BUENA, NJ August 22, 2007 - IGI, INC. (AMEX: IG) today announced that it has signed a Marketing, Product Development, Manufacturing and Supply Agreement with Pharmachem Laboratories, Inc. Pharmachem is a major manufacturer and supplier of value added cosmetic and nutritional ingredients to the Cosmetic and Food industry and owns 1.5 million shares of IGI’s common stock.
Under this agreement, IGI will develop Novasome® encapsulated ingredients and finished products for Pharmachem. IGI will manufacture and supply these products to Pharmachem in bulk or finished unit form for exclusive sales to their customers. Pharmachem will guarantee minimum R&D and manufacturing revenues to IGI for such services and market exclusivity.
IGI expects to manufacture and supply the first bulk ingredient commercial product to Pharmachem before the end of this fiscal quarter.
"Pharmachem has a strong presence in this market, with a dedicated, large sales force. This relationship provides Pharmachem an opportunity to differentiate their products in the market and increase their share of ingredients sales. It also provides IGI with promising sales, an additional outlet to expose its technology and a new platform for the growth of its business", stated Rajiv Mathur, President and CEO of IGI, Inc.
This report contains forward-looking statements relating to IGI's hopes and expectations for the future. For this purpose, any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as "will," "possible," "one time," "provides an opportunity," "continue" and similar expressions are intended to identify forward-looking statements. Such statements involve a number of risks and uncertainties and actual future events and results could differ materially from those indicated by such forward-looking statements due to general economic conditions, and the risk factors detailed in IGI's periodic reports and registration statements filed with the Securities and Exchange Commission.
Contact:
Rajiv Mathur President & Chief Executive Officer IGI, Inc. 856-697-1441 ext. 211 www.askigi.com