Progenitor Inc. and Novo Nordisk to collaborate on novel therapeutic growth factors.

COLUMBUS, Ohio--(BUSINESS WIRE)--June 8, 1995--Progenitor Inc., a subsidiary of Interneuron Pharmaceuticals Inc. (NASDAQ: IPIC) and ZymoGenetics Inc., a subsidiary of Novo Nordisk A/S (NYSE: NVO), announced today a research, development and commercialization agreement.

Under the agreement, Novo Nordisk will gain access to two proprietary therapeutic growth factor projects that address early development of the hematopoietic (blood-cell formation) system and may be valuable in cancer therapy and as treatments for diseases of the blood and immune systems.

The initial stages of this agreement will include the provision of significant scientific resources by ZymoGenetics Inc., a subsidiary of Novo Nordisk, for the development of these two projects. ZymoGenetics may provide subsequent near-term research support to Progenitor under the collaboration. In later stages, Progenitor could also receive license fees, development milestones and regulatory approval milestones for both products. These payments, contingent upon the achievement of all milestones for both projects, could total approximately $50 million. Progenitor will also receive royalties from commercial sales.

Novo Nordisk has the right to manufacture and market, on an exclusive worldwide basis, products developed from this collaboration. Progenitor will retain its core discovery technologies which gave rise to the product leads and all rights to additional leads already identified which are not subject to the agreement.

"Novo Nordisk has demonstrated considerable scientific capabilities through its previous discovery and development of novel growth factors with exciting therapeutic potential. These strengths, combined with Novo Nordisk's worldwide leadership in development and production of recombinant proteins, establish a strong competitive position for the collaboration in the cytokine market," said Douglass B. Given, M.D., Ph.D., president and chief executive officer of Progenitor. "Our agreement with Novo Nordisk is consistent with our strategy of collaborating selectively with partners for some applications and markets, and developing products internally for others," said Given.

"This agreement represents the second major corporate collaboration for Progenitor this year," said Glenn L. Cooper, M.D., president and chief executive officer of Interneuron and chairman of Progenitor. "As such, it exemplifies one of Interneuron's strategies to negotiate strategic partnerships leading to product commercialization and corporate independence for its subsidiaries."

"We are very enthusiastic about this collaboration and the valuable Progenitor technology. These projects complement our R&D activities focused around thrombopoietin," said Bruce Carter, executive vice president and head of Novo Nordisk Health Care Discovery and Development.

ZymoGenetics, a wholly owned subsidiary of Novo Nordisk A/S, is a pioneer in the research and development of protein-based human therapeutics using recombinant DNA technology. Novo Nordisk A/S is the world's leader in insulin production and diabetes care, and is the world's largest producer of bioindustrial enzymes. Besides its leading presence in diabetes, hormone replacement and growth hormone therapies, Novo Nordisk markets a variety of other pharmaceutical and bioindustrial products. With headquarters in Denmark, Novo Nordisk employs more than 13,200 people in 53 countries and markets its products in 130 countries. Its B shares are listed on the stock exchanges of Copenhagen, London, Basel, Zurich and Geneva. Its ADRs are listed on the New York Stock Exchange under the symbol "NVO."

Progenitor Inc. is a medical biotechnology company developing proprietary gene and cell-based therapies, including novel growth factor products and stem cells, for the treatment of cancers, blood and immune system disorders, and cardiovascular diseases. A majority-owned subsidiary of Interneuron Pharmaceuticals Inc., Progenitor is headquartered in Columbus, Ohio, with additional research facilities in Athens, Ohio.

Interneuron Pharmaceuticals Inc. is engaged in the development and commercialization of innovative pharmaceutical products for neurological and behavioral disorders. Through two other subsidiaries, Intercardia Inc. and Transcell Technologies Inc., Interneuron is developing products and technologies related to cardiovascular disease, carbohydrate synthesis and drug transport.

CONTACT: Progenitor Inc.

Douglass B. Given, President and CEO 

614/488-6688

or

Novo Nordisk A/S

Mark J. Murray, VP, Business Development

206/442-6709

or

Interneuron Pharmaceuticals Inc.

Glenn L. Cooper, President and CEO

William B. Boni, VP, Corp. Communications

617/861-8444