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EXHIBIT 99.1
[Corixa LOGO] [Medicis LOGO]
FOR IMMEDIATE RELEASE
CORIXA MEDICIS
INVESTOR RELATIONS INVESTOR AND PRESS RELATIONS
Jim DeNike Libby Ivy
Corixa Corporation Medicis Pharmaceutical Corporation
206.754.5716 or [email protected] 602.808.3854 or www.medicis.com
PRESS RELATIONS
Jesse Ciccone
FitzGerald Communications Inc.
617-494-9500 or [email protected]
MEDICIS AND CORIXA SIGN STRATEGIC ALLIANCE TO DEVELOP
AND COMMERCIALIZE CORIXA'S NOVEL PSORIASIS PRODUCT
SEATTLE AND PHOENIX--AUGUST 15, 2000--Corixa Corporation (Nasdaq: CRXA)
and Medicis Pharmaceutical Corporation (NYSE:MRX) today announced that the
companies have entered into a multi-year development, commercialization and
license agreement covering Corixa's novel psoriasis immunotherapeutic product,
PVAC(TM) treatment. The agreement provides Medicis with exclusive rights to PVAC
treatment in the United States and Canada. Corixa will be responsible for
development and manufacturing, and Medicis will be responsible for
commercialization and distribution. Corixa has an existing partnership in Japan
for PVAC, with Zenyaku Kogyo Pharmaceuticals, and is seeking to add marketing
partners for Europe and the rest of the world. PVAC treatment is currently in
Phase II clinical trials for the treatment of moderate to severe psoriasis.
Medicis plans to market the PVAC treatment under a brand name to be determined
at a later date.
Under the terms of the agreement, Medicis will pay Corixa license fees,
research funding and milestone payments of up to $107 million. Upon
effectiveness, Corixa will receive a non-refundable payment of $17 million with
additional potential development milestone payments of $35 million, and
commercialization and cumulative net sales threshold milestone payments of $55
million. Additionally, upon commercial sale of the product, Medicis will
purchase inventory from Corixa and pay a royalty on net sales of the product.
The effectiveness of the collaboration agreement between Corixa and Medicis is
subject to certain customary conditions, including any required approval of the
transaction by applicable government agencies.
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PVAC treatment is a derivative of Mycobacterium vaccae (M.vaccae)
developed by Corixa, in collaboration with New Zealand-based Genesis Research
and Development Corporation. Revenue received by Corixa will be shared on a
pro-rata basis consistent with each of Corixa's and Genesis' share of project
development efforts. Prior to paying Genesis, Corixa will pay a percentage of
revenue received related to the potential product to SR Pharma, Corixa's
licensor for certain intellectual property related to PVAC treatment.
"We are pleased to announce our partnership with Corixa on this
late-stage dermatological research project," said Jonah Shacknai, chairman and
chief executive officer of Medicis. "As one of the nation's leading dermatology
concerns, it is critical to our future that we introduce important new therapies
to market. With this transaction, we have invested our resources in a late-stage
development program which we believe could yield a breakthrough innovation in
the treatment of psoriasis. We are highly impressed with the scientific acumen
of Corixa, and have great confidence in their skill in completing Phase III
clinical trials and gaining regulatory approval of PVAC. Their great competence
combined with the proven sales and marketing power of Medicis, we believe, will
greatly benefit shareholders of both companies. I cannot overstate our
enthusiasm for the joint program."
"We are thrilled to be working with Medicis for the future
commercialization of PVAC in the U.S. and Canada. Their highly focused
dermatology development and marketing expertise as well as their credibility
among dermatology opinion leaders in North America are extremely important
assets that are difficult for Corixa or others to match. These were important
factors to Corixa in selecting the optimal marketing path for PVAC treatment,
our novel psoriasis immunotherapeutic," said Mark McDade, president and chief
operating officer at Corixa. "The new agreement is essentially turnkey, since
Corixa will be responsible for North American clinical development of PVAC, and
will deliver finished product to Medicis, produced in our Montana facility."
ABOUT PVAC TREATMENT
According to the National Psoriasis Foundation, there are approximately
seven million people in the U.S. with psoriasis. Published studies also indicate
approximately 30 percent of U.S. psoriasis patients have a moderate to severe
form of the disease. The disease is characterized by chronic inflammatory
lesions with red, scaling plaques and is believed to be an autoimmune phenomenon
mediated by T cells.
PVAC treatment is currently in Phase II clinical trials in the United
States, the Philippines and Brazil. It is currently not approved for use by FDA.
