10 January 2007

Celecure Receives 1.6MEUR from four founders of Skype

Tallinn, January 10, 2007 – Investment group Ambient Sound Investments (ASI) has agreed to invest 1.6 million euros in Estonian biotechnology drug developer Celecure to accelerate the international breakthrough of its projects.

Investment group ASI, established by four founding engineers of Skype acquires 26% of Celecure, an Estonian capital based company focusing on preclinical development of drugs against cancer and other diseases based on its novel angiogenesis inhibition technology and EntrybodyTM platform.

Celecure is developing a novel angiogenesis inhibitor SB101 that according to Tarmo Kivi, the CEO of company can prove to be a significant breakthrough in cancer therapy. Celecure has filed for national patents in the European Union, USA, Canada, Australia, Japan, China and India and has already started collaboration talks with international pharmaceutical companies.

Tarmo Kivi stated that there is clear interest in the project from several big international pharmaceutical manufacturers and also many smaller biopharmaceutical companies.

ASI partner Jaan Tallinn said the investment group continues with the same strategy and adds a company from a promising sector to their portfolio. "On the world scale the potential of biotechnology and cancer drug development is huge," explained Tallinn.

Celecure has proven that the angiogenesis Inhibitor SB101 has better effect in animal tests than Avastin - the only drug now available able to block the angiogenesis inside the tumor. In addition, SB101 does not cause toxic side-effects. SB101 effect realizes via VEGF independent pathway and therefore these two angioinhibitors together have stronger effect than if applied separately.

Entrybody™, the other technology under development consists of antibodies that are cell-permeable and block intracellular proteins that advance the diseases. The technology has vast potential as a drug that can cure various diseases from infections to cancer.

According to Kivi the investment will accelerate the development process of the projects and taking the cancer drug to the market. "We are planning to start clinical tests of SB101 in the end of 2008 and develop first prototypes with therapeutic effect under the project Entrybody™. We are also looking for strategic partners for both of the projects," said Kivi.

Celecure Ltd

Celecure Ltd is a company based on Estonian capital established in 2002 that focuses on biotech drug development. The company is located at biotech cluster in Tallinn. Its research team is currently about 20 people. Celecure belongs to the Celecure Group. The group joins research and development companies Celecure Ltd, Inbio Ltd and Cancer Clinic Ltd. Inbio offers research-based laboratory services to biotechnology companies and research facilities in Europe and elsewhere. Inbio also sells appliances, tools and reagents to Estonian labs. Cancer Clinic specializes on prevention and diagnostics in the field of oncology and supporting treatment and counseling of cancer patients. More information: http://www.celecure.com; http://www.inbio.ee; http://www.inbiolabs.com; http://www.vahikliinik.ee

Ambient Sound Investments

The investment group Ambient Sound Investments, established by the four founding engineers of Skype, has invested in seven technology companies since March 2006. Investment portfolio includes the following companies: semiconductor developer Clifton, remote tracking device producer Oskando, radio communications technology developer Modesat Communications, telemetry company Connecty, time stamping technology developer GuardTime, electronics manufacturer Evikon MCI and biotechnology group IBCC Holding. For more information, please visit: http://www.asi.ee/

Additional information:

Tarmo Kivi
CEO, Celecure
+372 5013158
Skype name: tarmo.kivi

Jaan Tallinn
Partner, Ambient Sound Investments
Skype name: jaan