Icagen: Pfizer Investment Brings Co. Cash Position To $50M >ICGN; Icagen Announces Closing of Investment by Pfizer

Feb.18, 2008 in Market Outlook

Icagen Announces Closing of Investment by Pfizer

RESEARCH TRIANGLE PARK, N.C., Feb 14, 2008 (PrimeNewswire via COMTEX) — Icagen,
Inc. (ICGN) today announced the completion on February 13, 2008 of a previously
announced sale of 5,847,953 shares of common stock to Pfizer Inc at a price of
$1.71 per share, which was the closing bid price of the common stock as reported
on the Nasdaq Global Market as of 4:00 p.m. Eastern Time on the business day
preceding the date of Icagen’s put exercise pursuant to the Purchase Agreement
dated August 13, 2007, resulting in gross proceeds to Icagen of approximately
$10.0 million. The purchase agreement was completed in conjunction with the
formation of a worldwide collaboration and licensing agreement with Pfizer for
the discovery, development and commercialization of compounds which modulate
three specific sodium ion channels as new potential treatments for pain and
related disorders and that was initiated on August 13, 2007. Icagen intends to
use the net proceeds from this private placement to fund its research and
development programs and otherwise for general corporate purposes.

Jeff Southerton, Ph.D., Executive Director, Worldwide Business Development,
Pfizer, noted “Icagen is a fully integrated ion channel discovery company with
skills that complement Pfizer’s sodium channel program. Our collaboration and
investment in Icagen highlights our goal to generate safe and efficacious sodium
channel modulators to treat the needs of patients with pain and related
conditions.”

P. Kay Wagoner, Ph.D., President and CEO of Icagen stated, “The collaboration
between Icagen and Pfizer announced in August of 2007 is proceeding extremely
well. Pfizer is an outstanding partner, and we view its investment in Icagen as a
further validation of Icagen’s strength in the discovery and development of small
molecules that modulate ion channel targets for the treatment of a variety of
disorders such as pain. We are also pleased to announce the closing of this
second investment by Pfizer, which brings our current cash position to
approximately $50 million. Given our anticipated burn rate, we believe that the
Company has sufficient cash and cash equivalents to drive the continued
advancement of our two clinical programs and portfolio of research programs.”

About Icagen

Icagen, Inc. is a biopharmaceutical company based in Research Triangle Park,
North Carolina, focused on the discovery, development and commercialization of
novel orally-administered small molecule drugs that modulate ion channel targets.
Utilizing its proprietary know-how and integrated scientific and drug development
capabilities, Icagen has identified multiple drug candidates that modulate ion
channels. The Company is conducting research and development activities, in some
cases in collaboration with leading pharmaceutical companies, in a number of
disease areas, including epilepsy, pain and inflammation. The Company has
clinical stage programs in epilepsy and asthma.

Forward-Looking Statements

This press release contains forward-looking statements that involve a number of
risks and uncertainties. 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, the words “believes,” “anticipates,”
“plans,” “expects,” “intends,” and similar expressions are intended to identify
forward-looking statements. Important factors that could cause actual results to
differ materially from the expectations described in these forward-looking
statements are set forth under the caption “Risk Factors” in the Company’s most
recent Quarterly Report on Form 10-Q, filed with the SEC on November 5, 2007.
These risk factors include risks as to the Company’s history of net losses and
how long the Company will be able to operate on its existing capital resources;
the Company’s ability to raise additional funding; the Company’s ability to
maintain compliance with NASDAQ’s continued listing requirements; whether the
Company’s products will advance in the clinical trials process; the timing of
such clinical trials; whether the results obtained in preliminary studies will be
indicative of results obtained in clinical trials; whether the clinical trial
results will warrant continued product development; whether and when, if at all,
the Company’s products, including senicapoc, will receive approval from the U.S.
Food and Drug Administration or equivalent regulatory agencies, and for which
indications, and if such products receive approval, whether they will be
successfully marketed; and the Company’s dependence on third parties, including
manufacturers, suppliers and collaborators. We disclaim any intention or
obligation to update any forward-looking statements as a result of developments
occurring after the date of this press release.

This news release was distributed by PrimeNewswire, http://www.primenewswire.com

SOURCE: Icagen, Inc.
Icagen, Inc.
Richard D. Katz, M.D., SVP, Finance and Corporate Development;
Chief Financial Officer
(919) 941-5206
rkatz@icagen.com

Lazar Partners, Ltd.
Gregory Gin
(212) 867-1762
ggin@lazarpartners.com

Icagen: Pfizer Investment Brings Co. Cash Position To $50M >ICGN

Last Update: 2/14/2008 4:32:55 PM

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