CALGARY, Alberta, May 12, 2004 -- SemBioSys Genetics Inc., a Canadian biotechnology company, announced today that it has executed a royalty-bearing license agreement with Lonza, Inc. for global rights to SemBioSys' DermaSphere(TM) Ingredient System for use in personal care markets. Under the terms of the agreement, Lonza will develop, produce and market non-transgenic oilbody-based ingredients to be used in the production of cosmetic and skin care products. Product launch is projected for the fourth quarter 2004.
DermaSphere(TM) is a natural oil-in-water emulsion. The emulsion is comprised of unique oil droplets called oilbodies, in which the oil is surrounded by a shell of phospholipid and oleosin protein. The oilbody emulsion is cosmetically elegant, extremely flexible, and offers multiple functions as an emulsifier, emollient and carrier/delivery system for small molecule actives. SemBioSys has patents on the use of oilbodies in the US, Canada and elsewhere.
"Lonza's global presence and leadership position in the personal care ingredients industry will be a tremendous asset in the commercialization of this novel plant-derived ingredient," said Andrew Baum, president and CEO of SemBioSys. "The agreement with Lonza validates the commercial utility of SemBioSys' oilbody/oleosin technology platform and our ability to develop products from that platform. We look forward to working with Lonza to bring this product to the personal care marketplace."
This is the fourth funded development agreement announced by SemBioSys in the last six months. In December, SemBioSys announced that it had executed a development agreement with Martek Biosciences Corporation to co-develop value-added specialty oil products with potential nutraceutical applications. In February, SemBioSys announced that it had entered into an agreement with Syngenta for access to SemBioSys' proprietary oilbody based Stratosome(TM) Biologics and StratoCapture(TM) Purification Systems for the development of Syngenta's biologic products. In addition, SemBioSys recently announced that it entered into a feasibility agreement with Dow AgroSciences for an animal vaccine.
About SemBioSys Genetics Inc. (www.sembiosys.com)
Calgary, Alberta-based SemBioSys Genetics Inc. is a privately held biotechnology company focused on the development of therapeutic proteins and nutritional oils using its proprietary oilbody-based technology -- the Stratosome(TM) Biologics System. Spun out of the University of Calgary in 1996, the company's investors include Bay City Capital, Dow AgroSciences Canada, Inc., Ventures West Management Inc., BDC Venture Capital, University Technologies International Inc., RBC Capital Partners and Maurice Moloney Ph.D. scientific founder and chief scientific officer. In addition to these investors, SemBioSys has received repayable investments of CAD$5.5MM from Technology Partnerships Canada, an agency of Industry Canada, and up to CAD$4.9MM from AVAC Ltd. SemBioSys has partnerships with Syngenta Participations AG, Martek Biosciences and Dow AgroSciences for use of its Stratosome(TM) technology.
About Lonza (www.lonza.com)
Lonza is a life sciences driven company, headquartered in Switzerland, which generated sales of CHF 2.24 billion in 2003. It operates 18 production and R&D facilities in eight countries and employs 5660 people worldwide. Lonza is one of the leading custom manufacturers of chemical intermediates and active ingredients as well as biopharmaceuticals for the pharmaceutical and agrochemical industries. In addition, Lonza also offers organic intermediates for a wide range of applications and provides antimicrobial and associated products as well as polymer intermediates and compounds. For more information please visit the company's website at www.lonza.com.