SAN DIEGO – October 19, 2005 – Verus Pharmaceuticals, Inc., a pediatric-oriented specialty pharmaceutical company, today announced that it has appointed Adam K. Simpson as General Counsel. Through his prior position at Latham & Watkins LLP, Mr. Simpson has provided legal support for Verus since 2003. His efforts include representing Verus in the Series A and product-specific royalty financing in which Verus raised $98 million and in its acquisition of worldwide rights to Twinject®, a novel epinephrine auto-injector, from Hollister-Stier Laboratories LLC. Verus is dedicated to identifying, developing and delivering solutions to address the unmet medical needs of children and those who care for them.

“I am pleased to bring Adam on board and expand our core management team into this vital area,” said Robert W. Keith, President and Chief Operating Officer of Verus Pharmaceuticals. “We expect to utilize Adam’s experiences in the life science sector to help us execute our near-term growth strategy, by facilitating strategic collaborations and commercial transactions, intellectual property enhancements and financial transactions.”

“Among the many components of Verus that interest me are the experienced management team and the secure financial position, all supporting a unique pediatric-oriented focus,” said Mr. Simpson, newly appointed General Counsel of Verus Pharmaceuticals. “The significant need for new and improved pharmaceutical products designed and tested specifically for children provides a wide variety of avenues for Verus to develop and commercialize novel products for this special patient population.”

Mr. Simpson previously was an associate in Latham & Watkins’ North County San Diego office. In 2004, he had the fourth highest number of IPO representations by United States lawyers, according to IPO Vital Signs.

He received his J.D., cum laude, from the University of Minnesota Law School and earned a B.S. in biochemistry from the University of California, San Diego. Mr. Simpson is a member of the advisory board for the Rebecca and John Moores Cancer Center at UCSD.

About Verus

Verus Pharmaceuticals is dedicated to improving the lives of children and those who care for them. Verus is building a portfolio of products for the unmet medical needs of children through acquisitions and alliances, with an initial focus on the treatment of asthma, allergies, and related diseases and conditions. Verus is differentiated by its pediatric orientation and its strong financial position and experienced management team, which allows the company to capitalize on an extensive network to build its product portfolio and pursue complementary transactions. The company’s rigorous, disciplined approach to strategic decision-making and core competencies in development and commercialization is expected to provide significant value to its partners. More information about Verus is available on the company’s corporate website at www.veruspharm.com.

Forward-Looking Statements

Verus Pharmaceuticals cautions you that statements included in this press release that are not a description of historical facts may be forward-looking statements. The inclusion of forward-looking statements should not be regarded as a representation by Verus that any of its plans will be achieved. Actual results may differ materially from those set forth in this press release due to the risks and uncertainties inherent in Verus’ business including, without limitation, statements about: its ability to identify appropriate acquisition, licensing, or co-development and/or promotion candidates in the future or be able to take advantage of the opportunities it identifies; difficulties or delays in developing, obtaining regulatory approval, manufacturing and commercializing its products; unexpected performance or side effects of its products that could delay or prevent development or commercialization, or that could result in recalls or product liability claims; the scope and validity of patent protection for its products; competition from other pharmaceutical companies; and its ability to obtain additional financing to support its operations. All forward-looking statements are qualified in their entirety by this cautionary statement and Verus undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof.