TSX: CXR

Newly listed company’s purchase adds new products and increases R&D
strength

TORONTO, ON AND BANNOCKBURN, IL, Dec. 24, 2013 /PRNewswire/ – Concordia Healthcare Corp., an integrated, specialty healthcare company focused on the acquisition
of legacy pharmaceutical products and medical devices and the
acquisition and/or development of orphan drugs, announced today that it
has acquired Pinnacle Biologics, Inc., a U.S.-based biopharmaceutical
company specializing in legacy pharmaceuticals which have the potential
for development as orphan drugs to treat cancer indications in addition
to those for which they have previously been approved.

Concordia is completing a year of rapid, strategic growth culminating
with this acquisition and the conditional approval of the listing of
Concordia’s common shares on the Toronto Stock Exchange (Ticker Symbol:
CXR).

“The completion of our $34.5 million equity raise last week and listing
approval on the TSX were major milestones for Concordia, enabling the
completion of this transaction,” said Mark Thompson, chief executive
officer of Concordia. “The addition of Pinnacle Biologics begins an
exciting new phase of growth for the Company. Concordia will be able to
support the further development of Pinnacle’s unique oncology products
as well as new indications for rare forms of cancer and, potentially,
other diseases.”

One of Pinnacle’s on-market products includes PHOTOFRIN, a photosensitizer used in photodynamic therapy (PDT) of tumors. PDT
with PHOTOFRIN is a two-stage process. The first stage is the intravenous injection
of PHOTOFRIN. Clearance from a variety of tissues occurs over 40-72 hours, but
tumors retain PHOTOFRIN for a longer period. Illumination with 630 nm wavelength laser light
constitutes the second stage of therapy. Tumor selectivity in
treatment occurs through a combination of selective retention of
PHOTOFRIN and selective delivery of light.

Pinnacle’s PDT with PHOTOFRIN is FDA approved for multiple indications
including the treatment of non-small cell lung cancer (NSCLC) and
esophageal cancer. PHOTOFRIN also is approved for high-grade dysplasia
(HGD) in Barrett’s esophagus (BE) in North America. It has Orphan Drug
Designation (ODD) for cholangiocarcinoma (cancer of the bile duct) and
as adjuvant therapy to surgery for the treatment of malignant pleural
mesothelioma. The product is available in the USA, several major
European countries, Japan, several Latin American and Southeast Asian
markets.

“Being a part of Concordia and supported by re-invested revenue from its
existing products, Pinnacle can continue to develop its world class
science and, in particular, move forward with a pivotal Phase 3
clinical trial using PDT with PHOTOFRIN to treat a very rare form of
bile duct cancer for which we have Orphan Drug Designation in the
United States,” said Robert S. Altman, Ph.D., president of Pinnacle
Biologics.

Concordia is an integrated healthcare company with three separate, but
inter-related business divisions: legacy pharmaceutical products that
generate predictable cash-flow, a specialized healthcare distribution
(SHD) division servicing the diabetic market, and a division focusing
on the acquisition and/or development of orphan drugs. The SHD division
also intends to provide a specialty pharmaceutical distribution
capability, through its licenced pharmacy, for orphan drugs/approved
medicines, and will do so in support of the just acquired Pinnacle
Biologics, Inc. and its current oncology products.

About Concordia

Concordia Healthcare is a diverse healthcare company focused on legacy
pharmaceutical products, medical devices and orphan drugs. Concordia
Healthcare was founded in December, 2012 by Mark L. Thompson.

The company’s legacy pharmaceutical business was acquired in May, 2013
and consists of an ADHD-treatment drug, Kapvay (clonidine extended
release tablets), a Head Lice Treatment, Ulesfia (benzyl alcohol)
Lotion, and an Asthma-related medication, Orapred ODT (prednisolone
sodium phosphate orally disintegrating tablets). Concordia’s SHD
division (Complete Medical Homecare) was acquired in October, 2013. Pinnacle’s therapeutic technology is the latest strategic acquisition by
Concordia.

Concordia operates out of facilities in Oakville, Ontario, Lenexa,
Kansas (near Kansas City, Missouri), Chicago, Illinois and Bridgetown,
Barbados.

About Pinnacle

Pinnacle Biologics, Inc., a U.S. based subsidiary of Concordia, is a
biopharmaceutical research and development company specializing in
orphan diseases. The company is headquartered in Bannockburn, (suburban
Chicago) Illinois. Its European subsidiary, Pinnacle Biologics BV, is headquartered in Amsterdam and is the holder of the European Marketing Authorizations for Pinnacle products.

Notice regarding forward-looking statements:

This release includes forward-looking statements regarding Concordia
Healthcare Corp. and its business. Often, but not always,
forward-looking statements can be identified by the use of words such
as “plans”, “is expected”, “expects”, “scheduled”, “intends”,
“contemplates”, “anticipates”, “believes”, “proposes” or variations
(including negative variations) of such words and phrases, or state
that certain actions, events or results “may”, “could”, “would”,
“might” or “will” be taken, occur or be achieved. Such statements are
based on the current expectations of Concordia’s management. The
forward-looking events and circumstances discussed in this release may
not occur by certain specified dates or at all and could differ
materially as a result of known and unknown risk factors and
uncertainties affecting the company, including risks regarding the
pharmaceutical industry, the integration of Pinnacle Biologics, Inc.
with the business of Concordia, the further development of Concordia’s
products, the growth of Concordia, failure to obtain regulatory
approvals, economic factors, the equity markets generally and many
other factors beyond the control of Concordia. Although Concordia has
attempted to identify important factors that could cause actual
actions, events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause
actions, events or results to differ from those anticipated, estimated
or intended. No forward-looking statement can be guaranteed. Except as
required by applicable securities laws, forward-looking statements
speak only as of the date on which they are made and Concordia
undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future events, or otherwise.

SOURCE Concordia Healthcare Corp.