Shin Poong Pharm Wins Medicines for Malaria Venture’s Project of the Year Award

With Phase II Clinical Studies Completed, New Antimalarial Advances to Phase III Efficacy Trials

Livingstone, Zambia; Seoul, South Korea 6 May 2006 – Today, the Medicines for Malaria Venture (MMV) announced the winner of its “Project of the Year” award for 2005. The antimalarial fixed- dose combination drug, Pyronaridine-Artesunate, a project with Shin Poong Pharm. Co., Ltd (Shin Poong), was chosen from 20 projects in MMV’s portfolio for its outstanding progress through clinical development. This next-generation artemisinin-combination therapy (ACT) could become a major weapon against drug-resistant malaria. Since the inception of the award five years ago, this is the first time the award has been given to a project in clinical development rather than in the earlier phases of drug discovery.

Pyronaridine-Artesunate is a new fixed-dosed combination based on artemisinin combination therapy (ACT), currently the most effective type of antimalarial treatment. It has completed its large Phase II studies with 470 patients in Asia and Africa. While data are being processed for final analysis and reporting, planning has started for a multi-center large Phase III trial. Both adult and children will be enrolled for the efficacy trials set to start in mid-summer. These studies will be followed by another study in younger children which will assess efficacy of a new pediatric formulation. If the Phase III trials confirm the phase II results, regulatory filing to the European Medicines Agency (EMEA) and the Korean Food and Drug Agency is expected by the end of 2007 with the new antimalarial ready to market in 2008.

MMV’s Expert Scientific Advisory Committee selected the Pyronaridine-Artesunate project for its achievements not only in successful progress from Phase I to Phase II clinical studies and excellent presentation of the data, but also in the quality of the management of the project.

Announcing the project of the year selection, Dr. Christopher Hentschel, president and CEO of MMV said, “This project has surpassed our expectation in terms of speed of progress, excellent results in early clinical studies and the innovative formulations which has resulted in bringing down the cost of goods dramatically. We are delighted to acknowledge the talent and dedication of this unique partnership with this award.”

MMV established the “Project of the Year” award to recognise the efforts, dedication and contribution of the project team in the fight against malaria. The winner is selected by a committee of fifteen world renowned experts in malaria and drug development.

“We are very honoured to be chosen for this award. This award is more than just recognition of the project team and their hard work; it is an example of the extraordinary progress that can be made when the best of the public and private sector are exploited efficiently and productively,” said Dr. Yong-Taek Chang, Chairman of Shin Poong. “We at Shin Poong feel enormous pride in our collaboration with MMV. It is a privilege to be able to contribute to the development of life-saving treatments for malaria.”

“We are delighted that this project has been selected as the Project of the Year particularly since there were so many other quality projects in MMV’s portfolio” said Dr. Lawrence Fleckenstein of University of Iowa and project leader. “We have many challenges ahead but I am convinced that this incredibly dedicated and capable team will be able to deliver an antimalarial that is not only safe, effective but also affordable for those that need it the most.”

MMV, a not-for-profit organisation, operates as a public-private partnership (PPP) that seeks to discover, develop and deliver new antimalarial drugs. It is now managing the largest portfolio of malaria drug research in history with 20 projects in different stages of development. Its partners include over 40 academic institutes, biotech firms and pharmaceutical companies around the world.

Although malaria is a curable disease if promptly diagnosed and properly treated, it is still causing more than 1 million deaths every year. Its resurgence since the late 1970’s is mainly due to multi- drug resistance. The efficacy of the most commonly available treatments such as chloroquine is severely compromised by drug resistance. Today, there are more cases of malaria in Africa than any time in recorded history. Beyond the human toll, malaria costs Africa at least US$12 billion in lost GDP and consumes an estimate 40% of the public health spending.

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About Shin Poong Pharm. Co., Ltd. Shin Poong Pharm. Co., Ltd. (Shin Poong) is one of the leading pharmaceutical companies of South Korea with the sales revenue of over USD 150 million in the year 2005. Since its foundation in 1962 Shin Poong has grown to the 8th largest pharmaceutical company in prescription pharmaceutical sales in Korea. Shin Poong has been a major worldwide supplier of API as well as finished formulation for mebendazole and albendazole, which are treatments for soil-transmitted helminthiasis, and praziquantel, which is a treatment for schistosomiasis through public sector business with WHO and World Bank since mid 1980’s. Major schistosomiasis eradication campaigns carried out with praziquantel include Delta project in Egypt, Gezira project in Sudan, and China Project. It is also actively engaged in overseas business running 5 overseas affiliates including Sudan, Vietnam, China, Philippines, Myanmar and exports to over 50 countries. http://www.shinpoong.co.kr

Contact: Daewoo Hong GM, Planning Dept. Shin Poong Pharm. Co., Ltd. Seoul, Korea +82 (2) 2189 3473

About MMV Medicines for Malaria Venture (MMV) is a non-profit organisation dedicated to reducing the burden of malaria in disease-endemic countries by discovering, developing and delivering new affordable antimalarial drugs through effective public-private partnership. After five years of operation, MMV is managing the largest-ever portfolio of malaria drug research with more than 20 projects in different stages of drug research and development. MMV’s goal is to register at least one new antimalarial before 2010 and maintain a sustainable pipeline of antimalarials to meet the needs of the 2.4 billion people at risk of this deadly disease. For further information please consult http://www.mmv.org

Contact: Anna Wang VP, Public Affairs Medicines for Malaria Venture Geneva, Switzerland +41 (79) 204 2875 (Mobile)