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MEDIMMUNE TO ACQUIRE MELVILLE BIOLOGICS FROM THE NEW YORK BLOOD CENTER FOR $40 MILLION

 GAITHERSBURG, Md., Sept. 14 /PRNewswire/ -- MedImmune, Inc. (NASDAQ-NMS: MEDI) today signed a letter of intent to acquire Melville Biologics, a leading developer, manufacturer and distributor of blood derivative products, for $40 million in newly issued shares of MedImmune common stock. Melville Biologics is a division of the New York Blood Center. The acquisition will provide MedImmune with several new, near term product opportunities, additional manufacturing capacity for Respivir(TM) and a long-term research alliance with the New York Blood Center and its Lindsley F. Kimball Research Institute. The letter of intent has been approved by the board of MedImmune and a special committee of trustees of the New York Blood Center, and is subject to negotiation and execution of definitive agreements.
 "This acquisition is an excellent opportunity for MedImmune. It provides us with major new product opportunities and, through an alliance with the New York Blood Center, access to one of the leading blood products and infectious disease research groups," commented Wayne T. Hockmeyer, Ph.D., chairman and chief executive officer. "In addition, Melville will provide MedImmune with additional production capacity for Respivir and CytoGam(R) and should help us reduce production costs for those products over time."
 Respivir is a polyclonal antibody product currently under review for marketing approval by the United States Food and Drug Administration (FDA) for the prevention of respiratory syncytial virus (RSV) infection in certain high risk infants. RSV is the leading cause of pneumonia and bronchiolitis in infants. CytoGam is a polyclonal antibody product used to prevent cytomegalovirus (CMV) disease in kidney transplant patients.
 Melville Biologics, based in Melville, Long Island, is responsible for the manufacturing and commercialization of all blood derivative products and related technologies developed by the New York Blood Center. In its 80,000-square-foot plant, Melville manufactures finished blood derivatives, including albumin and Factor VIII (MelATE/TM/), and intermediates used in the production of immune globulins, such as CytoGam and Respivir. MedImmune currently has an agreement with Melville for the production of Respivir and, if Respivir is approved for marketing by the FDA, expects to produce a majority of MedImmune's worldwide supply at this facility by 1996. In addition to its current products, Melville filed a Product License Application (PLA) with the FDA in February 1993 for MelPLAS(TM), a virus-inactivated plasma for transfusion product, and expects to file a PLA for MelGAM(TM), a virus- inactivated, liquid intravenous immune globulin, later this year. A number of new products are also in preclinical development, including a fibrin glue preparation for surgical and wound healing applications.
 "The Melville acquisition fits MedImmune's business strategy by significantly expanding our near term product revenue base and enhancing our longer term research and development pipeline," added, Dr. Hockmeyer. "The Melville products also all fit within the sales and marketing franchise we are building. Following the acquisition, MedImmune expects to have seven products on the market or at PLA stage including: Respivir, CytoGam, Zosyn(TM), MelPLAS, MelGAM, albumin and MelATE."
 Pursuant to the letter of intent, MedImmune would acquire the assets of the Melville Biologics division of the New York Blood Center for $40 million of newly issued shares of MedImmune common stock. In addition, MedImmune would agree to reimburse the Blood Center up to $4 million in cash for certain investments in the division prior to the acquisition. MedImmune would also pay to the New York Blood Center a $1 million contingent milestone payment and royalties on sales of certain products employing technology licensed from the Blood Center. In addition to receiving the assets of the Melville division, MedImmune would receive a ten-year right of first offer to license and develop any technology coming out of the New York Blood Center's research programs. The transaction will be accounted for as a purchase and is expected to be completed by year end.
 "The New York Blood Center is very pleased with the acquisition of Melville Biologics by MedImmune. There are major synergies between these two businesses which make this acquisition very logical for both organizations. We believe that MedImmune has the capability to maximize the value of the new products we have developed not only for the Blood Center and MedImmune, but most importantly for the patients who need those products. The acquisition will also permit the Blood Center to further focus its efforts and future investment on serving the community," said John W. Adamson, M.D., president and chief executive officer of the New York Blood Center. "We look forward to a long and rewarding relationship with MedImmune."
 The New York Blood Center is a not-for-profit corporation, which is the largest independent blood collection organization in the United States. The Blood Center provides blood and blood products for the 18 million people in the New York/New Jersey metropolitan area. The Blood Center's Lindsley F. Kimball Research Institute is staffed by 130 scientists, physicians and support staff working in diverse blood- related disciplines. The institute's scientific work has made significant contributions toward understanding and combating a wide range of diseases -- such as AIDS, leukemia, malaria and hepatitis -- and investigating the links between blood groups and such medical disorders as cardiovascular disease and muscular dystrophy. The institute has also developed a virus inactivation technology used in the products being developed by Melville Biologics and has played a leadership role in the development of new tests for blood screening and typing that have significantly increased the safety of blood and blood derived products. The Blood Center's headquarters are located in New York City.
 MedImmune, Inc. was formed in 1988 to develop, manufacture and market therapeutics and vaccines for the treatment and prevention of certain infectious diseases and cancers. MedImmune's corporate headquarters are in Gaithersburg.
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 /CONTACT: David M. Mott, vice president - business development and planning of MedImmune, 301-417-0770; or Anthony J. Russo, Ph.D., or Rhonda Chiger of Noonan/Russo Communications, 212-696-4455/
 (MEDI)


CO: MedImmune, Inc.; New York Blood Center ST: Maryland, New York IN: MTC SU: TMN

SH-PS -- NY031 -- 1742 09/14/93 11:51 EDT
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Date:Sep 14, 1993
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