 | | NovaBay Pharmaceuticals Appoints Todd Zavodnick to its Board of Directors Closes first tranche of $11.8 million private placement EMERYVILLE, Calif. (May 9,2016)–NovaBay® Pharmaceuticals, Inc. (NYSE MKT: NBY),a biopharmaceutical company focusing on commercializing its Avenova® lid and lash hygiene product for the domestic eye care market, announces the appointment of Todd Zavodnick to its Board of Directors effective May 6, 2016. Mr. Zavodnick brings extensive senior management and commercial experience in the medical technology and pharmaceutical industries, including serving in a senior capacity at the global ophthalmology company Alcon Laboratories. Mr. Zavodnick will serve on the Audit and Corporate Governance committees and replaces Massimo Radaelli, Ph.D., who resigned as a Director of NovaBay effective May 6, 2016. NovaBay’s Board membership remains at eight. “Todd has an impressive track record in building successful commercial organizations in the healthcare industry, including firsthand experience in ophthalmology,” said Mark M. Sieczkarek, Chairman and Interim President and CEO of NovaBay. “We will look for his guidance as we continue our focus on growing Avenova sales in the domestic market and reaching our goal of positive cash flow from operations by the end of 2016. We welcome Todd to our Board.” Mr. Zavodnick is President, International of ZELTIQ Aesthetics, Inc. (NASDAQ: ZLTQ), a medical technology company focused on developing and commercializing products utilizing its proprietary CoolSculpting™ cryolipolysis procedure. He previously served in various executive positions at the dermatology company Galderma Laboratories, L.P., most recently as President & General Manager, North America. Prior to that, Mr. Zavodnick held various positions at Alcon Laboratories, ultimately as President, China and Mongolia. Mr. Zavodnick serves as a Board member of the not-for-profit Children’s Skin Disease Foundation. NovaBay also announces the primary closing of a private placement for a total of 4,079,058 shares of Company common stock and warrants. The closing includes the purchase 2,039,530 shares of common stock at an aggregate subscription price of $7.791 million to nine accredited investors, including Mr. Sieczkarek and the Company’s two largest stockholders, Jian Ping Fu and Pioneer Pharma (Singapore) Pte. Ltd. The private placement was designed to close in two tranches, with the closing of the second tranche for $4 million scheduled to occur on July 31, 2016. The first tranche of the financing was closed following approval from the Company’s stockholders at the May 3, 2016 Annual Meeting of Stockholders. The Company believes that when fully completed, thisfinancing, along with the exercise of related warrants, will provide NovaBay with the necessary funds to reach positive cash flow from operations without the need for additional financing. |
