Tm BIOSCIENCE CLOSES FINANCING OF $4.66 MILLION CAD

TORONTO, ON, November 12, 2002 — Tm Bioscience Corporation (TSX Venture: TMC) and MDS Capital Corp. announced today the closing of the debt financing with Canadian Medical Discoveries Fund Inc. (“CMDF”) for the principal amount of $4,661,400 CAD. This financing has received conditional approval by the TSX Venture Exchange.

“This minimally-dilutive financing will ensure that we are adequately funded to complete the development, manufacturing and commercialization of our first series of genetic tests,” said Greg Hines, President and CEO of Tm Bioscience. “The commercialization of this suite of tests, which includes assays for Coagulation, P450, Cystic Fibrosis and Melanoma, will entrench our leadership in the growing, untapped, genetic testing market.”

The loan has a term of 39 months, with payments of interest only during the first three months, followed by equal payments of principal and interest during the subsequent 36 months. The loan carries an interest rate of 11.7% and may be repaid in whole or in part after eight months subject to certain restrictions. Concurrent with the closing of the financing, the Company issued to the lender a total of 3,743,891 common share purchase warrants having a term of five years, exercisable at a price of $0.249 per warrant. The lender secured the loan with a general charge on the Company’s assets, excluding its intellectual property. CMDF made the loan and acquired the private-placement warrants for general investment purposes.

CMDF currently owns 24,625,001 common shares, representing approximately 21.66% of Tm Bioscience’s issued and outstanding common shares, and controls options to purchase 91,400 common shares. Taking into account the above-mentioned warrants and options, CMDF would own or control, on an as-if converted basis, 28,460,292 common shares, representing approximately 24.22% of the Company’s common shares. Canadian Medical Discoveries Fund is pleased to provide this loan to Tm Bioscience. Tm Bioscience is a company with near term revenues and a strong development pipeline. 

About Canadian Medical Discoveries Fund Inc.
Canadian Medical Discoveries Fund Inc. is Canada's most mature healt h science labour-sponsored venture capital fund, with more than $310 million in managed assets. Established in 1994 and available across Canada, CMDF has venture capital investments in approximately 40 companies involved in health sciences, biotechnology, diagnostics, medical devices, drug discovery and development, health care delivery services and e-health. MDS Capital provides certain investment management services to CMDF. CMDF is located at 148 Fullarton Street, Suite 2006, London, Ontario.

About MDS Capital Corp.
With more than $900 million under management, MDS Capital is focused exclusively on providing financial support and other services to support the building of emerging life science companies. MDS Capital operates in a strategic relationship with MDS Inc. (TSX:MDS, NYSE:MDZ), a global health and life sciences company with revenues of $1.6 billion. With over 10,000 employees operating in 23 countries around the world, MDS Inc. is focused on diagnostic services, drug discovery and delivery technology, and radioisotopes for sterilization and cancer treatment.

About Tm Bioscience – Putting the Human Genome to Work™
Tm Bioscience is a DNA-based diagnostics company developing a suite of genetic tests. Tm Bioscience’s product pipeline includes tests for genetic mutations related to hematology, cystic fibrosis, toxicology and other debilitating genetic disorders. The lead product from Tm Bioscience is the Tm100 Universal Array, a microarray “operating system” capable of combining any set of 100 single DNA tests and performing them simultaneously in a single reaction. The Tm100 universal microarray is accurate, fast, flexible, economical and suitable as an industry standard. Tm Bioscience is located at 439 University Avenue, Suite 1050, Toronto, Ontario. Additional information about Tm Bioscience can be found at www.tmbioscience.com .

CONTACT:
Alan Coley
Vice President, Investor Relations
Tm Bioscience Corporation
416-593-4323 ext. 237
416-593-1066 fax 
acoley@tmbioscience.com 

James Smith
Investor Inquiries
The Equicom Group
416-815-0700 ext.229
416-815-0080 fax
jsmith@equicomgroup.com 

Eric Fredrickson
Director, Investor Relations
MDS Capital
416-213-4660
416-213-4232
efredrickson@mdsintl.com 

INVESTOR RELATIONS CONTACT:
James Smith
The Equicom Group Inc.
416-815-0700 ext.229 
jsmith@equicomgroup.com 

www.tmbioscience.com  www.equicomgroup.com 

The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.