Moderate to severe psoriatic patients will receive two injections of PVAC
treatment administered three weeks apart and will be monitored for a twelve week
period following the second injection. Corixa hopes to complete the Phase II
randomized, controlled trial by the end of calendar year 2000.
Data from a Phase I/II open-label, trial performed in the Philippines
demonstrated encouraging preliminary results. Approximately 20 moderate to
severe psoriatic patients were treated in this investigational study. More than
half of the patients treated demonstrated greater than a 75 percent decrease in
disease severity in the 52-week trial. The main side effect was redness and
erythema at the injection site. Median duration of improvement for the patients
who responded was 51 weeks.
ABOUT CORIXA
Corixa is a research- and development-based biotechnology company
committed to treating and preventing autoimmune diseases, cancer and infectious
diseases by understanding and directing the
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immune system. Corixa is focused on immunotherapeutic products and has a broad
technology platform enabling both fully integrated vaccine design and the use of
its separate, proprietary vaccine components on a standalone basis. The company
partners with numerous developers and marketers of pharmaceuticals and
diagnostics, targeting products that are Powered by Corixa(TM) technology with
the goal of making its potential products available to patients around the
world. Corixa was founded in 1994 and is headquartered in Seattle, Wash., with
additional operations in Hamilton, Mont. and Redwood City, Calif. For more
information, please visit Corixa's website at www.corixa.com or call the
company's investor relations information line at 1-877-4CORIXA or
1.877.426.7492.
ABOUT MEDICIS
Medicis is the leading independent pharmaceutical company in the United
States focusing primarily on the treatment of dermatological conditions. Medicis
develops and markets leading products for major segments within dermatology
including acne, fungal infections, psoriasis, eczema, rosacea, seborrheic
dermatitis, head lice and cosmesis (improvement in the texture and appearance of
skin). Primary products include the prescription brands DYNACIN(R) (minocycline
HCl), TRIAZ(R) (benzoyl peroxide), LUSTRA(R) (hydroquinone), LOPROX(R)
(ciclopirox), OVIDE(R) (malathion), PLEXION(TM) (sodium sulfacetamide/sulfur),
LIDEX(R) (fluocinonide), SYNALAR(R) (fluocinolone acetonide), TOPICORT(R)
(desoximetasone), NOVACET(R) (sodium sulfacetamide/sulfur) and A/T/S(R)
(erythromycin); the over-the-counter brand ESOTERICA(R); and BUPHENYL(TM)
(sodium phenylbutyrate), a prescription product indicated in the treatment of
Urea Cycle Disorder.
ABOUT GENESIS RESEARCH AND DEVELOPMENT CORPORATION (www.genesis.co.nz)
Genesis is a New Zealand-based biotechnology company that focuses on the
generation of EST databases from microbes, plants and animals and searching for
genes of economic importance. These genes or their products will be used for
economic gain in a range of ways, from trait improvement in primary industries
(forestry, pastoral farming) to vaccines, pharmaceuticals and nutraceuticals.
Partnerships with pharmaceutical, agricultural and forestry companies are the
mechanism for exploiting Genesis gene technology. Genesis has successfully
partnered with other biopharmaceutical, agricultural and forestry corporations
who participate in the funding of research and who have the resources to then
effectively develop and market the end products. Either alone or via its
partnerships, Genesis has, in addition to its PVAC collaboration in psoriasis,
an asthma therapeutic in early stage clinical trial in New Zealand, and has an
extensive forestry genomic platform for producing transgenic trees.
FORWARD-LOOKING STATEMENTS
Except for the historical information presented, the matters discussed
in this press release are forward-looking statements that are subject to certain
risks and uncertainties that could cause actual results to differ materially
from any future results, performance or achievements expressed or implied by
such statements. These forward-looking statements represent the judgment of the
companies as of the date of this release, and the companies disclaim any intent
or obligation to update these forward-looking statements. Such risks and
uncertainties include possible delays or failure by Corixa or Medicis
Pharmaceutical Corporation to develop and/or commercialize any technology
covered by the new collaborative agreement between the parties, possible risks
related to adverse clinical results as products including any of such technology
move into clinical trials, the impact of alternative technological advances and
competition on the collaborative relationship between the parties, inherent
risks in early stage development of such technology, and other risks detailed
from time to time in the companies' public disclosure filings with the U.S.
Securities and Exchange Commission (SEC), including Corixa's Quarterly Report on
Form 10-Q filed on August 14, 2000, and Medicis Pharmaceutical Corporation's
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Annual Report on Form 10-K for the fiscal year ended June 30, 1999. Copies of
public disclosure filings with the SEC are available from each company's
investor relations department.
NOTE: Full prescribing information for any Medicis prescription product
is available by contacting the Company.
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