Asia PR News

PALO ALTO, May 31 /PRNewswire-AsiaNet/ –

Successful Completion of First Humaneering(TM) Program and Commencement of a
Broader Agreement

KaloBios Pharmaceuticals Inc., a privately held biopharmaceutical company,
today announced the successful completion of a project for the Genomics
Institute of the Novartis Research Foundation (GNF) and Novartis to
humaneer(TM) an antibody against an undisclosed target. In exchange for
creating this engineered human antibody therapeutic, KaloBios receives research
and success fees, and can receive additional milestones and royalties upon
successful completion of clinical trials. The companies also announced the
commencement of a second broader agreement. Exact terms of either agreement
were not disclosed.

Under the first agreement, GNF’s high affinity and high potency non-human
antibody drug candidate was humaneered(TM) by KaloBios. The humaneered(TM)
antibody that KaloBios delivered met or exceeded all of the GNF- and
Novartis-defined success criteria, triggering a success payment.

"We are happy that GNF and Novartis have identified KaloBios as a partner
who can help as part of their antibody development engine. In turn, we are
committed to helping GNF and Novartis make the best possible human antibody
therapeutics," said Geoffrey Yarranton, PhD, CEO of KaloBios.

Humaneering(TM) is KaloBios Pharmaceutical’s proprietary method for
converting non-human antibodies into engineered human antibodies for
therapeutic drug applications. The system has the advantage of maintaining
epitope specificity and increasing affinity. The humaneered(TM) antibodies
are as close as, if not closer to human germline sequences than the products
of fully human antibody generation techniques. KaloBios is offering access to
its humaneering(TM) capabilities on a limited basis.

About KaloBios Pharmaceuticals, Inc.
KaloBios is a therapeutic antibody company using its proprietary antibody
engineering, humaneering and expression technologies for the development of a
pipeline of antibody therapeutics. Its two most advanced drug candidates are
KB001 and KB002. KB001 will treat life-threatening Pseudomonas lung
infections, a common problem of Cystic Fibrosis and mechanically ventilated
patients. KB002 is for the treatment of Rheumatoid Arthritis and other
autoimmune diseases. To fully leverage the value of its technology platform,
KaloBios is offering access to its antibody engineering capabilities via
funded collaborations. For more information, visit www.kalobios.com.

SOURCE KaloBios Pharmaceuticals Inc.

CONTACT:
Geoff Yarranton
CEO of KaloBios Pharmaceuticals, Inc.,
+1-650-843-1897, ext. 301

Web site: http://www.kalobios.com