ProMetic Life Sciences Inc.
TSX : PLI

ProMetic Life Sciences Inc.

December 19, 2006 14:50 ET

ProMetic Closes C$11.6 Million Debt Financing and Removes the Convertible Notes

MONTREAL, QUEBEC--(CCNMatthews - Dec. 19, 2006) - ProMetic Life Sciences Inc. (TSX:PLI) ("ProMetic") announced today that it has secured a non-convertible debt facility with a US based Financial Institution for in the amount of $11.6 Million. The proceeds of this loan have been used to reimburse the convertible note contracted in December of last year, with a residual amount of $ 3.2 Million that will be used for general corporate purposes.

"The convertible loan instrument had an adverse effect on our share price throughout 2006", stated Pierre Laurin, President and CEO of ProMetic who added: "This debt financing signals the anticipated revenue growth in our UK subsidiary and will help take the lid off our share value going forward".

Terms of the loan are 33 months, at an interest rate of prime plus 6.75%. There are no performance-related covenants under this agreement and ProMetic will be paying only the interest portion of the loan for the first six months of the term. This loan agreement also includes a 14% warrant coverage at $0.31 per share, subject to certain potential adjustments.

"This loan agreement provides for significantly more flexibility and less accounting complexities, as a result of the absence of convertibility and restrictive, materially adverse covenants", commented Stephane Archambault, Vice-President Finance. "This will allow the company to continue to execute on its plan and unlock value for its shareholders".

Zed Financials, an investment broker, acted as financial advisor to ProMetic on a performance basis and received a compensation of 5% of the overall transaction value.

ABOUT PROMETIC LIFE SCIENCES INC.

ProMetic Life Sciences Inc. (TSX:PLI) (www.prometic.com) is a biopharmaceutical company specialized in the research, development, manufacture and marketing of a variety of commercial applications derived from its proprietary Mimetic LigandTM enabling technology. This technology is used in large-scale purification of biologics and the elimination of pathogens. ProMetic is also active in therapeutic drug development with the mission to bring to market effective, innovative, lower cost, less toxic products for the treatment of inflammation and cancer. Its drug discovery platform is focused on replacing complex, expensive proteins with synthetic "drug-like" protein mimetics. Headquartered in Montreal (Canada), ProMetic has R&D and manufacturing facilities in the UK and business development activities in the US, Europe, Asia and MENA countries (Middle East and North Africa).

FORWARD LOOKING STATEMENTS

This press release contains forward-looking statements about ProMetic's objectives, strategies and businesses that involve risks and uncertainties. These statements are "forward-looking" because they are based on our current expectations about the markets we operate in and on various estimates and assumptions. Actual events or results may differ materially from those anticipated in these forward-looking statements if known or unknown risks affect our business, or if our estimates or assumptions turn out to be inaccurate. Such risks and assumptions include, but are not limited to, the Company's ability to develop, manufacture, and successfully commercialize value-added pharmaceutical products, the availability of funds and resources to pursue R&D projects, the successful and timely completion of clinical studies, the ability of the Company to take advantage of business opportunities in the pharmaceutical industry, uncertainties related to the regulatory process and general changes in economic conditions. You will find a more detailed assessment of the risks that could cause actual events or results to materially differ from our current expectations on page 17 of the Company's Annual Information Form for the year ended December 31, 2005, under the heading "Risk Factors". As a result, we cannot guarantee that any forward-looking statement will materialize. We assume no obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason.

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