manufactures in North America, and distributes in the United States and China. Gamma's products utilize proprietary "Gel Delivery Technology®," to create innovative gel product forms; that are designed to give consumers a more pleasant experience. Gel Delivery Technology® characteristics include rapid absorption, convenience and taste great. Market categories Gamma targets are growing as rapidly as 60% per year. Gamma has developed formulas and strategies for Metabolic Syndrome and Diabetes Type II, Stress Reduction, Cognition, Well being, Menopause Symptoms, and Personal Care Products. Gamma also develops and manufactures house brands for major retailers. At this time, Gamma has a total of 36 SKU's and holds licenses for 9 SKUs in China.

Forward-Looking Statements: This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements in this Press Release regarding any impact the quotation of the Company's stock has on the Pink Sheets or the lack thereof on the OTCBB, and any other effects of the above are forward-looking statements. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward-looking statements. The Company cautions readers not to place undue reliance on any forward-looking statements. The Company does not undertake, and specifically disclaims any obligation, to update or revise such statements to reflect new circumstances or unanticipated events as they occur.

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