Novella Clinical and OSI Pharmaceuticals expand existing clinical service agreement

Novella Clinical Inc. (formerly PharmaLinkFHI) and OSI Pharmaceuticals, Inc. (NASDAQ: OSIP) announced today that the Companies will expand their existing clinical service agreement. Under the terms of the new agreement, effective February 1, 2010, Novella will provide clinical research and related services to OSI for a period of two years as OSI transitions its clinical operations to its new Ardsley, New York campus. Novella will assume use of some of OSI’s facilities in Boulder and employ members of OSI’s Boulder staff.

“We are excited to be expanding our footprint and adding to our Novella family”

“We are excited to be expanding our footprint and adding to our Novella family,” stated W. Richard Staub, President and Chief Executive Officer of Novella Clinical. “This agreement offers many advantages to Novella and will help us realize a number of our corporate objectives. As a CRO focused on biotech and medical device companies, many of our clients are located on the west coast and having an office in the western part of the country will allow us to better service their needs. Additionally, as OSI’s pipeline is primarily focused on oncology products, the OSI staff joining Novella will bring a depth of experience that will strengthen what is already our largest therapeutic category.”

OSI had previously announced, in July 2009, plans to consolidate its U.S. operations onto a single campus located in Ardsley, New York. OSI has begun consolidation of approximately 350 current U.S. employees from its facilities in Melville and Farmingdale, NY, Boulder, CO, and Cedar Knolls, NJ.

“This is a win-win agreement between OSI and Novella and for the OSI Boulder employees who have chosen not to relocate with the Company,” stated Colin Goddard, Ph.D., Chief Executive Officer of OSI Pharmaceuticals. “As we execute our plan to capture the full strategic value of our oncology franchise and to simplify our business by bringing all our U.S. employees onto one campus, the expanded agreement will provide continuity of clinical operations, biostatistics, medical writing and regulatory affairs for certain ongoing clinical studies as the Company transitions functions to its new campus in Ardsley, New York.”