NPS Pharmaceuticals Commences Tender Offer for 3.0% Convertible Notes Due 2008



    PARSIPPANY, N.J., Sept. 6 /CNW/ -- NPS Pharmaceuticals, Inc. (Nasdaq:  
NPSP) announced today that it has commenced a cash tender offer for any and
all of its outstanding 3.0% Convertible Notes due 2008. The tender offer will
expire at midnight, Eastern Time on October 4, 2007, unless extended. The
tender offer, which is described fully in an offer to purchase and the related
letter of transmittal, is not subject to the receipt of any minimum amount of
tenders.
    NPS Pharmaceuticals is purchasing the notes to reduce outstanding debt
and reduce interest expense. The tender offer will be funded from the proceeds
of the company's recently completed offering of $50 million aggregate
principal amount of 5.75% convertible notes due August 7, 2014, a private
placement of $100 million of secured 15.5% Sensipar B Bonds due March 30, 2017
completed by its subsidiary and a $50 million up-front payment received from
Drug Royalty L.P.3 as part of the NPS Pharmaceuticals' sale and assignment of
its right to receive royalty payments on sales of PREOTACT(R). NPS
Pharmaceuticals is offering to purchase the notes at a price of $982.50 for
each $1,000 of principal amount of notes tendered, plus accrued and unpaid
interest up to, but not including, the date the notes are paid pursuant to the
offer.
    NPS Pharmaceuticals has retained Jefferies & Company, Inc. to act as
Dealer Manager in connection with the offer.
    U.S. Bank National Association has been appointed to act as the
depositary for the offer, and D.F. King & Co., Inc. has been appointed to
serve as information agent. Questions and requests for assistance and copies
of the offer to purchase and the related letter of transmittal may be directed
to the information agent at (212) 269-5550, for banks and brokers, or (888)
644-5854 for others.
    Neither the NPS Pharmaceuticals Board of Directors nor any other person
makes any recommendation as to whether holders of notes should tender their
notes, and no one has been authorized to make such a recommendation. Holders
of notes must make their own decisions as to whether to tender their notes,
and, if they decide to do so, the principal amount of notes to tender.
    This announcement is not an offer to buy or the solicitation of an offer
to sell any notes. The tender offer for NPS Pharmaceuticals' 3.0% Convertible
Notes due 2008 will be made solely by and subject to the terms and conditions
set forth in a Schedule TO (including an offer to purchase, related letter of
transmittal and other tender offer documents) that is being filed by NPS
Pharmaceuticals today with the Securities and Exchange Commission. The
Schedule TO will contain important information and should be read carefully
before any decision is made with respect to the tender offer. The offer to
purchase, letter of transmittal and other tender offer documents are being
delivered to holders of the notes. Once the Schedule TO and other documents
are filed with the SEC, they will be available free of charge on the SEC's
website at http://www.sec.gov, on NPS Pharmaceuticals' website at
http://www.npsp.com or by contacting the NPS Pharmaceuticals Corporate
Secretary at (800) 730-3644.
    NPS Pharmaceuticals is a biopharmaceutical company focused on the
development and commercialization of small molecules and recombinant proteins
as drugs, primarily for the treatment of metabolic, bone and mineral, and
central nervous system disorders. The company has drug candidates in various
stages of clinical development. Additional information is available on the
company's website, http://www.npsp.com.
    This press release contains forward-looking statements intended to
qualify for the "safe harbor" from liability established by the Private
Securities Litigation Reform Act of 1995. Forward-looking statements include,
but are not limited to, statements relating to strategies, expectations,
intentions, plans, future events, performance, underlying assumptions, and
other statements that do not relate strictly to historical or current facts.
Although NPS Pharmaceuticals' management believes that the expectations
reflected in such forward-looking statements are reasonable, it can give no
assurance that such expectations will prove to have been correct. These
statements can be affected by inaccurate assumptions and by a variety of risks
and uncertainties, including, among others, general economic conditions, the
success of the tender offer for the 3.0% Convertible Notes due 2008 and the
amount of any such notes actually tendered for repurchase or actually
repurchased by the company, the company's reported results meeting the
company's guidance and the expectations of the market, and other risks,
including risks related to NPS Pharmaceuticals' operations and financial
condition, detailed in NPS Pharmaceuticals' Annual Report on Form 10-K for the
year ended December 31, 2006, NPS Pharmaceuticals' Quarterly Reports on Form
10-Q for the quarters ended March 31, 2007 and June 30, 2007 and any other
reports of the company filed with the Securities and Exchange Commission.
Should one or more of these risks materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from those
expressed or implied in any forward-looking statements. You are cautioned not
to place undue reliance on these forward-looking statements, which are current
only as of this date. NPS Pharmaceuticals does not undertake any obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise. For a discussion of these risks,
uncertainties and assumptions, investors are urged to refer to NPS
Pharmaceuticals' reports filed with the Securities and Exchange Commission.




For further information:

For further information: Brandi Simpson, +1-801-883-2397, or Gail
Brophy,  +1-973-658-8504, both of NPS Pharmaceuticals, Inc. Web Site:
http://www.npsp.com

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NPS PHARMACEUTICALS, INC.

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