CombiMatrix Announces Co-Development Agreement with STMicroelectronics to Develop Next Generation Point-of-Care Diagnostics Products.

NEWPORT BEACH, Calif. -- Acacia Research Corporation (Nasdaq:CBMX) (Nasdaq:ACTG) announced today that its CombiMatrix Group has entered into a co-development agreement with STMicroelectronics (NYSE:STM), a global leader in the development and manufacturing of semiconductor products. The co-development will combine CombiMatrix's proprietary ElectroChemical Detection Technology (ECD) with ST's In-Check(TM) Lab-on-Chip platform to investigate the feasibility of addressing the research and point-of-care diagnostics markets. Under the terms of the agreement, in addition to the sharing of technology and knowledge, ST will financially support CombiMatrix in this work.

ST's In-Check Lab-on-Chip (LOC) platform is a powerful molecular diagnostics tool for DNA amplification and analysis. It brings the exponential DNA-multiplying power of the Polymerase Chain Reaction (PCR) into a cost-effective and convenient format. When combined with CombiMatrix microarrays, the electrochemical detection technology should allow the LOC system to be as sensitive, or more sensitive, than current fluorescent/optical detection techniques and provide a number of advantages over optical detection.

"With ST's experience as a microfluidic supplier, we are interested in advancing our technological capabilities into high-growth markets such as biotech," said Stefano Lopriore, Business Development Manager for ST's Microfluidics Division. "This relationship helps us to move in that direction through the sharing of knowledge and technology. We are impressed with CombiMatrix's technology and are excited to enter into this relationship."

"ST is one of the world's largest and most successful semiconductor companies. We are pleased that they view biotech as an area of opportunity and have chosen to work with CombiMatrix in this strategic area," said Amit Kumar, President and CEO of CombiMatrix. "We look forward to a successful long-term relationship with them."

About ST's In-Check Lab-on-Chip platform

Clinicians no longer need to compromise between sensitivity, specificity and speed. The In-Check microfluidic design reduces the PCR cycle time by at least 70% compared to the same protocol run on a conventional thermocycler.

The In-Check platform is based on a silicon chip that integrates all the functions needed to identify given oligonucleotide sequences in a sample, including microfluidic handling, a miniaturized PCR reactor and a custom microarray. The chip is mounted on a 1"x3" plastic slide that provides the necessary mechanical, thermal, electrical and fluidic connections.

In addition to the slide itself, which can be conveniently used on most lab equipment commonly available in microbiology labs, a dedicated set of optimized instruments is provided. Users can easily be trained to operate the platform to generate molecular diagnostic information where it is most useful, from a central lab location to patient point-of-care. PCR has very quickly become an essential tool for improving human health and human life.

Information about STMicroelectronics is available at www.st.com.

ABOUT ACACIA RESEARCH CORPORATION

Acacia Research Corporation comprises two operating groups: Acacia Technologies Group and CombiMatrix Group.

The CombiMatrix group is developing a platform technology to rapidly produce customizable arrays, which are semiconductor-based tools for use in identifying and determining the roles of genes, gene mutations and proteins. The CombiMatrix's group's technology has a wide range of potential applications in the areas of genomics, proteomics, biosensors, drug discovery, drug development, diagnostics, combinatorial chemistry, material sciences and nanotechnology.

The Acacia Technologies group develops, acquires, and licenses patented technologies. Acacia controls 30 patent portfolios, which include 128 U.S. patents, and certain foreign counterparts, covering technologies used in a wide variety of industries including audio/video enhancement & synchronization, broadcast data retrieval, computer memory cache coherency, credit card fraud protection, database management, data encryption & product activation, digital media transmission (DMT(R)), digital video production, dynamic manufacturing modeling, enhanced Internet navigation, image resolution enhancement, interactive data sharing, interactive television, Internet access redirection, interstitial Internet advertising, laptop docking station connectivity, microprocessor enhancement, multi-dimensional bar codes, network data storage, resource scheduling, rotational video imaging and spreadsheet automation.

Information about the Acacia Technologies group and the CombiMatrix group is available at www.acaciaresearch.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:

This news release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including the recent economic slowdown affecting technology companies, our ability to successfully develop products, rapid technological change in our markets, changes in demand for our future products, legislative, regulatory and competitive developments and general economic conditions. Our Annual Report on Form 10-K, recent and forthcoming Quarterly Reports on Form 10-Q, recent Current Reports on Forms 8-K and 8-K/A, and other SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.