Use of Prescription-Only Medical Foods Increases in Pacific Northwest and Hawaii

— 23 New Clinics Now Prescribing Targeted Medical Pharma’s Rx-only Therapeutic Alternatives —     

Los Angeles, CA, July 17, 2013 — Targeted Medical Pharma, Inc. (OTCQB: TRGM), a biotechnology company that develops and distributes prescription medical foods, convenience kits and generic pharmaceuticals to physicians and pharmacies, today announced that 23 new medical clinics in Washington, Oregon and Hawaii are purchasing and prescribing the company’s prescription-only medical foods, bringing the total to 69 health facilities in those three states.

“With the number of prescribing clinics on the rise, we have seen a 26 percent increase in prescriptions for our medical foods in the Northwest region and Hawaii compared to last year’s fourth quarter,” said William Shell, M.D., Targeted Medical Pharma’s Chief Executive Officer and Chief Science Officer.  “Strict new regulations for opioid prescribing in Washington and Colorado coupled with widespread opposition to traditional, high dose pain drugs among patients continue to fuel the demand for safer, more effective therapeutic alternatives such as medical foods across the entire U.S.”

Targeted Medical Pharma recently posted record quarterly revenue of $2.8 million for the first quarter ended March 31, 2013, compared with $1.4 million for the prior year period, primarily attributable to a significant increase in prescriptions among Workers’ Compensation and commercial providers, along with improved collection rates for new and aged receivables.

About Targeted Medical Pharma, Inc.

Targeted Medical Pharma, Inc. is a Los Angeles-based biotechnology company that develops prescription medical foods  for the treatment of chronic disease, including pain syndromes, peripheral neuropathy, hypertension, obesity, sleep and cognitive disorders.  The company manufactures 10 proprietary prescription-only medical foods, as well as 48 convenience packed kits, which pair a medical food and branded or generic pharmaceutical.  These prescription medical foods and therapeutic systems are sold to physicians and pharmacies in the U.S. and the Middle East through the company’s subsidiary, Physician Therapeutics. These proprietary medications represent a novel approach to the management of certain disease states, focusing on safety and efficacy without the deleterious side effects of traditional, high dose prescription drugs. The company is developing nutrient-based systems for oral stimulation of progenitor stem cells that differentiate into neurons, red blood cells, pituitary hormones including IGF-I. Targeted Medical Pharma also provides diagnostic testing as well as billing and collection services on behalf of dispensing physicians.

Forward Looking Statement

This press release may contain forward-looking statements related to Targeted Medical Pharma’s business strategy, outlook, objectives, plans, intentions or goals. The words “may,” “will,” “should,” “plans,” “explores,” “expects,” “anticipates,” “continue,” “estimate,” “project,” “intend,” and similar expressions, identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Actual results could differ materially. Targeted Medical Pharma expressly disclaim any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the company’s expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based.

 

 

 

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Targeted Medical Pharma Secures $3.28 Million in Funding

Agreement with Cambridge Medical Funding Group Monetizes Certain Aged  Workers’ Compensation Receivables

Los Angeles, CA, July 2, 2013 — Targeted Medical Pharma, Inc. (OTCQB: TRGM), a biotechnology company that develops and distributes prescription medical foods, convenience kits and generic pharmaceuticals to physicians and pharmacies for the treatment of chronic disease, today announced it secured $3.28 million from the securitization of certain aged receivables through an agreement with New Jersey-based Cambridge Medical Funding Group, LLC (“CMFG”).  CMFG funded $750,000 on June 29, 2013 and  has agreed to fund the balance before July 31, 2013.

“Through this funding we are able to leverage a significant off balance sheet asset to invest in the expansion and acceleration of our sales and marketing efforts,” said William Shell, M.D., CEO and Chief Science Officer at Targeted Medical Pharma.  “The additional revenue will be used to help sustain our rapid growth as we continue to leverage the increasing clinical adoption of medical foods.”

Based in Glen Rock, New Jersey, Cambridge Medical Funding Group provides specialized finance solutions to hospitals, surgical centers and medical providers, funds receivables and providing guaranteed upfront payments to these providers.

As of June 30, 2012, Targeted Medical Pharma had approximately $34.6 million in aged receivables.  Maxim Group LLC acted as financial advisor on the transaction.

Visit http://www.sec.gov for additional details regarding the funding.

About Targeted Medical Pharma, Inc.

Targeted Medical Pharma, Inc. is a Los Angeles-based biotechnology company that develops prescription medical foods  for the treatment of chronic disease, including pain syndromes, peripheral neuropathy, hypertension, obesity, sleep and cognitive disorders.  The company manufactures 10 proprietary prescription-only medical foods, as well as 48 convenience packed kits, which pair a medical food and branded or generic pharmaceutical.  These prescription medical foods and therapeutic systems are sold to physicians and pharmacies in the U.S. and the Middle East through the company’s subsidiary, Physician Therapeutics. These proprietary medications represent a novel approach to the management of certain disease states, focusing on safety and efficacy without the deleterious side effects of traditional, high dose prescription drugs. The company is developing nutrient-based systems for oral stimulation of progenitor stem cells that differentiate into neurons, red blood cells, pituitary hormones including IGF-I. Targeted Medical Pharma also provides diagnostic testing as well as billing and collection services on behalf of dispensing physicians.  

Forward Looking Statement

This press release may contain forward-looking statements related to Targeted Medical Pharma’s business strategy, outlook, objectives, plans, intentions or goals. The words “may,” “will,” “should,” “plans,” “explores,” “expects,” “anticipates,” “continue,” “estimate,” “project,” “intend,” and similar expressions, identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Actual results could differ materially. Targeted Medical Pharma expressly disclaim any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the company’s expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based. 

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