CollaGenex Pharmaceuticals, Inc.
Ticker: CGPI 301 South State Street
Exchange: NASDAQ-National Market Newtown, Pennsylvania 18940
Industry: Manufacturing (215) 579-7388

Type of Shares:Common Shares Filing Date:4/16/96
U.S. Shares:2,000,000 Offer Date:6/20/96
Non-U.S. Shares:0 Filing Range:$13.00 - $15.00
Primary Shares:2,000,000 Offer Price:$10.00
Secondary Shares:0 Gross Spread:$0.70
Offering Amount: $28,000,000 Selling:$0.40
Expenses:$500,000 Reallowance:$0.10
Shares Out After:7,514,283

ManagerTierPhone
Alex. Brown & Sons IncorporatedLead Manager (410) 727-1700
Volpe, Welty & CompanyCo-manager (415) 956-8120

Auditor: KPMG Peat Marwick
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 3/31/95 3/31/96
Revenue:$0.00$0.00$0.00Assets:$5.08
Net Income:-$6.03-$1.72-$1.49Liabilities:$1.00
EPS:-$1.10-$0.24Equity:$4.08

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is engaged in the development and commercialization of innovative, proprietary medical therapies for the treatment of periodontal disease and other dental pathologies. The company believes that its initial drug, Periostat, will be the first orally administered, systematically delivered pharmaceutical to treat periodontitis. Unlike existing treatments, which focuses on the bacterial infection associated with periodontitis, Periostat inhibits the chronic progressive tissue degradation characteristic of the disease. The company has completed three pivotal Phase III clinical trials, the company believes that Periostat is a safe, efficacious, cost-effective therapy for the long-term treatment of periodontitis. Due to the costs associated with the disease, the company believes that the treatment of periodontitis will be increasingly important to dental managed care organizations and dental practitioners operating under capitated or fixed free arrangements.

Use of Proceeds
The proceeds from the offering will be used for marketing expenses associated with new product introduction, the establishment of sales and marketing capabilities, pharmaceutical development, and other general corporate purposes, including working capital.

Last updated: 10/28/96

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