Artimplant and Mölnlycke Health Care sign licensing agreement within the area of wound care

Artimplant and Mölnlycke Health Care sign licensing agreement within the area of wound care Artimplant AB and Mölnlycke Health Care AB have today signed a collaboration and licensing agreement concerning the joint development of new, highly-advanced products for the treatment of chronic wounds and burns based on Artimplant's patented technology of biodegradable polymer materials. The companies have been working over the past three years on a joint research project evaluating the potential for the development of these products. This project is now entering its final stage. The next step involves process development which will be instituted immediately and will then be followed by clinical studies. It is expected that it will be possible to launch the first product onto the market in 2006. Process development for the future production is being jointly financed. Mölnlycke Health Care is financing clinical studies. Artimplant is paid royalties by Mölnlycke from the sale of wound care products based on Artimplant's patented technology. This is Artimplant's first licensing agreement and it is a proof that Artimplant's material technology has substantial commercial potential, says Artimplant's CEO, Anders Cedronius. In the near future, we will be concluding further commercial agreements within the area of orthopaedics, principally for our cruciate ligament implant, the Artelon Augmentation Device ACL and the Artelon CMC-1 Spacer implant for thumb-base arthritis, and then in the long run, other orthopaedic applications from our product development portfolio too, says Anders Cedronius. Peter Hentschel, director of the Wound Care Business Area at Mölnlycke Health Care, comments: We are very satisfied with the collaboration between our companies so far, and particularly so with today's agreement. A general increase in life expectancy means there is a steady increase in the occurrence of chronic wounds. The demand for highly-advanced products that can stimulate and accelerate the healing processes is therefore growing significantly. We believe that with Artimplant's technology, we have found a method of accelerating and facilitating a natural reconstruction of tissues, and this could end the need for difficult and painful skin grafts, explains Peter Hentschel. For further information, please contact: Ulf Åkerblom Anders Cedronius Director Corporate Communications CEO Tel: +46 31 746 56 00 Tel: +46 31 746 56 89 Cellphone: +46 709 67 59 99 Cellphone: +46 706 42 27 45 E-mail: ulf.akerblom@artimplant.se E-mail: anders.cedronius@artimplant.se Homepage: www.artimplant.se Artimplant MÖLNLYCKE HEALTH CARE Artimplant focuses on solutions Mölnlycke Health Care, with its for problems within the area of corporate headquarters in reconstructive surgery. Göteborg, Sweden, is one of the Artimplant is active in the world's leading manufacturers of research and development of single-use surgical and wound biodegradable implants with the care products. The surgical goal of recreating active lives. assortment is marketed under two The material the Company has brand names, BARRIER® and developed is based on a new Klinidrape® and the wound care technology that is opening new assortment under the brand name markets in the field of Tendra®. orthopaedic surgery as well as other specialised fields where Total annual sales are at there are significant medical present app. EUR 500M and the needs. After many years of group has about 4000 employees. working with development, Manufacturing takes place in Artimplant is now entering a seven factories located in marketing phase which involves Finland, Belgium, Czech licensing out to global Republic, Thailand and Mexico. partners. Sales and marketing is carried Artimplant has already developed out in three organisations; USA, and patented several different Europe and Export Markets in the degradable ligament implants rest of the world, altogether that are now undergoing clinical comprising 25 subsidiaries and a trials. The Company is focusing number of international on three high-priority areas for representation offices. this degradable material: an augmentation device for anterior Mölnlycke Health Care started cruciate ligament operations as an independent reconstruction, hand surgery and company in 1998 and the major augmentation sutures. shareholders are Nordic Capital and the Swedish 6th AP-fund. Artimplant is listed on the OM Stockholm Exchange's O list. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/09/26/20020926BIT00200/wkr0001.doc http://www.waymaker.net/bitonline/2002/09/26/20020926BIT00200/wkr0002.pdf