MusclePharm Completes Acquisition of Substantially All Assets of BioZone Pharmaceuticals
January 06 2014 - 8:30AM
Marketwired
MusclePharm Completes Acquisition of Substantially All Assets of
BioZone Pharmaceuticals
Transaction Enhances MusclePharm's R&D, Manufacturing
Capabilities
DENVER, CO--(Marketwired - Jan 6, 2014) - MusclePharm
Corporation (OTCQB: MSLP), a leading international, award-winning
sports nutrition company, today announced that it has completed the
acquisition of essentially all assets of BioZone Pharmaceuticals,
Inc. (OTCBB: BZNE) and its subsidiaries, for 1.2 million shares of
MusclePharm stock.
Under the terms of the agreement, MusclePharm, through a newly
formed Nevada subsidiary, BioZone Laboratories Inc., has
acquired BioZone's manufacturing facility in Richmond,
California; all assets associated with BioZone's QuSomes®,
HyperSorb™ and EquaSome™ technologies; BioZone's Baker-Cummins line
of products; and, the name "BioZone".
"We believe that BioZone is a complementary fit for MusclePharm,
providing substantial opportunities to further enhance our science
and quality control systems, as well as advance our innovation
capabilities, which will add sophistication to the sports nutrition
market," said Brad Pyatt, chief executive officer of MusclePharm.
"We also believe that it gives us a long-term roadmap to eventually
take control of our manufacturing and allow MusclePharm to be a
fully-integrated company."
BioZone's patented QuSomes® technology enhances the absorption
of topical and other drugs. MusclePharm is evaluating the QuSomes®
technology to determine if the combination of QuSomes® and
nutritional supplements could enhance the absorption and
speed-of-delivery in several MusclePharm products.
MusclePharm's management believes that the acquisition will
provide MusclePharm with the following additional benefits:
- An opportunity to bring science, innovation
and sophistication to the sports nutrition market;
- The ability to realize meaningful cost savings by
utilizing the existing BioZone facilities in Northern California
to establish a new West Coast distribution center for
MusclePharm products;
- An opportunity to realize substantial cost savings by
internalizing and consolidating MusclePharm's product
quality control programs, which are currently being
outsourced; and
- Over time, the ability to internalize various
manufacturing components of MusclePharm products.
Separately, more than a majority of the shareholders of BioZone
approved the transaction. Valuation Research Corporation ("VRC")
provided the fairness opinion in connection with the transaction to
MusclePharm's Strategic Committee comprised of the independent
members of its board of directors.
About MusclePharm Corporation
MusclePharm® is a leading international, award-winning sports
nutrition company offering vitamins and nutritional supplements
which are available in more than 110 countries and available in
35,000+ retail outlets, including Costco, Dick's Sporting Goods, 24
Hour Fitness, Bally's, GNC, Vitamin Shoppe and Vitamin World. The
company's brands are MusclePharm®, Arnold Schwarzenegger™ Series,
and FitMiss™. The comprehensive lines of clinically-proven, safe
and effective nutritional supplements are developed through a
six-stage research process that utilizes the expertise of leading
nutritional scientists, doctors and universities. For more
information, visit www.musclepharmcorp.com. Follow the company at
http://www.facebook.com/MusclePharm and
www.Twitter.com/MusclePharm.
FORWARD-LOOKING STATEMENTS
This release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities and Exchange Act of 1934, as
amended. Statements that are not a description of historical facts
constitute forward-looking statements and may often, but not
always, be identified by the use of such words as "expects",
"anticipates", "intends", "estimates", "plans", "potential",
"possible", "probable", "believes", "seeks", "may", "will",
"should", "could" or the negative of such terms or other similar
expressions. Actual results may differ materially from those set
forth in this release due to the risks and uncertainties inherent
in the Company's business. More detailed information about the
Company and the risk factors that may affect the realization of
forward-looking statements is set forth in the Company's Annual
Report on Form 10-K for the fiscal year ended December 31, 2012,
the Company's Quarter Reports on Form 10-Q and other filings
submitted by the Company to the SEC, copies of which may be
obtained from the SEC's website at www.sec.gov. Readers are
cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date hereof. All
forward-looking statements are qualified in their entirety by this
cautionary statement and the Company undertakes no obligation to
revise or update this release to reflect events or circumstances
after the date hereof.
For more information, contact: Matt Sheldon/Evan Pondel
PondelWilkinson Inc. (310) 279-5980 Email Contact
Muscle Pharm (CE) (USOTC:MSLP)
Historical Stock Chart
From Mar 2024 to Apr 2024
Muscle Pharm (CE) (USOTC:MSLP)
Historical Stock Chart
From Apr 2023 to Apr 2024