Biosyntech Inc., to Unveil Prototype of Innovative Diagnostic Instrument At International Cartilage Repair Society Meeting in Sweden.

Business Editors

MONTREAL, Quebec--(BUSINESS WIRE)--April 26, 2000

Firm has developed first cartilage disease diagnostic instrument for

arthritis

A highly specialized diagnostic instrument, the ARTHRO-BST(TM), an arthroscopic probe developed by BIOSYNTECH INC., of Montreal for the diagnosis of arthritis, will be presented at the 3rd Symposium of the International Cartilage Repair Society, being held this week in Goteborg, Sweden.

"This is the first such instrument designed to address an important unmet medical need for objective diagnosis of cartilage disease and to provide an evaluation of cartilage repair after therapies," says Dr. Michael Buschmann, Vice-president, Research and Development at BIOSYNTECH. "The ARTHRO-BST(TM) is based on an objective, quantitative functional evaluation of cartilage and the arthroscopic procedure presents the benefits of being minimally invasive and rapid with the added advantage of low cost", adds Dr. Buschmann.

The ARTHRO-BST(TM) is based on proprietary technology held by BIOSYNTECH and it measures streaming potentials during the compression of the cartilage with an array of microelectrodes. Streaming potentials are sensitive indicators of arthritis. The ARTHRO-BST(TM) is based on a simple design with no moving parts, making it easy to manufacture and to sterilize. Because of its innovative design, use of the device requires no special skills and only minimal user training.

The ARTHRO-BST(TM) provides an objective and sensitive measure to evaluate cartilage functional properties in the early and potentially reversible stages of arthritis. The device will also address an unmet medical need in the unbiased evaluation of outcome following therapeutic interventions to treat joint and articular diseases.

"Current assessment of cartilage diseases is mostly subjective, with little functional evaluation," notes Amine Selmani, Ph.D., President and CEO of BIOSYNTECH. "For example, X-ray imaging methods do not provide adequate diagnosis capability because of cartilage transparency. As for refined magnetic resonance imaging (MRI) techniques for cartilage, they involve high costs and currently lack specificity, limiting their potential for a broad market".

"We are excited by the potential of this innovation," says Selmani. "There is presently no FDA approved arthroscopic device on the market for the diagnosis of arthritis through the evaluation cartilage quality".

The ARTHRO-BST(TM) is planned to be the first objective arthroscopic probe for precise and non-destructive functional diagnosis of arthritis in a growing market of age-related problems. Arthritis, a degeneration of articular cartilage, affects more than four million Canadians and 42 million Americans. Total costs (medical care and loss of productivity) of arthritis are estimated by The Arthritis Society at almost $1.8 billion each year in Canada and at approximately $65 billion annually in the United States by the National Center for Chronic Disease Prevention and Health Promotion. The potential annual international market for ARTHRO-BST(TM) is approximated at $500 million.

Montreal-based BIOSYNTECH which develops medical instruments for the evaluation of cartilage repair and diagnosis in arthritis, is active in the development of a number of platform technologies aimed at the generation of innovative solutions to efficiently deliver biologically active therapeutics. The resulting proprietary technologies offer a range of delivery vehicles with unmatched properties in a broad range of applications. The attributes of BIOSYNTECH's portfolio of biomaterials are especially adapted for the new generation of therapeutics such as recombinant proteins, genetic material and living cells.

BIOSYNTECH has developed four main technology platforms :

i)   injectable thermos-sensitive self-forming hydrogel for drug
     delivery;

ii)  solvent and detergent-free micro-speres for drug delivery;

iii) chondrocytes delivered arthroscopically in an adhesive
     exogenous matrix for the treatment of cartilage defects; and

iv)  bone filling materials and injectable calcium-phosphate for
     the prevention of hip fractures due to osteoporosis.

BIOSYNTECH's common stock is traded under the symbol "BSYI" on the Over-The-Counter Bulletin Board (OTC BB). More information about BIOSYNTECH is available at www.biosyntech.com.

This press release contains "forward-looking" statements, as defined in the United States Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and the actual results and future events are detailed from time to time in the company's filings with the regulatory authorities having jurisdiction. No regulatory authority has approved or disapproved the content of this release.