INKP Inkine Pharmaceutical (MM)

InKine Pharmaceutical Company, Inc. (Nasdaq: INKP) and Salix Pharmaceuticals, Ltd. (Nasdaq: SLXP) announced that earlier today the shareholders of both companies approved the merger of the two companies, creating the largest US specialty pharmaceutical company focused exclusively on gastroenterology. Subject to a certificate of merger being filed with the New York Department of State and other standard closing conditions, the merger is expected to become effective later today. Based on Salix's stock price over the 40 trading days ending two days prior to the expected closing date, as a result of the merger, InKine shareholders will receive newly issued shares of Salix common stock for InKine shares owned based on an exchange ratio of 0.1737 of a share of Salix common stock for each share of InKine common stock. Once the merger has closed, InKine will continue as a wholly owned subsidiary of Salix, and InKine's stock will cease trading on the NASDAQ Capital Market as of the close of business of the closing date. About InKine Pharmaceutical InKine Pharmaceutical Company, Inc. is a publicly traded specialty pharmaceutical company focused on developing and commercializing pharmaceutical products for the diagnosis and treatment of gastrointestinal disorders. InKine's development strategy has been to acquire late-stage drug candidates with short time lines to commercialization. InKine's franchise product, Visicol(R) is the only tablet purgative preparation indicated for bowel cleansing prior to colonoscopy. InKine's second product, IB-Stat(R), is an oral hyoscyamine spray for the treatment of a variety of indications. Additionally, InKine is developing INKP-102, an advanced generation purgative, for which we recently submitted a new drug application to FDA for bowel cleansing prior to colonoscopy and developing Visicol(R) for use as a laxative in treating patients with chronic constipation. For further information, please visit InKine on its web site http://www.inkine.com. Please Note: This press release contains forward-looking statements regarding future events, including specifically the anticipated closing later today of the merger of Salix and InKine and the risks associated with the success of the combined company if it does close. These statements are just predictions and are subject to risks and uncertainties that could cause the actual events or results to differ materially. These risks and uncertainties include risks that the merger does not close, including due to a failure of one of the parties to satisfy closing conditions, management of rapid growth, risks of regulatory review and clinical trials, market acceptance of approved products, competition, intellectual property risks, and the need to acquire additional products. The reader is referred to the documents that InKine files from time to time with the Securities and Exchange Commission. Given these risks and uncertainties, any or all of these forward-looking statements may prove to be incorrect. Therefore, you should not rely on any such forward-looking statements. Furthermore, InKine does not intend (and it is not obligated) to update publicly any forward-looking statements. This discussion is permitted by the Private Securities Litigation Reform Act of 1995.