BioSyntech Inc.
TSX VENTURE : BSY

BioSyntech Inc.

October 18, 2005 10:32 ET

BioSyntech Signs Agreement With One of Korea's Leading Pharma Company

LAVAL, CANADA--(CCNMatthews - Oct. 18, 2005) - BioSyntech, Inc. ("BioSyntech" or "the Company") (TSX VENTURE:BSY) today announced the signing of a letter of agreement with Kuhnil Pharma Co. Ltd ("Kuhnil"), one of Korea's leading pharmaceutical company, pursuant to which Kuhnil will purchase 1,500,000 common shares of the Company at a price of $0.80 per share, for total proceeds of $1.2 million.

As part of this transaction, Kuhnil will acquire exclusive rights for marketing, sales and distribution of BioSyntech's BST-CarGel® and BST-InPod™ for the Republic of Korea.

"We are very pleased to have Kuhnil, one of Korea's leading pharmaceutical company, as a new strategic partner," stated Mr. Claude LeDuc, President and CEO of BioSyntech. "This fast growing Korean pharmaceutical company has deep rooted interests in the orthopaedic field. Kuhnil is actively supporting the National Orthopaedic Society since over 15 years. This second agreement with a strong regional pharmaceutical company underscores the commercial attractiveness of our lead products. It also provides us with additional resources to advance the development of our proprietary products, including funding our Canadian pivotal phase III trials for BST-CarGel®, BST-InPod™, and BST-DermOn™".

The agreement is subject to approval from the Board of Directors of both companies and from the regulatory authorities, and is conditional on the signing of definitive agreements.

About BioSyntech

BioSyntech is a biotechnology company specializing in the discovery, development and manufacturing of innovative cost-effective and physician-friendly therapeutic thermogels for regenerative medicine and therapeutic delivery. BioSyntech's Quality Management System is registered to ISO 9001:2000 standards. For additional information, visit www.biosyntech.com.

About Kuhnil

Established in 1951, Kuhnil is one of Korea's largest pharmaceutical companies. Based in Seoul, it is a top-ranked marketer of pharmaceuticals in Korea and is developing a leading position in biopharmaceuticals through its Bio Business Unit.

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Contact Information

  • BioSyntech Inc.
    Claude LeDuc
    President and CEO
    (450) 686-2437, ext. 233
    or
    The Equicom Group Inc.
    Francois Kalos
    (514) 844-6054
    fkalos@equicomgroup.com