HALF-YEARLY REPORT JANUARY-JUNE 2012

• Net sales rose to SEK 2,092k (1,030k), up 103% compared with the same period in 2011.
• Loss after financial items was SEK k 8,438 (loss: SEK 6,784k).
• Comprehensive income per share, based on a weighted average of the number of outstanding shares, totaled SEK -1.10 (-1.48).
• Cash flow from operating activities during the period was SEK -7,346k (-6,607k).
• Cash and cash equivalents at the end of the period totaled SEK 14,772k (14,161k).

Second quarter highlights

• Genovis introduced FabRICATOR®96-well plate for HTS applications at conferences in Canada and the UK.
• Genovis signed exclusive distribution agreement with Sigma-Aldrich®for sales in Asia, Southeast Asia and South America.
• Genovis hired international sales manager to strengthen organization.
• Reverse share split 1:10 with record date April 10.
• Fully subscribed rights issue with preferential rights for existing shareholders brought Genovis SEK 12.1 million before issue costs.
• Private placement to LMK Ventures AB brought Genovis SEK 5 million.

COMMENTS FROM THE CEO

The most important events for Genovis during the second quarter were the agreement with Sigma Aldrich, doubled net sales compared with the same period last year and the addition of a sales manager. The distribution agreement is essential for us to quickly and more effectively reach customers in rapidly growing markets for production of biologics and biosimilars, especially in Asia, Southeast Asia and South America. With a partner like Sigma Aldrich, which has a well-established and recognized brand, we can supply products to customers anywhere, with short delivery times and local technical support. Adding a sales manager enables us to strengthen our direct sales and focus on Genovis’ key customers and distributors, mainly in the US and Europe. These two measures have been high-priority objectives for 2012. Taken together, they create the conditions to meet the trend we are now seeing with growing demand from new customers and rising average order value from established customer accounts. During the period Genovis carried out a successful rights issue which provides the Company with the necessary strength and focus to commercialize its products.

Cost increases for the period are mainly due to an increase in marketing and sales campaigns. Production costs also increased slightly during the period, mainly because we implemented measures to increase production volumes and we developed improved and more efficient quality control procedures. In the slightly longer term, these initiatives will result in lower production costs per unit produced.

During the fall, we will continue to aggressively market all products in the protein engineering portfolio. Although we clearly prioritized our sales and marketing campaigns, our development projects are progressing according to plan and they are all generating good results. I look forward to discussing these results and products from our nano portfolio with customers in medical imaging. As a first step we will have a booth at the World Molecular Imaging Congress in September.

Lund in August

Sarah Fredriksson

CEO Genovis AB

For more information, please contact: Sarah Fredriksson, CEO, Genovis AB Tel: 4646 -101235 sarah.fredriksson@genovis.com

ABOUT GENOVIS

Genovis develops and sells innovative technologies from two unique product portfolios. The first includes enzymes that facilitate development and quality control for applications such as antibody-based drugs. The products launched to date are aimed at customers who work with development of drugs, new diagnostic methods and basic research.

The second consists of nanotechnology in new contrast agents and focuses on design, production and characterization of nanostructures as contrast agents in medical imaging. The nanostructures and methods that Genovis focuses on can also be used as carriers of various substances in the development of new drug delivery methods. The projects are mainly in-house, but also include collaborations with research groups, including at Lund University.

Genovis shares are listed on the First North OMX Nordic Exchange and Thenberg Fondkommission is our certified advisor.