NEW NUMBER OF SHARES AND VOTES IN KARO BIO AB (PUBL)

STOCKHOLM, December 30, 2009. Karo Bio AB (publ) (Reuters: KARO.ST) today announced that the company’s total number of shares as per December 30, 2009 amounts to 154,825,589 shares, corresponding to an equal number of votes. The increase in the number of shares and votes results from an issue of 38,706,397 shares under Karo Bio’s rights issue that was announced on October 26, 2009. For more information please contact: Per Olof Wallström, President Tel: +46 8 608 60 20 E-mail: p.o.wallstrom@karobio.se Erika Söderberg Johnson, CFO and responsible for Investor Relations Tel: +46 8 608 60 52 E-mail: erika.soderberg.johnson@karobio.se About Karo Bio Karo Bio is a drug discovery and development company specializing in endocrinology and targeting nuclear receptors as target proteins for the development of novel pharmaceuticals. The company has a project portfolio with innovative molecules that primarily target dyslipidemia, CNS-disorders, inflammation, and women’s health. In these areas, there are significant market opportunities and a clear need for pharmaceuticals with new mechanisms of action. Karo Bio develops compounds aimed at treating broad patient populations up to clinical proof of concept before out-licensing. In therapeutic niche areas, Karo Bio has the capacity to bring selected compounds into late stage clinical development and, potentially, to the market. In addition to the proprietary projects, Karo Bio has three strategic collaborations with international pharmaceutical companies for development of innovative therapies for the treatment of common diseases. Karo Bio is listed on NASDAQ OMX Stockholm since 1998 (Reuters: KARO.ST). Karo Bio publishes this information in accordance with the Swedish Securities Markets Act and/or the Swedish Financial Instruments Trading Act. The information was published on December 30, 2009 at 8:30 am CET. This press release is also available online at: www.karobio.com and www.newsroom.cision.com