NOBEX/BIOCON TO DEVELOP ORAL INSULIN PRODUCT.

NOBEX Corporation, a U.S.-based drug development company specializing in medicinal chemistry-based drug delivery and Biocon, Limited, India's leading biotechnology company, have entered into a joint development agreement for the global co-development of an oral insulin product for the treatment of diabetes. The financial terms of the agreement were not disclosed.

The collaboration combines the proprietary peptide oral-delivery and process technology of NOBEX with the proven peptide production capabilities of Biocon. The firms will focus on the development of an oral insulin product that can be used to treat a diabetic population that will increase to more than 200 million worldwide by the year 2030.

"NOBEX has demonstrated in clinical studies that the oral delivery of insulin is a feasible medical treatment," said Dr. Christopher H. Price, president and CEO of NOBEX. "NOBEX has recently discovered a new modified insulin molecule with much better oral absorption and potency than previous compounds. And now, we are taking the critical next steps toward turning good science into a commercially viable product with Biocon, a partner who brings extensive resources and expertise in insulin manufacturing and development."

"All of us at Biocon are pleased and excited with the opportunity to partner with NOBEX on such an important product opportunity," said Ms. Kiran Mazumdar-Shaw, chairman and managing director of Biocon. "Our company is committed to finding biotechnology solutions for customers worldwide. By working with NOBEX to explore the development of a much-needed new means of treating diabetes, we are taking another step forward to support our growing reputation in the U.S. and global marketplace."

Both companies indicated that the collaborative effort in developing the oral insulin product will require several years to reach the market but that they expect to have meaningful clinical data and progress toward manufacturing within two years.

About Biocon

Biocon is India's premier biotechnology company with strongly growing sales and profits. Biocon employs more than 600 highly qualified Scientists at its campus in Bangalore. Together with its subsidiaries, Syngene and Clinigene, Biocon is a fully integrated Biotechnology enterprise with global scale capabilities in biopharmaceuticals and successful initiatives in drug discovery, clinical development, bioprocessing and global marketing. Biocon develops products and solutions to partners and customers across the globe. Many of these products have USFDA and EMEA acceptance.

About NOBEX

NOBEX Corporation is a privately-held drug product development company that is the pioneer in medicinal and polymer chemistry applied to peptide drugs to enable and optimize their delivery by the oral route. NOBEX focuses on developing products for chronic indications in the metabolic and cardiovascular therapeutic areas. The company has been based in the Research Triangle Park in North Carolina since 1993. The company has advanced three products into clinical study with several other products in preclinical development on its own and with partners or collaborators.

For more information, visit http://www.nobexcorp.com or call 919/433-2232.