GlaxoSmithKline and Biovitrum Enter Collaboration on Therapies for Obesity and Other Disorders

GlaxoSmithKline and Biovitrum Enter Collaboration on Therapies for Obesity and Other Disorders London and Stockholm, October 23, 2002 - GlaxoSmithKline plc (GSK) and Biovitrum AB today announced that they have signed a worldwide agreement to develop and commercialise Biovitrum's 5-HT2C receptor agonists for the treatment of obesity and other medical disorders. The most advanced compound included in the collaboration is BVT.933, an appetite-suppressing compound that Biovitrum has advanced to Phase II clinical trials. Under the terms of the agreement, GSK will have exclusive rights to develop, register, manufacture and commercialise Biovitrum's existing collection of proprietary 5-HT2C receptor agonist compounds. Biovitrum retains the exclusive right to commercialise products arising from the collaboration in the Nordic countries. Certain ongoing studies, including the Phase II clinical study for BVT.933, will be completed by Biovitrum, after which GSK will fund and conduct further development, registration and manufacturing activities. Development will be co- ordinated by a committee with representation from both companies. GSK will pay Biovitrum an upfront fee and periodic milestone payments related to development progress, regulatory submissions and approvals. If successful, this would result in $150 million in potential payments to Biovitrum over the term of the agreement related to the obesity indication. Additional milestone payments are payable for development of products for other indications, in addition to royalties on future sales of all products arising from the collaboration. Dr Lawson Macartney, Cardiovascular,Metabolic & Urogenital Therapy Area Strategy Team Head, GlaxoSmithKline said: "Obesity is a troubling disease with epidemic prevalence rates in both developed and developing countries that will require further scientific advances to combat effectively. We are really pleased that Biovitrum has chosen GSK as its partner of choice. We look forward to working with Biovitrum to bring these innovative treatments to people who struggle with obesity and other disorders." "GSK has emerged as the partner of choice for our 5-HT2C receptor agonist programme", said Mats Pettersson, CEO of Biovitrum. "They have the strategic focus and the worldwide capabilities to successfully develop and commercialise products for the treatment of both metabolic diseases and CNS disorders". Paul Potocki, head of Commercial Operations at Biovitrum said, "We are also delighted to have reached a development and license agreement with a strong spirit of partnership. Biovitrum now looks forward to support the development and market launches of exciting new products that have potential for improving health and quality of life". GSK Enquires UK Media enquiries: Martin Sutton (020) 8047 5502 Alan Chandler (020) 8047 5502 Siobhán Lavelle (020) 8047 5502 US Media enquiries: Nancy Pekarek (215) 751 7709 Mary Anne Rhyne (919) 483 2839 Patricia Seif (215) 751 7709 European Analyst/Investor enquiries: Duncan Learmouth (020) 8047 5540 Philip Thomson (020) 8047 5543 Joan Toohill (020) 8047 5542 US Analyst/ Investor enquiries: Frank Murdolo (215) 751 7002 Tom Curry (215) 751 5419 Biovitrum Enquiries Mikael Widell Douglas Pretsell Biovitrum AB Noonan Russo Presence EURO Tel: +46 8 697 20 00 RSCG Mobile: +46 70 311 99 60 Tel: +44 (0)20 7726 4452 mikael.widell@biovitrum.com d.pretsell@nrp-euro.com Notes to Editors: GlaxoSmithKline - one of the world's leading research-based pharmaceutical and healthcare companies - is committed to improving the quality of human life by enabling people to do more, feel better and live longer. For company information, visit GlaxoSmithKline at www.gsk.com. Biovitrum is a biotech company active in the discovery and development of drugs to treat metabolic diseases, such as obesity and type 2 diabetes, and in the development of protein therapeutics, with metabolic diseases and oncology as targeted therapy areas. The company has a strong intellectual property and technology platform, with a number of compounds in clinical development. Biovitrum, located in Stockholm and Uppsala, Sweden, is one of the largest biotech companies in Europe with about 530 employees, of which more than 420 work within R&D. Annual revenues, including royalties and contract service fees, finance the major part of the research budget of SEK 700 million per annum. Obesity Obesity is a rapidly increasing global health problem that causes complications such as hypertension, type 2 diabetes, dyslipidemia and atherosclerosis, which in turn can lead to coronary heart disease, stroke and premature death. In addition, obesity is associated with sleep apnoea, osteoarthritis and increased risk for cancers of the breast, prostate and colon. Obesity now affects 100 million people, from an overweight population of 1 billion individuals, and the prevalence has increased by 30% in the last decade alone. Obesity is estimated to be responsible for 6.8 % of all health care expenditures in the United States and places a massive financial burden on health care providers worldwide. Efforts to change the intake of high fat food and combat an increasingly sedentary lifestyle have been insufficient. So far, only two pharmacological treatment alternatives for obesity are available and the need for more effective therapy alternatives is enormous. Selective 5-HT2C receptor agonist that suppresses appetite: 5-HT is also known as serotonin, a neurotransmitter (a chemical that carries messages between nerve cells). Neurotransmitters are released by nerve cells and stimulate receptors on other nerve cells to transmit nerve messages. There is a range of different receptors that are sensitive to serotonin; one of these is the 5-HT2C receptor, which is linked to the regulation of appetite. An agonist is a drug that stimulates receptors (conversely antagonists block receptors). 5-HT2C receptors have been shown through many studies to play a major role in appetite control. BVT.933 selectively stimulates the 5-HT2C receptor. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/10/23/20021023BIT01220/wkr0001.doc http://www.waymaker.net/bitonline/2002/10/23/20021023BIT01220/wkr0002.pdf

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Biovitrum is one of the larger biopharma companies in Europe. With operations in Sweden and in the UK Biovitrum conducts research and develops pharmaceuticals for unmet medical needs both for common diseases and conditions that affect smaller patient populations.Biovitrum focuses on drugs for the treatment of obesity, diabetes, inflammation and blood diseases as well as a number of well defined niche indications. Biovitrum develops and produces protein-based drugs on a contractual basis and markets a range of specialist pharmaceuticals primarily in the Nordic countries. Biovitrum has approximately 500 employees.