Merrion Announces License Agreement With Novo Nordisk to Develop Oral Formulation of GLP-1 Receptor Agonist(s) -- Novo Nordisk Makes Equity Investment in Merrion

DUBLIN, Ireland, Jan. 16, 2009 (GLOBE NEWSWIRE) -- Merrion Pharmaceuticals
(IEX:MERR) and Novo Nordisk A/S (NYSE:NVO), a world leader in diabetes, have
entered into a Development and License Agreement to develop and commercialise
oral formulations of a Novo Nordisk proprietary GLP-1 receptor agonist, using
Merrion's proprietary GIPET(r) technology. This is the second license agreement
between the two companies concerning Merrion's GIPET(r) technology -- the first
agreement for the development of oral insulin analogues was signed in November
2008. 

A photo accompanying this release is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=5793 

Under this new license agreement Merrion will receive up to US$58 million for
the first product developed under the agreement to reach the market based on
achievement of certain development, regulatory and sales milestones as well as
royalties on sales. Novo Nordisk is responsible and will pay for the
development and commercialisation of the product candidates. Merrion is
responsible for the development and manufacture of the initial clinical
batches, with the work overseen by a joint development committee. Novo Nordisk
and Merrion have collaborated since 2007 to test the utility of Merrion's
GIPET(r) technology in preclinical models. 

The agreement also provides Novo Nordisk with the ability to develop additional
oral formulations of Novo Nordisk GLP-1 receptor agonist compounds using
Merrion's proprietary absorption enhancing GIPET(r) technology. Merrion will be
due additional milestone payments for any additional products developed under
the agreement. 

Novo Nordisk is subscribing for 300,000 new ordinary shares in Merrion
Pharmaceuticals at a price of 3 euros per share. An application for admission
to trading of these shares has been made to the Irish Stock Exchange and is
expected to take place on 20 January 2009. 

"This second partnership with Novo Nordisk builds on the first oral insulin
analogue agreement signed in November 2008," said John Lynch, Chief Executive
Officer of Merrion. "We believe that this development further demonstrates the
potential for long term partnership between our two companies and also enhances
our capacity to develop our other products and technologies." 

"We are happy to have signed this partnership agreement with Merrion, to use
the GIPET(r) technology in developing potential oral formulations of Novo
Nordisk's proprietary GLP-1 receptor agonists. This partnership is another step
in Novo Nordisk's research efforts in developing new treatments for people with
diabetes," said Peter Kurtzhals, Senior Vice President, Novo Nordisk's Diabetes
Research Unit. 

NOTE TO EDITORS 

In November 2008, Merrion announced a separate Development and License
Agreement with Novo Nordisk to develop and commercialise oral formulations of
Novo Nordisk's proprietary Insulin analogues, using Merrion's proprietary
GIPET(r) technology. Under this (Nov 08) agreement Merrion will receive up to
US$58 million milestones for the first product developed under the agreement to
reach the market based on achievement of certain development, regulatory and
sales milestones as well as development fees and royalties on sales. 

About Merrion: 

Merrion Pharmaceuticals (www.merrionpharma.com) is a publicly listed specialty
pharmaceutical company engaged in the development of oral forms
(tablets/capsules) of drugs that have poor absorption and are generally given
by injection. Merrion was established in 2004 to commercialise various
technologies acquired from Elan Corporation, plc. Merrion's patented drug
delivery technologies increase bioavailability, by improving absorption in the
gastrointestinal tract, of drugs that are otherwise poorly absorbed. This can
provide substantial benefit in patient convenience and safety, and might also
provide enhanced drug efficacy. Merrion utilises its technology to develop new
oral drugs in two ways; it develops its own proprietary drugs using GIPET(r)
and partners with other pharmaceutical companies in developing oral GIPET(r)
formulations of their products. 

Merrion currently has four internal product development programs based on its
GIPET(r) technology. 

 -- Orazol (MER 101) is an oral bisphosphonate for oncology
    indications currently in Phase II development. This product aims
    to allow cancer patients with bone metastases take a weekly tablet
    to get the gold standard treatment in this area, rather than an IV
    infusion.
 -- Almerol (MER 103) which is also an oral bisphosphonate, for the
    treatment of osteoporosis, has completed Phase II clinical trials.
    Based on the market leading drug, this programme aims to provide
    similar absorption in just 8% of the current dose, with a
    simplified dosing regimen and an improved side effect profile.
 -- Acyline (MER 104) is a second oral oncology product for the
    treatment of prostate cancer, which is in Phase I clinical
    testing. This programme aims to be the first oral product in the
    area of GnRH analogues. Products in this class also have several
    other male/female health indications.
 -- MER 102 an oral anticoagulant is in preclinical testing. This
    programme aims to be the first oral product in LMWH class of
    drugs, and to offer patients the alternative to daily injections.

Merrion has agreements with several pharmaceutical companies. 

Merrion has operations in Dublin, Ireland and Wilmington, NC, USA. 

About Novo Nordisk 

Novo Nordisk (www.novonordisk.com) is a healthcare company and a world leader
in diabetes care. In addition, Novo Nordisk has a leading position within areas
such as haemostasis management, growth hormone therapy and hormone replacement
therapy. Novo Nordisk manufactures and markets pharmaceutical products and
services that make a significant difference to patients, the medical profession
and society. With headquarters in Denmark, Novo Nordisk employs approximately
26,550 employees in 80 countries, and markets its products in 179 countries.
Novo Nordisk's B shares are listed on the stock exchanges in Copenhagen and
London. Its ADRs are listed on the New York Stock Exchange under the symbol
'NVO'. For more information, visit novonordisk.com. 

The photo is also available at Newscom, www.newscom.com, and via AP
PhotoExpress. 

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