Innovation Pharmaceuticals Establishing European Subsidiary; CEO Increases Equity Stake in IPIX

BEVERLY, MA – January 31, 2019 (GLOBE NEWSWIRE) -- Innovation Pharmaceuticals (OTCQB:IPIX) (“the Company”), a clinical stage pharmaceutical company, today announces that the Company is establishing a wholly-owned European subsidiary for the purpose of the development of its drug candidates internationally.  Management is pleased to report that, with the Holiday Season now over, discussions have resumed with potential pharmaceutical company partners, both overseas and domestic with a global presence. Licensing interest has been expressed in Brilacidin as a new drug candidate for Oral Mucositis and/or Inflammatory Bowel Disease.

The formation of a European subsidiary is an important milestone in the evolution of Innovation Pharmaceuticals, providing the Company with an enhanced capability to extend into multiple global markets. The subsidiary will serve as a key hub for strategic collaboration with European companies and medical communities in addition to providing cost-saving efficiencies and flexibility with respect to developing Brilacidin under European Medicines Agency standards.

Separately, Innovation Pharmaceuticals Chief Executive Officer Leo Ehrlich has exchanged $100,000 in debt owed to him by the Company to exercise options for IPIX Class B common stock.

“January has been a busy month for us at the corporate level and I look forward to continued progress throughout 2019,” commented Leo Ehrlich.  “The European subsidiary will serve as an important bridge to international markets, where we are seeing particularly strong partnering interest in Brilacidin across multiple indications, recently reinforced by compelling clinical data from our Phase 2 trials for Inflammatory Bowel Diseases and Oral Mucositis.  I feel the public markets have yet to fully appreciate the potential of our clinical assets.  My swap of debt for Company stock demonstrates my strong belief in our pipeline and team.”