Latest News 08-04-2003: New President and CEO makes way for international growth strategy AS OF APRIL 1, DANISH BIOTECH COMPANY BOREAN PHARMA A/S HAS APPOINTED DR. RIKU RAUTSOLA (49) AS NEW PRESIDENT AND CEO. THE APPOINTMENT IS PART OF BOREAN PHARMA’S FUTURE STAKE ON FOREIGN CAPITAL. “Within the next six months, we expect that Borean Pharma will prove its strength and potential as a strong and reliable player on the global Biomedical market. With the appointment of Riku Rautsola we have found an ideal manager with more than 20 years of international experience from both the pharmaceutical industry as well as the German biotech industry. Based on Riku Rautsola’s experience with management as well as development and marketing of well-known and well-respected pharmaceutical products, we expect to sign a collaboration deal with an international pharmaceutical manufacturer in early 2004,” says Mr. Bent Andersen, Chairman of the Board of Borean Pharma. “The fact that we are capable of attracting Riku Rautsola proves that our technology is unique and ground breaking,” says Mr. Hans Christian Thøgersen, who founded Borean Pharma in 1997 with scientist Michael Etzerodt. Up to this point, Hans Christian Thøgersen has functioned as CEO. In the future he will focus on the development of the company’s scientific and technological platform. “From a Danish point of view, the appointment of a first-rate manager like Riku Rautsola is extraordinary at this point in the relatively short history of the company. The reason for the appointment is that the composition of the Borean Pharma management is a crucial factor in securing capital primarily through American investment trusts. The American Biotech capital market is far more advanced than the European and investor demands are thereby higher,” says Mr. Jesper Zeuthen, Managing Director of BankInvest Technology A/S, who is the main investor in the company and responsible for the recruitment of Riku Rautsola. The expected interest from especially the US is due to the fact that it is less expensive to run Biotech companies in Europe than in American Biotech capitols such as San Francisco where expenses for wages and housing are higher. Borean Pharma was founded by Hans Christian Thøgersen and Michael Etzerodt. They are both molecular scientists from the University of Aarhus in Denmark where they have been developing the technological and patented platform during several years. Since January last year, the company, which now employs 28 people, received a capital infusion of $7.8 mill./EUR 7.4 mil and another $3.5 mill./EUR 3.4 mill. is on the way. With the $3.5 mill./EUR 3.4 mill., the first round of financing is complete and the financial foundation for the company’s activities is built and will be ready in late 2004. Now the second round of investment from venture investors has commenced and here the aim is $17.1 mil/EUR16.2 mill. The increased focus on international investors is due to their international network. In 2002, Borean Pharma spent $2.4 mill./EUR 2.3 mill. on development, patents, licences and administration. During the next six months, which is a couple of years sooner than expected, Borean Pharma expects to be able to prove the effect of the company’s technology through animal testing. For further information please contact Riku Rautsola: +45 40 44 41 45 Facts Riku Rautsola Riku Rautsola was born and raised in Finland. He has a Ph.D. in Economics from the University of Munich and he has held prestigious appointments in management and marketing in the German companies Boehringer Ingelheim, Beiersdorf and Fresenius and was stationed in China and the US. Among other things, Riku Rautsola is associated with products for treatment of arthritis, benign prostate, skin diseases and the famous Hansaplast. His most recent position was CEO of the German Biotech company Cosmix Molecular Biologics Ltd. Furthermore, in 2002, he co-founded an organisation of international pharmaceutical companies and public organisations such as Boehringer Ingelheim, Bristol Meyers Squibb, Glaxo, Roche along with WHO, Unicef and UNAIDS who is working to hasten and spread HIV-treatment in the developing countries. Borean Pharma A/S Technology Borean Pharma posseses and utilizes three key patented proprietary technologies. The proprietary C-type lectin related protein library has the potential of providing Borean a huge pool of proprietary antibody mimics. The Borean trimerized tetranectin module is a carrier for proteins, protein fragments and peptides for target ligands. Simultaneously, the trimer prolongs the half-life of these ligands thus enhancing their medical and therapeutic value. (Preclinical data for lipoprotein A (Apo A) support this.) Borean protein refolding technology enables an inexpensive, efficient and fast production of proteins, such as antibody mimics, in large scale in E. coli (a laboratory cell culture). Borean was the god of the North Wind in Greek mythology.