NovaBay Signs Distribution Agreement With the Biopharm Group

By December 8, 2014

NovaBay® Pharmaceuticals, Inc. (NYSE MKT: NBY), a biopharmaceutical company focusing on the development and commercialization of its non-antibiotic anti-infective products, today announced that it has signed an exclusive distribution agreement for NovaBay’s NeutroPhase® Skin and Wound Cleanser with the Biopharm Group, a leading pharmaceutical company in the Middle East, headquartered in Cairo, Egypt.


Under the terms of the agreement, Biopharm will market NeutroPhase in Egypt, Saudi Arabia, Algeria, Sudan and Libya.

Saudi Arabia, in particular, is a large potential market for NeutroPhase. The nation’s per capita income is $51,800—more than $8500 higher than Canada’s—and its rates of chronic diseases like diabetes are rising. The increase in chronic diseases, in turn, means a higher rate of medical problems like diabetic ulcers, for which NeutroPhase is an FDA-cleared adjunct treatment. In fact, researchers report that the number of lower limb amputations due to unhealed diabetic ulcers in Saudi Arabia is climbing rapidly. More effective treatments for those wounds could save those limbs—while also lowering overall medical costs.

NeutroPhase can make a major difference to patients in countries like Saudi Arabia,” said Dr. Ron Najafi, Chairman and CEO of NovaBay. “With the help of Biopharm’s experienced team, we will be able to reach those patients and their doctors. The agreement reflects our overall strategy of making our products available to patients around the globe, following on similar agreements that make NeutroPhase available in the US and international markets in China, South Korea, and Southeast Asia.”

“We are pleased to partner with NovaBay because we believe that NeutroPhase can enhance management of chronic wounds, especially diabetic foot ulcers, prevalent in Saudi Arabia and the rest of the Middle East North Africa region,” added Dr. Osama Kandil, Chairman and CEO of Biopharm.

NovaBay’s FDA-cleared NeutroPhase has shown success in the management of chronic wounds, such as diabetic ulcers. As cited in a paper published in the peer-reviewed International Journal of Burns and Trauma, “Patients showed a profound improvement after treatment with NeutroPhase, both with and without NPWT (negative pressure wound therapy). NeutroPhase was shown to be non-toxic to living tissues.”

NeutroPhase is the only skin and wound care product to contain Neutrox™, NovaBay’s patented and proprietary pure hypochlorous acid (HOCl). Laboratory tests show that Neutrox, which is chemically identical to a naturally occurring substance released by white blood cells to fight microbial invaders, has potent antimicrobial activity, yet is non-toxic to normal healthy cells. Laboratory tests also demonstrate that Neutrox neutralizes bacterial toxins, and has been cleared by the Food & Drug Administration to clean skin and wounds as well as for the management of pressure, diabetic and venous stasis ulcers that can seriously affect a patient’s morbidity and mortality.

NeutroPhase has also been used successfully as part of a new treatment regimen to save the lives and limbs of victims of life-threatening flesh-eating disease, as Dr. John Crew, director of the Advanced Wound Care Center at Seton Medical Center in Daly City, Calif., and NovaBay researchers reported in the journal WOUNDS.

About NovaBay Pharmaceuticals, Inc.: Going Beyond Antibiotics®
NovaBay Pharmaceuticals is a biopharmaceutical company focusing on the development and commercialization of its non-antibiotic anti-infective products to address the unmet therapeutic needs of the global, topical anti-infective market with its two distinct product categories: Aganocide® compounds, led by auriclosene, and its FDA cleared Neutrox™ Family of Products: NeutroPhase® for wound care, Advanced i-Lid™ Cleanser for the eye care market, and CelleRx™ for the dermatology market.

About Biopharm:
Biopharm Group, headquartered in Cairo, Egypt, constitutes two separate but complementing companies. The dedicated research of an international team of scientists which started in 1986 led to the discovery and development of innovative clinically-proven natural products from plants. This paved the way for the establishment of Biopharm for Scientific Research and Pharmaceutical Manufacturing, established in 1995 to develop, manufacture, and market pharmaceutical, nutraceuticals, and cosmetic products, and Biopharm R&D Corp. Ltd, established in 1997 to conduct research, engage in partnerships, and market commercially viable products worldwide.

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Forward-looking Statements.
This release contains forward-looking statements, which are based upon management’s current expectations, assumptions, estimates, projections and beliefs. These statements include, but are not limited to, statements regarding our newly formed distributor relationships, regulatory approvals for our products in the Middle East region, the anticipated market acceptance of our products in the Middle East region, and the company’s expected future financial results as a result of sales in the Middle East region. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or achievements to be materially different and adverse from those expressed in or implied by the forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, risks and uncertainties relating to difficulties or delays in product development, clinical trials, regulatory approval, production and marketing of the company’s products, unexpected adverse side effects or inadequate therapeutic efficacy of the product candidates, the uncertainty of patent protection for the company’s intellectual property or trade secrets, the company’s ability to obtain additional financing as necessary and unanticipated research and development and other costs. Other risks relating to the company and its products, including risks that could cause results to differ materially from those projected in the forward-looking statements in this press release, are detailed in NovaBay’s latest Form 10-K and Form 10-Q filings with the Securities and Exchange Commission, especially under the heading “Risk Factors.” The forward-looking statements in this release speak only as of this date, and NovaBay disclaims any intent or obligation to revise or update publicly any forward-looking statement except as required by law.


For NovaBay NeutroPhase purchasing information in the United States:
Toll-Free: 1-888-980-9702
Contact a NeutroPhase Distributor

NovaBay is seeking distributors outside of the United States:
Contact Mr. Roy Wu


For investor information, please contact:
Thomas J. Paulson
Chief Financial Officer
Contact T. Paulson