May 7, 2003--IMPAX Laboratories, Inc. (Nasdaq: IPXL) today announced that it has
entered into a definitive agreement to sell 4,394,081 shares of common stock and
warrants to purchase 878,815 shares of common stock in a private placement under
the Securities Act to a select group of institutional investors for a total purchase
price of approximately $24.0 million. The warrants are exercisable for a period
of five years at an exercise price of $7.421 per share. The placement is expected
to be completed later today. In addition, the investors have the right to purchase
up to an additional 183,000 shares of common stock prior to May 16, 2003 for approximately
$1.0 million. The Company intends to use the net proceeds from the private placement
for working capital and general corporate purposes.
This press release does not constitute an offer to sell or the solicitation
of an offer to buy any security. The common stock and warrants have not been
registered under the Securities Act of 1933 or applicable state securities laws
and may not be offered or sold in the United States absent registration or an
applicable exemption from registration requirements.
IMPAX Laboratories, Inc. is a technology-based specialty pharmaceutical company
applying its formulation expertise and drug delivery technology to the development
of controlled-release and specialty generics, in addition to the development
of branded products. IMPAX markets its generic products through its Global Pharmaceuticals
division and intends to market its branded products through the IMPAX Pharmaceuticals
division. Additionally, where strategically appropriate, IMPAX has developed
marketing partnerships to fully leverage its technology platform. IMPAX Laboratories
is headquartered in Hayward, California, and has a full range of capabilities
in its Hayward and Philadelphia facilities. For more information, please visit
the Company's Web site at: www.impaxlabs.com.