Gastrotech completes $6 million Series D fundraising Funds earmarked for Phase II development of two lead products

Copenhagen, 11 February 2008 … Gastrotech Pharma, a clinical stage biopharmaceutical company with a focus on the medical applications of gastrointestinal hormones, has successfully completed a $6 million Series D fundraising round. The lead investor was CAT Invest I A/S (Copenhagen, Denmark), and other investors included Nordic Biotech, BML Healthcare I LP, and 123MultiNova Europe, all existing investors in the company.

The funding will be used to support the Phase IIb clinical development programme on GTP-010, the company’s lead programme for the treatment of pain in irritable bowel disease. In addition it will also be used to advance the Phase II development of GTP-300, a ghrelin peptide, for treatment of cancer-associated cachexia and anorexia. Ghrelin is a naturally occurring hormone, which stimulates the appetite. By increasing levels of ghrelin, Gastrotech believes it will be possible to stop the problems of catabolic syndrome (anorexia and cachexia) associated with cancer.

Enda Kenny, Gastrotech Pharma CEO, said: “This funding is excellent news for Gastrotech, and will allow us to develop our clinical programmes further. This, coupled with the in-licensing of GTP-010 from Eli Lilly and Company, means Gastrotech is now in a very good position, with funding secured and a number of exciting compounds in development.”

Leif Helth Jensen, Investment Manager of CAT Invest I said: “Gastrotech Pharma is a very attractive investment opportunity for us. It has two products in clinical development which address unmet clinical needs and both are in substantial market areas. As a Danish Biotech company, it also fits our strategic focus.”

Hans Schambye, Chairman of Gastrotech Pharma said: “These achievements now allow us to fully exploit our unique approaches to the management of pain in IBS and anorexia in cancer which are both major unmet clinical needs.”

-ENDS-

About Gastrotech Pharma
Gastrotech Pharma A/S ( www.gastrotechpharma.com ) is a clinical stage biotechnology company focused on the development of novel treatments for IBS and anorexia/cachexia associated with cancer and other major pathologies.

About CAT Invest I and CAT Science Park A/S
The CAT Invest I fund is operated and managed by CAT Science Park A/S (www.catscience.dk), a privately-held company, helping entrepreneurs and innovators to find the capital and the right competences required to turn ideas into enterprises. CAT Science Park is a unique combination of government-backed, pre-seed capital, science park, and venture company. The company functions both as host as well as mentor for good ideas. All the way – from the first tentative steps to a viable enterprise.

About GTP-010
GTP-010 is an analogue of GLP-1, a naturally occurring intestinal hormone that plays an important physiological role in assisting the human body to maintain appropriate blood sugar levels and modulate gastric motility following meals. GTP-010 has a longer half life than the natural hormone, and is maintained in the circulation during the acute phase of an IBS pain attack. Here it modulates contractile activity and delays gastric emptying before it is cleared by natural mechanisms.

About Irritable Bowel Syndrome
Irritable Bowel Syndrome (IBS) is a very common disorder with approximately 75 million sufferers in the developed world. Between 10-20% of the general population exhibit symptoms characterized by bloating, abnormal motility patterns, visceral hypersensitivity, discomfort and pain which can be severe. Current treatments are symptomatic with antispasmodics and low dose tricyclic antidepressants prescribed for frequent or severe pain. The treatment of pain is a significant unmet need in IBS.

About Cancer-associated cachexia and anorexia
Cachexia is a leading cause of cancer related mortality, affecting 50% of all cancer patients. It occurs in virtually all cancer types and accounts for 30% of cancer related deaths with some 900,000 patients in and US and Europe. Symptoms include abnormal weight loss, weakness and general bodily decline. It is a significant unmet clinical need and there are no approved drug products available for treatment.

Further Information:

Please contact:
Enda Kenny, PhD
CEO, Gastrotech Pharma A/S
ek@gastrotechpharma.com
Telephone +45 39179745
Mobile +45 60659639

Adam Michael, Tony Stephenson, Raji Nandipati
College Hill
gastrotech@collegehill.com
Telephone +44 (0)20 7457 2020