Alanex Corporation
Proposed Ticker: ALNX 3550 General Atomics Court
Exchange: NASDAQ-National Market San Diego, California 92121
Industry: Service (619) 455-3200

All share information is proposed
Type of Shares:Common Shares Filing Date:8/9/96
U.S. Shares Filed:2,500,000 Filing Range:$10.00 - $12.00
Non-U.S. Shares Filed:0 Offering Amount: $27,500,000
Primary Shares:2,500,000 Expenses: -
Secondary Shares:0 Shs Out After:

ManagerTierPhone
PaineWebber IncorporatedLead Manager (212) 713-2626
Needham & CompanyCo-manager (212) 371-8300
Sutro & Company Inc.Co-manager (415) 445-8323

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 6/30/96 6/30/95 6/30/96
Revenue:$3.77$4.22$1.60Assets:$7.75
Net Income:-$0.76$1.36-$0.27Liabilities:$6.43
EPS:-$0.17$0.30-$0.06Equity:$1.31

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

Business Description
The company is a drug discovery company that is applying its highly integrated and comprehensive approach to rapidly and cost-effectively discover and optimize novel, small molecule drug candidates. The company's proprietary core drug discovery technology, Pharmacophore Directed Parallel Synthesis, accelerates the steps necessary to discover small molecule drug candidates, from the initial identification of compounds that exhibit activity at selected biological targets to the progression of these compounds to drug candidates for human clinical trials. PDPS combines combinatorial chemistry with computational and medicinal chemistries which, when used in conjunction with high throughout screening and pharmacology, forms an integrated drug discovery platform that can be broadly applied to a wide array of biological targets. An important element of the company's strategy is to enter into collaborations with pharmaceutical companies. The company has collaboration agreements with Astra Pharma, Inc., Nordisk A/S and Roche Bioscience, a division of Syntex Inc., a wholly owned subsidiary of Roche Holding Ltd.

Use of Proceeds
The proceeds from the proposed offering will be used for research and development, facilities expansion and working capital and general corporate purposes.

Last updated: 12/1/96

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