Collagen Corp. launching Hylaform viscoelastic gel in Europe; Exciting new product for the treatment of wrinkles and scars

Business Wire, Nov 11, 1996

PALO ALTO, Calif.--(BUSINESS WIRE)--Nov. 11, 1996--Collagen Corporation (NASDAQ: CGEN) today announced that it will begin marketing Hylaform viscoelastic gel, a hylan gel for the treatment of facial wrinkles and depressed scars, in Europe next week.

Hylaform viscoelastic gel is developed and manufactured by Biomatrix Inc. (NASDAQ: BIOX) of Ridgefield, N.J., and is marketed by Collagen Corporation pursuant to a June 1996 agreement between the companies.

"We are extremely excited to be introducing Hylaform viscoelastic gel to the European marketplace in partnership with Biomatrix Inc. The feedback from physicians participating in the pre-launch activities has been very favorable. We believe Hylaform viscoelastic gel will bring clinical benefits of injectable therapy to a new group of patients -- those patients desiring `same day' treatments as well as those who may be sensitive to bovine collagen. It is Collagen's objective to provide doctors and patients with a range of treatment options for wrinkles and scars, and Hylaform viscoelastic gel helps us to achieve this objective," stated Gary Petersmeyer, president and chief operating officer of Collagen Corporation "Our agreement with Biomatrix underscores Collagen's strategy to distribute products or acquire companies that leverage its market franchise. Collagen Corporation has been working with dermatologists and plastic surgeons around the world for more than 15 years," Petersmeyer added.

Biomatrix was granted a CE mark for Hylaform viscoelastic gel in December 1995, clearing the way for this product to be marketed throughout the European Economic Area. Collagen Corporation's agreement with Biomatrix includes the right to market Hylaform viscoelastic gel in Europe as well as Japan, Australia, Canada and selected additional markets in Latin America and the Middle East. Collagen will pay a transfer price for product shipments, as well as royalties on dermal augmentation product end market sales.

Upon Biomatrix's receipt of U.S. Food and Drug Administration regulatory clearance and payment of an additional distribution fee to Biomatrix, Collagen Corporation will have the right to market Hylaform viscoelastic gel in the U.S.

Biomatrix Inc., headquartered in Ridgefield, N.J., is an international biomedical company that develops, manufactures and commercializes viscoelastics made from proprietary biological polymers called hylans, used in therapeutic medical applications and skin care products.

Collagen Corporation is a technology-based company that develops, manufactures and markets biomedical devices for the treatment of defective, diseased, traumatized or aging human tissues.

Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements, the accuracy of which is necessarily subject to risks and uncertainties. The timing of Hylaform viscoelastic gel product introductions, receipt of U.S. regulatory approvals, clinical efficacy of and market demand for these products, among other matters discussed in this release, may differ significantly from the discussion of such matters in the forward-looking statements. Such differences may be based upon factors within Collagen Corporation's control, such as strategic planning decisions by management and reallocation of internal resources, or on factors outside of Collagen Corporation's control, such as scientific advances by third parties, introductions of competitive products and delays by regulatory authorities, as well as those factors set forth under the heading "Factors That May Affect Future Results of Operations" in Collagen's Form 10-K filed for the fiscal year ended June 30, 1996.

Collagen's press releases can be accessed on the Internet at http://www.businesswire.com/cnn/cgen.htm

CONTACT: Collagen Corporation

David Foster, 415/856-0200

or

Edelman Public Relations

Jon Greer, 415/433-5381