Elan Completes Its Avinza License Restructuring With Payment to Elan of $100 Million in Cash
DUBLIN, Ireland, Dec 9, 2002 (BUSINESS WIRE) -- Elan Corporation, plc (NYSE:
ELN) ("Elan") today announced that the amendment to the terms of its
development, license and supply agreement with Ligand Pharmaceuticals, Inc.
("Ligand") regarding Avinza(TM) (morphine sulfate extended-release) capsules,
previously announced on November 12, 2002, has become effective.
As per the terms of the amended agreement, Ligand has made a cash payment of
$100 million to Elan.
The proceeds from the amended agreement will form part of Elan's targeted
proceeds as outlined in its recovery plan. Elan's cash position will in future
periods be dependent on a number of factors, including its asset divestiture
program, its balance sheet restructuring, its debt service requirements and its
future operating cash flow. In addition to the actions and objectives previously
outlined with respect to Elan's recovery plan, Elan may in the future seek to
raise additional capital, restructure or refinance its outstanding indebtedness,
repurchase its equity securities or its outstanding debt, including its Liquid
Yield Option Notes, in the open market or pursuant to privately negotiated
transactions, or take a combination of such steps or other steps to increase or
manage its liquidity and capital resources. Any such refinancings or repurchases
may be material.
Elan is focused on the discovery, development, manufacturing, selling and
marketing of novel therapeutic products in neurology, pain management and
autoimmune diseases. Elan shares trade on the New York, London and Dublin Stock
Exchanges. |
