YM BIOSCIENCES - INTENTION - ARBITRATION

    YM BIOSCIENCES SUBSIDIARY CIMYM NOTIFIES ONCOSCIENCE AG OF INTENTION TO SUBMIT
ISSUES FOR ARBITRATION

    MISSISSAUGA, ON, Nov. 17 /CNW/ - YM BioSciences Inc. (NYSE Alternext
US:YMI, TSX:YM, AIM:YMBA), an oncology company that identifies, develops and
commercializes differentiated products for patients worldwide, today announced
that CIMYM BioSciences Inc., a corporation owned by YM and CIMAB S.A., has
notified Oncoscience AG, the licensee for its drug, nimotuzumab, that it
intends to submit issues for arbitration to the London Court of International
Arbitration (LCIA). This arbitration will be conducted through the LCIA based
in London, using a single arbitrator to be appointed by the parties or,
failing agreement, by the LCIA.
    "Our action is based on our position that Oncoscience AG, in addition to
a number of matters we plan to submit relevant to the license, continues to
act inappropriately in respect of its application for marketing authorization
of nimotuzumab in Europe and in specific contravention of the terms of the
license agreement between CIMAB S.A., CIMYM BioSciences Inc. and Oncoscience
AG," said David Allan, Chairman and CEO of YM BioSciences. "While we believe
the prospects for the eventual marketing approval of nimotuzumab in Europe are
strong, the current marketing application and decisions regarding its further
pursuit by Oncoscience AG do not have the unanimous support of the Joint
Development Team as required by the License Agreement and CIMYM shall be
asking the Court to determine whether these matters constitute sufficient
grounds to terminate the license."

    About YM BioSciences

    YM BioSciences Inc. is a company that identifies, develops and
commercializes differentiated products principally in the area of oncology for
patients worldwide. The Company is developing nimotuzumab, a humanized
monoclonal antibody, and AeroLEF(R), a proprietary, inhaled-delivery
composition of free and liposome-encapsulated fentanyl. Nimotuzumab is in
development targeting multiple tumour types in combination with radiation,
chemoradiation and chemotherapy. The drug, which is approved for marketing in
eight countries, is significantly differentiated from all other currently
marketed EGFR-targeting agents because of a remarkably benign side-effect
profile. In approximately 3,000 patients treated worldwide, to date, no Grade
III/IV rash has been reported and reports of any of the other side-effects
that are typical of EGFR-targeting molecules have been rare. AeroLEF(R) is in
development for the treatment of moderate to severe pain, including cancer
pain. The product completed a randomized trial in 2007 and is being prepared
for late-stage development internationally.

    This press release may contain forward-looking statements, which reflect
the Company's current expectation regarding future events. These
forward-looking statements involve risks and uncertainties that may cause
actual results, events or developments to be materially different from any
future results, events or developments expressed or implied by such
forward-looking statements. Such factors include, but are not limited to,
changing market conditions, the successful and timely completion of clinical
studies, the establishment of corporate alliances, the impact of competitive
products and pricing, new product development, uncertainties related to the
regulatory approval process and other risks detailed from time to time in the
Company's ongoing quarterly and annual reporting. Certain of the assumptions
made in preparing forward-looking statements include but are not limited to
the following: that nimotuzumab will continue to demonstrate a competitive
safety profile in ongoing and future clinical trials; that AeroLEF(R) will
continue to generate positive efficacy and safety data in future clinical
trials; and that YM and its various partners will complete their respective
clinical trials within the timelines communicated in this release. We
undertake no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.



For further information: Enquiries: Thomas Fechtner, the Trout Group LLC,
Tel. [phone], Email: tfechtner(at)troutgroup.com; James Smith, the
Equicom Group Inc., Tel. [phone] x 229, Email:
jsmith(at)equicomgroup.com; Nominated Adviser, Canaccord Adams Limited, Ryan
Gaffney, Tel. [phone]
(YM. YMI YMBA)



 



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