PEG-Intron A - Longer Lasting Interferon

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Wednesday October 9 11:09 AM EDT
Enzon completes know-how transfer to Schering Corporatoin for PEG-INTRON A
PISCATAWAY, N.J.--(BUSINESS WIRE)--October 9, 1996-- Enzon Inc announced today that it has successfully completed the transfer of know-how for the manufacture of PEG-INTRON A to Schering Corporation, a subsidiary of Schering-Plough Corporation, and has received a payment of $1 million.

In 1995, Schering and Enzon amended their existing agreement to include the transfer of Enzon's PEG-INTRON A know-how and worldwide manufacturing rights to Schering for $3 million, of which $2 million was paid last year. At that time, Schering invested $2 million in Enzon's common stock. Enzon retained the option to be Schering's exclusive manufacturer of the product for the U.S. market.

The amended license agreement for PEG-INTRON A provides Schering with exclusive worldwide marketing rights. Schering is responsible for conducting clinical trials and obtaining regulatory approvals. Enzon will receive additional milestone payments of approximately $5.5 million during the development of the product and royalties on any product sales.

PEG-INTRON A is in Phase I clinical trials. PEG-INTRON A is a modified form of INTRON A (interferon alfa-2b), which is designed to have longer-acting properties. INTRON A, a genetically engineered anticancer and antiviral agent developed and marketed worldwide by Schering-Plough, generated sales of $433 million in 1995.

"This payment, along with the Company's already low burn rate, should allow us to complete another quarter without a substantial change in our cash position," stated Peter G. Tombros, Enzon's President and Chief Executive Officer.

Enzon is a biopharmaceutical company developing advanced therapeutics for life-threatening diseases through the application of its proprietary technologies. The Company's research activities are focused primarily in the area of oncology, including the development of a hemoglobin-based oxygen carrier as an enhancement to radiation therapy of solid tumors. Enzon has two FDA approved drugs -- ADAGEN, a treatment for Severe Combined Immunodeficiency Disease and ONCASPAR , for the treatment of acute lymphoblastic leukemia, which is being marketed by Rhone-Poulenc Rorer Pharmaceuticals, Inc. The Company also pursues commercialization of its proprietary technologies through strategic partnering, including arrangements with Rhone-Poulenc Rorer Pharmaceuticals, Inc., Eli Lilly, Bristol-Myers Squibb, Inc., and Baxter Health Care. Enzon is headquartered in Piscataway, NJ.

CONTACT: Kimberly Cooper; Enzon, Inc.; (908) 980-4577; website: http//www.enzon.com


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