Progen Scientists Profile Mechanism of PI-88 as Novel Antithrombotic at IBC's 11th Annual International Symposium - Advances in Anticoagulant, Antithrombotic and Thrombolytic Drugs.

Business Editors/Health & Medical Writers

BRISBANE, Australia--(BW HealthWire)--Oct. 4, 2000

Research conducted by Australian biotechnology company, Progen Industries, in collaboration with Loyola University Medical Center in Chicago, reveals Progen's anti-cancer lead compound, PI-88, to have a unique dual mechanism of action as a potentially potent anti-thrombotic and inhibitor of restenosis.

Progen Industries Ltd. (NASDAQ: PGLAF) (AXS: PGL) announced that recently conducted preclinical research of its leading anti-cancer compound, PI-88, reveals that this compound also has a novel profile as a potential anti-thrombotic and inhibitor of restenosis, this dual mechanism distinguishing PI-88 from many other anti-thrombotic drugs

Listed as one of the symposium highlights, the research breakthrough was presented at the IBC's Annual International Symposium, held this week in Boston, Massachusetts, in a scientific paper presented by Dr. Dennis Podger, pre-clinical research manager of Progen Industries Ltd. Dr. Jeanine Walenga from Loyola University Medical Center provided further details on PI-88's mechanism of action in a presentation at the symposium.

Preclinical research using Progen's lead compound, PI-88, conducted in collaboration with Professor Jawed Fareed's group at Loyola University Medical Center, Chicago, confirmed that PI-88 is potentially a potent anti-thrombotic agent. The studies showed that the compounds mechanism of action is different to that of commonly used anti-thrombotic agents such as heparin and low molecular weight heparins. Results indicate that PI-88 is a strong activator of heparin cofactor II (HCII) but not antithrombin III and that PI-88 exhibits very potent release of tissue factor pathway inhibitor (TFPI) in vivo.

Together with HCII activation and TFPI release, it is a potential inhibitor of thrombogenesis.

This research also indicates that, in addition to inactivating coagulation enzymes, PI-88 prevents restenosis by preventing the proliferation of smooth muscle cells that line arteries, which may ultimately block blood flow. Prevention of smooth muscle cell proliferation is affected via the inhibition of the enzyme heparanase by PI-88. This combination of unique actions may give PI-88 an advantage over currently used anti-thrombotics.

Progen's PI-88 is a sulfated oligosaccharide prepared by sulfation of phosphorylated mannose pentasaccharide which is obtained by the partial hydrolysis of phosphomannan from yeast.

Considered a world leader in the area of thrombotic disorders, Professor Fareed is professor of pathology and pharmacology at Chicago's Loyola University and director of hemostasis and thrombosis research laboratories for Loyola University Medical Center. Professor Fareed's research work on the pathogenesis of thrombotic disorders focuses on the role of plasmatic, vascular and cellular mediators of thrombogenesis, in particular the study of tissue factor in the mediation of the thrombotic efficacy in such arterial diseases as thrombotic stroke and myocardial infarction.

Progen is engaged in the research of carbohydrate-protein interactions as a source of potential therapeutics for a variety of disease conditions including cancer, cardiovascular disease and inflammation. Progen is a world leader in the research and development of inhibitors of heparanase, a glycosaminoglycan degrading enzyme. Progen's objective is to develop and commercialize novel therapeutics by leveraging its expertise pharmaceutical manufacturing processes and, through alliances with academia and research institutions, conduct proof of concept human clinical trials prior to selective out-licensing. The Company has a world class manufacturing facility that manufactures drug candidates under GMP for clinical trials.

Progen's lead compound is the sulfated oligosaccharide PI-88, which has been shown to have anti-angiogenic and anti-metastatic properties. The compound has also been shown to be a potent anti-thrombotic. PI-88 is currently in a Phase 1b trial in cancer patients under an Investigational New Drug submission with the United States Food and Drug Administration and the Clinical Trial Notification Scheme (CTN) with the Australian Therapeutic Goods Administration.

This press release contains forward-looking statements that are based on current management expectations. These statements may differ materially from actual future events or results due to certain risks and uncertainties, including without limitation, risks associated with drug development and manufacture, risks inherent in the extensive regulatory approval process mandated by the Australian Therapeutic Goods Administration and the United States Food and Drug Administration, the TGA and FDA requiring additional pre-clinical or clinical testing prior to commencing Phase II trials, patient recruitment, delays in the conduct of clinical trials and in obtaining the necessary approvals for additional clinical testing and for marketing of PI-88, market acceptance of PI-88 and other drugs, future capitals needs, general economic conditions, and other risks and uncertainties detailed from time to time in the Company's filings with the Australian Stock Exchange and the United States Securities and Exchange Commission.