LA JOLLA, Calif., Feb. 1 /PRNewswire/ -- SIBIA Neurosciences, Inc.
(Nasdaq: SIBI) announced that on January 29, 1999, the United States District
Court for the Southern District of California granted SIBIA's request for a
permanent injunction.  The injunction is expected to be entered and effective
February 2, against Cadus Pharmaceutical Corporation's continued infringement
of SIBIA's United States Patent No. 5,401,629 ('629 patent).  The injunction
arises out of litigation filed by SIBIA in 1996 against Cadus for infringement
of SIBIA's '629 patent.  On December 18, 1998, after a 7-week jury trial,
SIBIA received a unanimous verdict finding that Cadus directly infringed
claims in the '629 patent through Cadus' internal activities and through its
collaborations with Bristol-Myers Squibb and SmithKline Beecham.  The jury
also awarded SIBIA damages for Cadus' past infringement amounting to
$18 million.
    SIBIA's '629 patent has broad claims for identifying compounds which
interact with cell surface proteins for drug discovery.  According to the
general terms of the Court's order, Cadus is precluded from any use or sale of
its custom drug discovery assays that rely upon the techniques claimed in
SIBIA's '629 patent.  In addition, Cadus is precluded from further acts that
contribute to or induce the infringement by any third parties such as its
corporate partners and collaborators.  Failure to comply with the Court's
injunction may subject Cadus to penalties for contempt of court.  The District
Court also denied Cadus' request that the court stay the effect of the
injunction in spite of Cadus' arguments that the injunction would cause it
irreparable injury.
    "We are pleased with the Court's decision," said William T. Comer, Ph.D.,
SIBIA's President and Chief Executive Officer.  "This ruling represents an
important step in our efforts to enforce and license this broadly useful
patent and SIBIA's extensive patent portfolio.  We continue to believe that
many biotechnology and pharmaceutical companies use the '629 patented
techniques for identifying compound leads in their drug discovery efforts.
License revenue and the jury's recommended award could be an important
component of SIBIA's future revenue stream."
    SIBIA Neurosciences, Inc. is engaged in the discovery and development of
novel small molecule therapeutics for the treatment of neurodegenerative,
neuropsychiatric and neurological disorders, many of which have large patient
populations and represent critical unmet medical needs.  SIBIA is a leader in
the development of proprietary drug discovery platforms that combine key tools
necessary for modern drug discovery, including genomics, high throughput
screening, advanced combinatorial chemistry techniques and pharmacology.  The
Company's proprietary molecular targets and drug candidates, together with its
drug discovery technologies and research expertise, have enabled the Company
to establish several corporate collaborations, which currently include
Bristol-Myers Squibb Company and Meiji Seika Kaisha, Ltd., and multiple
technology licensing arrangements.

    This press release contains forward-looking statements that involve risks
and uncertainties.  Actual results could differ materially from those
discussed herein.  These risks and uncertainties include risks and
uncertainties regarding the Company's ongoing litigation with Cadus, including
uncertainties regarding pending post-trial motions and appeals and related
proceedings, risks and uncertainties regarding the Company's patents, risks
relating to SIBIA's ability to generate substantial licensing revenue from its
'629 patent or other technologies, whether SIBIA will be able to meet its
development goals, the new and uncertain state of SIBIA's technologies,
SIBIA's future capital needs and the uncertainty of receiving additional
funding, and other research, development and market risks.  These and other
risks and uncertainties are more fully set forth in SIBIA's most recently
filed Forms 10-Q and 10-K.

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