Pediapharm Inc.

Pediapharm Inc.

June 08, 2015 08:00 ET

Pediapharm Announces the Extension of the Exclusive Canadian Rights for NYDA Until 2021, With a Clause for Additional 5 Year Renewals


Pediapharm Inc. (TSX VENTURE:PDP) ("Pediapharm" or the "Company") and G. Pohl-Boskamp GmbH & Co KG ("Pohl-Boskamp") are very pleased to announce the extension of their exclusive Canadian distribution agreement for NYDA until at least 2021. The revised agreement includes additional renewal clauses and similar terms and conditions as was included in the previous agreement.

NYDA, successfully launched by Pediapharm in Canada in 2012 is a breakthrough non-pesticide treatment that kills head lice and its eggs in less than 1 minute. It was included in the official public health guidelines from the Ministry of Health and Social Services of Quebec and has been recognized by receiving the Today's Parent Approved Award seal in 2015.

"We have been very impressed with the progress of NYDA in the Canadian marketplace and are delighted to have come to a long-term agreement with Pediapharm. The Pediapharm team has proven they can execute and we strongly believe that NYDA will continue to grow rapidly in Canada", stated Bodo Heibrock, Senior Director of International Sales at Pohl-Boskamp.

"Pohl-Boskamp's business model has been built on having solid partnerships globally. The two companies have been collaborating since 2009 and have accomplished a lot already. There is still a lot the companies can accomplish with this renewed collaboration", added Thomas Höppner, Executive Director at Pohl-Boskamp.

"Given the current dynamics of the head lice environment in Canada, it is just a matter of time before NYDA becomes a market leader. Our plans include accelerated growth for NYDA again this year, with projected revenue of $3.2 million, and we believe we will reach the $6-8 million of annual revenue by 2017" stated Sylvain Chretien, President and CEO of Pediapharm.

"We are very fortunate to have such a solid partner in Pohl-Boskamp. From the beginning, we have been working very well together with the same objective: make NYDA a real success story in Canada like they did in Germany" concluded Benoît Hébert, Vice-President Business Development & Licensing of Pediapharm.

About NYDA

NYDA is a revolutionary topical treatment indicated for eradication of head lice (Pediculus humanus capitis). Extremely safe to use, it penetrates deeply into the tiniest parts of the lice, larvae and also the egg's breathing system, displacing the air, and therefore inducing death regardless of the stage of development, from eggs to adult lice. Extensive clinical data supports the efficacy of NYDA which has been reported to reach 97.2%, thought to be the highest of any product presently commercialized in Canada.

About G. Pohl-Boskamp GmbH & Co KG

Pohl-Boskamp is a privately owned family business active in the international pharmaceutical market for more than 175 years and commercializes products in more than 45 countries. Pohl-Boskamp focuses on a trustful cooperation with our partners abroad and developing that positively impact patient's quality of life. It operates in numerous healthcare sectors including pneumology, urology, parasitology, cardiovascular diseases, gastroenterology, sleep disorders and dermatology.

About Pediapharm Inc.

Pediapharm is the only Canadian specialty pharmaceutical company dedicated to serving the needs of the pediatric community. Its mission is to bring to the Canadian market the latest innovative pediatric products with the objective to improve the health and the well-being of children in Canada. Since its debut in 2008, Pediapharm has entered into numerous commercial agreements with partners from Canada and other countries around the world. The Company's innovative portfolio of commercialized products includes NYDA®, a breakthrough treatment for head lice; Pediapharm Naproxen Suspension, the only prescription NSAID in the form of suspension available in Canada; EpiCeram®, a non-steroid emulsion for eczema; KoolEffect® which reduces the symptoms of fever; and VapoLyptus®, a soothing vapour patch of Eucalyptus and Camphor.

Neither TSX Venture nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.

The securities of Pediapharm being offered have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties, including without limitation, statements pertaining to the closing of the Offering including the intended use by the Company of the net proceeds of the Offering. Actual results may differ materially. Pediapharm will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Pediapharm.

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