Licensing and distribution agreement (1369F)

TIDMONG

RNS Number : 1369F

Oxford Nutrascience Group PLC

19 April 2011

19 April 2011

Oxford Nutrascience Group plc

("Oxford Nutrascience" or "the Company")

Oxford Nutrascience enters Brazilian pharmaceutical market with commercial agreement

Oxford Nutrascience the speciality pharmaceutical company using pharmaceutic and drug delivery science to develop advanced medicines, has signed an exclusive licensing and distribution agreement with Ache Laboratorios Farmaceuticos S.A., ("Ache"), one of Brazil's largest pharmaceutical companies.

Under the terms of the seven year agreement Oxford Nutrascience will supply Ache with healthcare products which will be sold under Ache's women's health brand, called 'Inellare'.

It is anticipated that Oxford Nutrascience, using its own intellectual property, will develop a number of pharmaceutical products for Ache, as the Brazilian pharmaceutical company expands its 'Inellare' product range.

Using its extensive physician sales network around Brazil, Ache will distribute Oxford Nutrascience's products into the fast growing consumer healthcare market.

This agreement represents a significant progression for Oxford Nutrascience and it is intended that the relationship with Ache will provide Oxford Nutrascience with access to the higher value pharmaceutical industry in Brazil. The Company's strategy is to increase its focus on developing product innovation for pharmaceutical companies leveraging advanced pharmaceutic and drug delivery technology.

Brazil has one of the largest and most dynamic pharmaceutical markets in the emerging economies, reaching US$22.9 billion in 2010, with 2.06 billion pharmaceutical units (pills, tablets, medicine doses, among other units used). Source: IMS Health.

Brazil's OTC market is forecast to grow by approximately 5.7% per annum from 2007 to 2012, making the total size of the market expected to be US$6.5bn by 2012*

Nigel Theobald, Chief Executive, Oxford Nutrascience Group Plc

"Working with Ache demonstrates our capability to partner with major pharmaceutical companies who are seeking product innovation. The big pharma companies are attracted by our ability to apply novel pharmaceutic technology to extend the lifecycle of existing branded generic medicines, which they have often invested many millions of dollars into.

"Ache has significant commercial infrastructure in Brazil and the growth of Brazilian pharmaceutical products is making the country one of the most important global markets for pharmaceutical companies. Our objective is to target this sector by working closely with Ache.

"Oxford Nutrascience continues to punch above its weight and it is encouraging that our other product development and IP, looking initially into the areas of nonsteroidal anti-inflammatory drugs continues to attract significant interest from potential commercial partners.

"We look forward to working with Ache in one of the fastest growing pharmaceutical markets in Brazil."

Julio Conejero, Managing Director of the OTC & Generics Business Unit at Ache Laboratorios Farmaceuticos S.A., said:

"Ache has a successful track record of working with innovative companies and successfully launching their products into the Brazillian market using our highly trained sales representatives. We are excited about the prospects of our agreement with Oxford Nutrascience and their product pipeline.

"We are very pleased to have entered this partnership with Oxford Nutrascience which gives us access to cutting edge technology and expertise to develop innovative high quality products."

- Ends -

* Report on the Brazilian market for vitamins and Calcium supplements, Brazilian Life Science UK Trade and Investment Team, Rio de Janeiro.

For further information:

Oxford Nutrascience Group Plc

Nigel Theobald, Chief Executive [phone]

Mark Way, Investor and Media Relations [phone]

Ache Laboratorios Farmaceuticos S.A.

Jose Ricardo Mendes da Silva [phone]

Chief Executive Officer

ZAI Corporate Finance (Nominated Adviser)

John Depasquale [phone]

Sarang Shah [phone]

About Oxford Nutrascience Group Plc

-- Oxford Nutrascience is a speciality pharmaceutical company that uses novel pharmaceutics and drug delivery science to develop advanced medicines that extend the lifecycle of branded generics and soon to be off patent API's.

-- Oxford Nutrascience has developed technology for the use of prebiotic soluble fibres in medicine delivery systems that disperse and solubilise medicines, improve taste and mouth feel, simplify processing and eliminate additives.

-- Development work is currently focused on therapeutic categories including analgesics, bone health, indigestion and multivitamin and mineral supplements.

-- Oxford Nutrascience is establishing partnerships with a number of leading academic centers for pharmaceutics and has a growing number of technologies to apply to branded generics and API's.

About Ache Laboratorios Farmaceuticos,S.A.

-- Established 40 years ago, Ache is the largest fully Brazilian owned pharmaceutical company and currently distributes over 250 brands of prescription and generic drugs and OTC products.

-- During 2009 Ache had sales revenue of over GBP780 million (R$2,157 million).

-- Ache's sales force makes approximately 30,000 visits to physicians a year.

This information is provided by RNS

The company news service from the London Stock Exchange

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