3SBio and Isotechnika Pharma Announce Strategic Partnership
to Develop and Commercialize Voclosporin in China
Shenyang, China – August 24, 2010 – 3SBio Inc. (“3SBio”) (NASDAQ: SSRX), a leading China-based biotechnology company
focused on researching, developing, manufacturing and marketing biopharmaceutical products and Isotechnika Pharma Inc.
(“Isotechnika”) (TSX: ISA), a biopharmaceutical company focused on the discovery and development of immune modulating
therapeutics, today announced the signing of a development and commercialization agreement for voclosporin, a next
generation calcineurin inhibitor being developed for use in the prevention of organ rejection following transplantation and the
treatment of autoimmune diseases.
Under the terms of the agreement, Isotechnika will grant 3SBio exclusive rights to all transplant and autoimmune indications of
voclosporin in China, including Hong Kong and Taiwan, excluding ophthalmic indications and medical devices which were
previously licensed to Lux Biosciences, Inc. and Atrium Medical Corporation, respectively. 3SBio will be responsible for the
clinical development, registration and commercialization of voclosporin in China. Isotechnika will provide, under separate
agreement, commercial supply to 3SBio on a cost-plus basis. Isotechnika will receive an upfront non-refundable licensing
payment of US$1.5 million. Isotechnika will also receive ongoing royalties based on sales of voclosporin by 3SBio.
3SBio will invest the US$4.5 million in Isotechnika through a three-year convertible debenture which will pay interest of 7%
payable semi-annually. Isotechnika has the option to pay interest in cash or to issue new shares at the prevailing price when the
interest is payable. 3SBio has the right to convert the debenture at any time into common equity of Isotechnika at a conversion
price of C$0.155 per share. At maturity, any remaining balance will be paid by the issuance of common shares at a price of
C$0.155 per share. 3SBio will also