INNOVIVE Pharmaceuticals Announces First Quarter 2007 Financial Results and Corporate Highlights.

NEW YORK -- INNOVIVE Pharmaceuticals, Inc. (OTCBB:IVPH) today announced financial results for the three months ended March 31, 2007, and provided an update on recent corporate and clinical activities.

Recent Corporate Highlights

* Completed a $15 million equity financing with leading healthcare-focused investors.

* Presented positive interim results from a Phase I clinical trial with INNO-406 in Gleevec[R]-resistant or intolerant chronic myelogenous leukemia at the American Association for Cancer Research Annual Meeting.

* Received U.S. FDA orphan drug designation for INNO-406, a Bcr-Abl/Lyn dual kinase inhibitor.

* Strengthened and expanded Board of Directors with appointments of Angelo De Caro and Philip Frost, M.D., Ph.D.

"With the completion of our recent equity financing, we remain in position to continue advancing our clinical-stage development programs," said Steven Kelly, President and CEO of INNOVIVE Pharmaceuticals. "We are encouraged by the recent announcement of data from our lead program, INNO-406, for the treatment of Gleevec-resistant or intolerant chronic myelogenous leukemia. In the coming months, we will continue planning for the initiation of two independent pivotal studies with INNO-406 in chronic myelogenous leukemia. We also expect to initiate a Phase II clinical trial with INNO-206 in small cell lung cancer and a pivotal Phase II clinical trial with Tamibarotene in acute promyelocytic leukemia."

First Quarter 2007 Financial Results

Operating expenses totaled $3.7 million and $1.6 million for the quarters ended March 31, 2007 and March 31, 2006, respectively. The increase in operating expenses was primarily due to the ongoing development costs of our oncology programs, including the Phase I clinical studies and development activities for INNO-406, development activities related to our planned Phase II study of INNO-206, and preparation for the pivotal studies with Tamibarotene and INNO-406.

Cash and cash equivalents and short-term investments totaled $0.5 million at March 31, 2007, as compared to $2.5 million at December 31, 2006.

INNOVIVE reported a net loss of $3.6 million, or $0.40 per share for the three months ended March 31, 2007. This compares with a net loss of $1.8 million, or $0.51 per share for the three months ended March 31, 2006.

About INNOVIVE Pharmaceuticals

INNOVIVE Pharmaceuticals, Inc. acquires, develops and commercializes novel therapeutics addressing significant unmet medical needs in the fields of oncology and hematology. The company has four drug programs in clinical development: INNO-406, Tamibarotene, INNO-206, and INNO-305, for the treatment of chronic myelogenous leukemia, acute promyelocytic leukemia, small cell lung cancer, and acute myelogenous leukemia, respectively. For additional information visit www.innovivepharma.com.

Forward-looking Statements

This material contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These include statements concerning plans, objectives, goals, strategies, future events or performance and all other statements which are other than statements of historical fact, including without limitation, statements containing words such as "believes," "anticipates," "expects," "estimates," "projects," "will," "may," "might" and words of a similar nature. Such statements involve risks and uncertainties that could cause actual results to differ materially from those projected. Risks that may affect forward-looking information contained in this press release include INNOVIVE's need for operating capital, the risk that the results of clinical trials may not support INNOVIVE's claims, the possibility of being unable to obtain regulatory approval of INNOVIVE's product candidates, INNOVIVE's reliance on third party researchers to develop its product candidates and its lack of experience in developing pharmaceutical products. These and other risks are discussed in INNOVIVE's Annual Report on Form 10-K and its other periodic reports and its registration statements filed with the SEC. The forward-looking statements contained herein represent the judgment of INNOVIVE as of the date this material was drafted. INNOVIVE disclaims, however, any intent or obligation to update any forward-looking statements.

Gleevec[R] is a registered trademark of Novartis Pharmaceuticals Corporation.

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