Akorn, Inc. Signs a Definitive Exclusive Development and Supply Agreement with Sofgen to Develop and Commercialize an ANDA Drug Product.

BUFFALO GROVE, Ill. -- Akorn, Inc. (AMEX:AKN) today announced that it has signed a definitive exclusive development and supply agreement to develop and commercialize an ANDA drug product. Sofgen Pharmaceuticals is a privately held pharmaceutical company located in Sunrise, Florida.

Sofgen is responsible for the formulation and development of the drug, the manufacture of clinical product batches, and the documentation necessary to support the Chemistry, Manufacturing and Control (CMC) section of an ANDA to be filed by Akorn. Upon regulatory approval Sofgen will supply finished dosage form product to Akorn. Akorn will fund and is responsible for the pivotal bio study, filing the ANDA and upon regulatory approval, the marketing, distribution and sales of the drug. Akorn will own the ANDA and has exclusive marketing rights in the United States and Canada.

The drug is indicated for the treatment of nausea and vomiting associated with cancer chemotherapy. The drug is also indicated for anorexia in patients associated with weight loss related to AIDS. The current market size of the drug is approximately $125 million. Akorn is forecasting product launch of the drug to occur in 2008.

Arthur S. Przybyl, Akorn's President and Chief Executive Officer stated, "This agreement highlights several Akorn strategies. The drug is a specialty type niche pharmaceutical, with no current generic competitors and compliments our strategies in AIDS and cancer drug products. Drug products for these markets are being developed internally and externally through our business partners, Fidia, Natco and Serum. We are excited to join forces with Sofgen Pharmaceuticals."

Ruben Minski, Sofgen's President and Chief Executive Officer stated, "Our Company is infused with a strong belief in the growing need for precisely the sort of generic drugs and advance delivery technologies like the one we are partnering with Akorn. The trends are clearly in our favor, with our development and manufacturing capabilities and Akorn marketing expertise, we are heading for success."

About Akorn, Inc.

Akorn, Inc. manufactures and markets sterile specialty pharmaceuticals. Akorn has manufacturing facilities located in Decatur, Illinois and Somerset, New Jersey and markets and distributes an extensive line of hospital and ophthalmic pharmaceuticals. Additional information is available at the Company's website at www.akorn.com.

About Sofgen Pharmaceuticals

Sofgen is part of an Industrial Conglomerate with strong emphasis in the Healthcare and related businesses, including soft gelatin manufacturing facilities in South America and a Pharmaceutical Division with a distribution network that reaches 27 different countries around the globe.

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