Dr. Phillip Frost Invests Heavily into ALQA

Frost Gamma Investments Trust Increases Stake in Alliqua, Inc.

NEW YORK, April 2, 2012 (GLOBE NEWSWIRE) -- Alliqua, Inc. (OTCBB:ALQA) ("Alliqua" or the "Company") announced that entrepreneur Dr. Phillip Frost and other investors collectively purchased approximately 24 million shares pursuant to certain private stock purchases. Dr. Frost is an existing stockholder in Alliqua and as a result of his participation in these stock purchases is the beneficial owner of approximately 11.1% of Alliqua's common shares.

Alliqua's President and director, Richard Rosenblum, commented, "When such a renowned investor as Dr. Phillip Frost continues to increase his stake in Alliqua, it is a meaningful statement. We welcome his additional investment in Alliqua as it underscores his belief in the Company and the direction that management has taken."

Frost Gamma Investments Trust has invested more than $160 million in companies and technologies since it started in 2006. Among his other roles, Dr. Frost is Chairman of Israel based Teva Pharmaceuticals; Chairman of Ladenburg Thalmann Financial Services, Inc.; Chairman of OPKO Health, Inc.; and Chairman of PROLOR Biotech.

About Alliqua, Inc.

Alliqua, Inc. (OTCBB:ALQA) ("Alliqua") is an advanced biomedical products company focused on the development and manufacturing of proprietary technologies in the fields of drug delivery, advanced wound care and liver health preservation. Through its wholly-owned subsidiary, Alliqua BioMedical, Inc., Alliqua intends to develop active ingredient and transdermal drug delivery products, primarily utilizing the proprietary hydrogel technology platform of AquaMed Technologies, Inc. ("AquaMed"), Alliqua's subsidiary.

AquaMed manufactures custom hydrogels used for transdermal drug delivery, wound care, medical diagnostics, and cosmetics. These products use proprietary manufacturing technologies which enable AquaMed to produce what is known in the healthcare industry as high water content, electron beam cross-linked aqueous polymer sheet hydrogels. AquaMed believes that it is one of two manufacturers in the world for these gels. Alliqua's third subsidiary, HepaLife Biosystems, Inc., focuses on the development of a cell-based bioartificial liver system, known as HepaMate™.

Any statements contained in this press release regarding our ongoing research and development and the results attained by us to-date have not been evaluated by the Food and Drug Administration.

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This release contains forward-looking statements. Forward-looking statements are generally identifiable by the use of words like "may," "will," "should," "could," "expect," "anticipate," "estimate," "believe," "intend," or "project" or the negative of these words or other variations on these words or comparable terminology. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties outside of the our control that can make such statements untrue, including, but not limited to, adverse economic conditions, intense competition, lack of meaningful research results, entry of new competitors and products, adverse federal, state and local government regulation, inadequate capital, termination of contracts or agreements, technological obsolescence of our products, technical problems with our research and products, price increases for supplies and components, inability to carry out research, development and commercialization plans, loss or retirement of key executives and research scientists and other specific risks. We currently have no commercial products intended to diagnose, treat, prevent or cure any disease. The statements contained in this press release regarding our ongoing research and development and the results attained by us to-date have not been evaluated by the Food and Drug Administration. There can be no assurance that further research and development, and /or whether clinical trial results, if any, will validate and support the results of our preliminary research and studies. Further, there can be no assurance that the necessary regulatory approvals will be obtained or that we will be able to develop new products on the basis of our technologies. In addition, other factors that could cause actual results to differ materially are discussed in our Annual Report on Form 10-K filed with the SEC on March 29, 2012 and our most recent Form 10-Q filings with the SEC. Investors and security holders are urged to read these documents free of charge on the SEC's web site at www.sec.gov. We undertake no obligation to publicly update or revise our forward-looking statements as a result of new information, future events or otherwise.

CONTACT: Alliqua, Inc.
         Steven Berger
         646-218-1450