Pernix Closes on Sale of Manufacturing Facility
MORRISTOWN, N.J.--(BUSINESS WIRE)--April 25, 2014 -- Pernix Therapeutics Holdings, Inc. ("Pernix" or the "Company") (NASDAQ MKT: PTX), a specialty pharmaceutical company, today announced that it has closed on the sale of its Houston, TX-based manufacturing operations, Pernix Manufacturing, LLC ("PML") to Woodfield Pharmaceutical LLC ("Woodfield").
As previously announced, Woodfield acquired the entire PML operation and assumed the mortgage associated with the facility. Pernix received approximately $1.2 million in proceeds net of the assumed mortgage and working capital liabilities at closing and expects to realize approximately $5.0 million in annualized cost savings from the divestiture. As part of the agreement, Woodfield will continue to manufacture the existing Pernix products under a long-term supply agreement.
Commenting on the closing, Doug Drysdale, President and CEO of Pernix, said, "The closing on the sale of PML is an important part of our strategy to simplify operations and focus on the sales and marketing of our product portfolio. The operating cost savings from the divestiture are a significant contributor to returning a profit for Pernix in 2014. We look forward to working with Woodfield as a high quality contract manufacturer for Pernix products."
Adam Runsdorf, President of Woodfield Pharmaceutical, LLC, said, "We are pleased to complete the closing of the acquisition of PML and look forward to expanding the current platform of operations to serve existing and future customers with high quality contract manufacturing services."
About Pernix Therapeutics Holdings, Inc.
Pernix Therapeutics is a specialty pharmaceutical company primarily focused on the sales, marketing, manufacturing and development of branded pharmaceutical products. The Company markets a portfolio of branded products, including: CEDAX(R), an antibiotic for middle ear infections and a number of treatments for cough and cold conditions including ZUTRIPRO(R), REZIRA(R) and VITUZ(R). The Company also markets SILENOR, a non-narcotic product for the treatment of insomnia and KHEDEZLA, a treatment for major depressive disorder. The Company promotes its branded products to physicians through its Pernix sales force and markets its generic portfolio through its wholly owned subsidiaries, Cypress Pharmaceuticals and Macoven Pharmaceuticals. The Company's wholly owned subsidiary, Pernix Manufacturing, manufactures and packages products for the pharmaceutical industry in a wide range of dosage forms. Founded in 1996, the Company is now based in Morristown, New Jersey.
Additional information about Pernix is available on the Company's website located at www.pernixtx.com.
CONTACT: Pernix Therapeutics Holdings, Inc.
Doug Drysdale, (800) 793-2145 ext. 7407
President and CEO
SOURCE: Pernix Therapeutics Holdings, Inc.
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