BIOADVANCE GREENHOUSE FUND COMMITS $1.5 MILLION

BIOADVANCE GREENHOUSE FUND COMMITS $1.5 MILLION

IN SEED FINANCING TO THREE REGIONAL LIFE SCIENCE COMPANIES

Capital supports emerging Southeastern Pennsylvania companies working in cancer, arthroscopic joint repair and biomolecular analysis

Philadelphia, PA - September 12, 2008-BioAdvance, the Biotechnology Greenhouse of Southeastern Pennsylvania, today announced new seed-stage investments totaling $1.5 million in three emerging life sciences companies in Southeastern Pennsylvania. With these new investments, BioAdvance has now committed almost $14 million in 24 life sciences companies and 13 academic medical research projects. BioAdvance's investments have enabled its portfolio companies to leverage an additional $900 million in subsequent capital into the region, including up to $400 million from the sale of Protez Pharmaceuticals to Novartis in July.

"This current round of investments reflects the diversity of industry talent and scientific expertise within the Greater Philadelphia region," said BioAdvance managing director and CEO, Barbara S. Schilberg. "The ability to combine the two is one of our region's unique capabilities, and the track record over the last five years shows that it is a formula for success.  We look forward to working with this new generation of entrepreneurs leading life sciences companies to the next phase of growth."

The new companies selected for investment were chosen following BioAdvance's comprehensive review process.  In this process, internal and external experts in various disciplines and the investor community review each company's proposal.  The new companies selected to receive BioAdvance funding of $500,000 (each) are:

• Formae, Inc., Paoli, PA - Founded by Kevin Mansmann, M.D. (a Fellow of the American Academy of Orthopaedic Surgery and head of Orthopedic Sports and Arthritis Surgery in Paoli, PA). Formae is focused on developing a proprietary pipeline of novel products in arthroscopic joint resurfacing and replacement.

• Niiki Pharma Inc, with offices in Philadelphia, PA and Hoboken, NJ, is a cancer drug development company founded by experienced biotech and pharmaceutical company executives.  The company is developing three novel drug candidates with mechanisms of action that differ from cancer treatments currently on the market and which are designed to preferentially target  the cancer cells.  Two of these compounds have been tested in patients.

• Phoenix S&T, Chester, PA - Founded by former DuPont scientific researcher, Sau Lan Tang Staats, Ph.D., Phoenix S&T (PST) is focused on developing devices for biomolecular analysis in the mass spectrometry market. PST's patented, high-performance, injection-molded nanospray devices are specifically for use in proteomics and clinical diagnostics. BioAdvance funding allowed PST to relocate to Pennsylvania (Delaware County Keystone Innovation Zone) from Maryland.

Investment funding from BioAdvance is available through the $20 million Greenhouse Fund established in 2002.  The Greenhouse Program invests up to $1 million in seed-stage companies over the life of an investment. Initial seed investments are up to $500,000 and BioAdvance also provides its funding recipients with business assistance and critical resources as they grow. The program also invests up to $50,000 in pilot investments. These are focused on helping pre-seed stage companies and academic projects with critical activities and research.

Life sciences entrepreneurs interested in applying for BioAdvance seed-stage funding are encouraged to visit the BioAdvance website (www.bioadvance.com [1]).

About BioAdvance

BioAdvance is one of the nation's leading investors providing pre-seed and seed-stage funding to emerging life sciences companies. Established in 2002 with $33.8 million from the Commonwealth of Pennsylvania's share of tobacco settlement money, BioAdvance identifies and invests in promising research and technologies that could lead to important advances in medicine and human health. To date, BioAdvance has invested almost $14 million in 24 life sciences companies and 13 academic projects. Companies in the BioAdvance portfolio are working to develop products to treat serious health problems including Alzheimer's disease, obesity, diabetes, macular degeneration and cancer and have gone on to raise over $900 million in additional capital. For more information visit http://www.bioadvance.com [1].