Press Release

Oceana Therapeutics Completes Transaction for Rights to Deflux and Solesta; Company Achieves Key Growth Milestone Despite Challenging Economic Environment

Edison, N.J., June 4, 2009 – Oceana Therapeutics – an acute-care specialty medical device and pharmaceutical company dedicated to setting new standards of therapeutic excellence for achieving optimal outcomes – today said it closed on the previously announced agreement with Q-Med AB for worldwide rights to Deflux® and Solesta™. As part of the transaction Oceana Therapeutics is acquiring Q-Med Scandinavia, Inc., which accounts for the majority of the business for Deflux and Solesta, as well as the exclusive rights to market, sell and distribute other potential products intended for the management of urological and gastroenterological conditions.

Deflux, with 2008 sales approximating $30 million, is approved in the U.S. and Europe for the treatment of vesicoureteral reflux (VUR) – a malformation of the ureteral valve mechanism prevalent in some children. The product is also used for other indications outside of the U.S. Solesta, an injectable treatment for fecal incontinence, is approved in Europe and Canada, and is presently undergoing a controlled clinical study in support of a premarket approval application submitted to the U.S. Food and Drug Administration.

Securing the funding and completing a transaction of this size in this economic environment speaks to the capabilities of the Oceana management team, as well as the performance and expectation of these products. "The completion of this transaction represents a significant milestone in our strategy for long-term growth," said John T. Spitznagel, Chairman and CEO of Oceana Therapeutics. "It forms the basis for our aggressive business plans to identify, acquire, and commercialize specialty medical devices and pharmaceuticals as well as late-stage development products that offer medical professionals value added options for optimizing patient care outcomes."

Upon closing the transaction, Q-Med Scandinavia’s well trained sales force became Oceana employees. "Oceana is well positioned to expand on these sales capabilities,” noted Spitznagel. “Given the strengths of our management team and our financial health, we intend to expeditiously establish the commercial, medical, and customer support functions necessary to build product awareness in the marketplace and maximize growth potential."

David S. Tierney, MD, Oceana’s President and COO, added, "With today’s announcement, Oceana now stands on the threshold of an exciting phase in its growth cycle, and we have a management team in place with proven abilities to execute our business model."

Collectively, the Oceana management team has been involved in the sales, marketing and development of several specialty pharmaceutical and medical device brands. In the past decade, the Oceana management team has successfully built value in other specialty companies which have since been purchased, including: Roberts Pharmaceuticals, which was merged with Shire plc (NASDAQ: SHPGY); ESP Pharma, acquired by PDL BioPharma (NASDAQ: PDLI); Esprit Pharma, merged into Allergan (NYSE: AGN), and Valera Pharmaceuticals, now part of Endo Pharmaceuticals (NASDAQ: ENDP).

About Oceana
Oceana Therapeutics is a recently established healthcare company. The Company is committed to delivering optimal outcomes by focusing on identifying, acquiring and maximizing the potential of approved and late-stage development specialty therapeutics, redefining the way illnesses are treated. Oceana’s goal is to enable physicians to prescribe drugs and utilize devices that are tailored for the patient’s disease – offering Optimal Outcomes – whether by decreasing "pill burden," timing dosage release to optimize efficacy or offering the added economic benefit of limiting or eliminating hospitalization, reducing demand for surgery or emergency care. This approach balances both the patient’s wellness needs and the physician’s goal of providing outstanding patient care while efficiently balancing time and economic management constraints. For additional information about Oceana Therapeutics, visit the Company’s website at www.oceanathera.com

Oceana inquiries should be addressed to:
David Tierney, MD, President and COO
Tel: +1 (732) 318-3800

Contact for Press Only:

PR Inquiries
Oceana Therapeutics, Inc.
(732) 318-3800
pr@oceanathera.com
www.oceanathera.com

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