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EXHIBIT 99.1
[CORIXA LOGO]
[MEDICIS LOGO]
FOR IMMEDIATE RELEASE
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.
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
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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."
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"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 paitents
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 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,
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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
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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
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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 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.
