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ELAN AND NEW RESEARCH CORPORATION FILES UNIT OFFERING

 ATHLONE, Ireland, June 3 /PRNewswire/ -- Elan Corporation, plc. (AMEX: ELN) today announcedt?hat Elan and Advanced Therapeutic Systems Ltd., a newly formed corporation have filed a registration statement with the Securities and Exchange Commission relating to a public offering units through a rights offering to Elan shareholders. Each unit will consist of one share of common stock of Advanced Therapeutic Systems and one five year warrant to acquire an Elan American Depositary Share. The offering will consist of approximately 3.9 million units, with Advanced Therapeutic Systems receiving all of the net proceeds from the issuance thereof. Upon consummation of the unit offering, Elan will contribute $25,000,000 to Advanced Therapeutic Systems.
 Under the terms of the proposed rights offering, holders of Elan American Depositary Shares and Elan Ordinary Shares not represented by American Depositary Shares would receive one right for each Elan American Depositary Share and Elan Ordinary Share owned as of the record date for distribution of the rights. Eight rights will be required to subscribe for one unit and the subscription price is expected to be $20 per unit. A holder of rights is also entitled to subscribe for any additional units which may be available as a result of rights expiring without exercise, subject to a maximum aggregate amount of additional units of three times the number of units which such holder would be entitled to acquire.
 It is expected that the rights will expire four weeks after the issuance thereof and that the rights will be traded on the American Stock Exchange during this four week period. It is expected that the units will be listed on the American Stock Exchange upon closing the offering. The Advanced Therapeutic System common shares and the Elan warrants comprising the units will trade as units for a two year period after closing. Following such two year period the Advanced Therapeutic Systems common shares and the Elan warrants will trade separately and upon such separation the warrants will become exercisable.
 The unit offering will be withdrawn by Elan and Advanced Therapeutic Systems if the aggregate gross proceeds of subscribed units are less than $45 million. If the rights offering is withdrawn, all subscription payments will be refunded with interest.
 Advanced Therapeutic Systems has been formed to develop certain products based upon drug delivery systems incorporating Elan's proprietary BEODAS (Biodegradable Enhanced Oral Drug Administration System), MIDAS (Microparticle Injectable Drug Administration System) and ETDAS (Electro Transport Drug Administration System) technologies, and to commercialize products based on these technologies. Advanced Therapeutic Systems will use the net proceeds of the offering and the $25,000,000 contribution from Elan to make payments to Elan under a research and development agreement.
 Elan and Advanced Therapeutic Systems will each have certain licensing rights with respect to the products being developed. Elan will have the option to acquire all of the common stock of Advanced Therapeutic Systems during a specified time period in the future.
 A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time that the registration statement becomes effective. This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
 -0- 6/3/93
 /CONTACT: Donald E. Panoz, chairman and CEO, 011-353-902-94666, or Brian Crotty, vice president - communications, 800-252-3526, both of Elan/
 (ELN)


CO: Elan Corporation; Advanced Therapeutic Systems Ltd. ST: IN: MTC SU: OFR

SM-PS -- NY005 -- 4747 06/03/93 08:02 EDT
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Publication:PR Newswire
Date:Jun 3, 1993
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