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| |  New Treatments Now Made Possible for Debilitating Bowel Diseases TORONTO, July 22, 1996 -- Allelix Biopharmaceuticals Inc., (TSE, ME:AXB) Canadian scientists announced today the discovery of the function of the peptide-hormone GLP-2, a finding that will likely lead to treatments that will help thousands of people who suffer from intestinal diseases that interfere with the body's ability to absorb nutrients from food. After six years of research, a team led by Dr. Daniel J. Drucker, MD, of the Toronto Hospital and the University of Toronto's Banting and Best Diabetes Centre, has found that the peptide-hormone GLP-2 (Glucagon-Like Peptide-2), a naturally occurring peptide (small protein), powerfully stimulates the growth of the lining of the small intestine, vital to digesting food. The findings were published today in the journal Proceedings of the National Academy of Sciences. "Medical science has not previously been able to stimulate the body's natural mechanisms to encourage growth and repair of the lining of the small intestine," said Dr. Drucker. "We have found that GLP-2 produces a marked increase in intestinal growth, within four days, when introduced in animals. This finding may well result in major benefits for patients with severely compromised intestinal function, allowing treatment that will grow new cells in the lining of the small intestine." Allelix Biopharmaceuticals Inc., a Toronto biotechnology company, is developing GLP-2 for use as a drug to treat patients suffering from intestinal diseases. Allelix, the Toronto Hospital and the University of Toronto have established a collaboration to speed the research and commercial development of GLP-2 and related peptides. Allelix has been working with Dr. Drucker's group for nearly four years, and the collaboration has accelerated the development of promising drug candidates for diseases for which no treatments are available. "The growth-promoting properties of GLP-2 appear to be highly specific to the lining of the small intestine," said Dr. John Dietrich, Senior Vice President Research and Development at Allelix. "This is a key factor in using the peptide as a potential drug, since one of its advantages is that it appears to affect only the target cells lining the small intestine, minimizing the risk of side effects." The lining of the small intestine (epithelium) passes nutrients from the food we eat into the body. Several serious medical conditions can interfere with the function of the epithelium, including Crohn's disease, ilieitis, and intestinal inflammation. In addition, treatment by chemotherapy and radiation damages the lining of the intestine in cancer patients. This is a large market opportunity. "Allelix is expanding its portfolio of therapeutic protein products with this new and vitally important R&D effort," said Graham Strachan, President and CEO of Allelix. "The experience we gained developing parathyroid hormone (PTH) for the treatment of osteoporosis, and the related manufacturing process, is transferable to the development of GLP-2. We have enjoyed an excellent working relationship with Dr. Drucker's group for nearly four years." Allelix Biopharmaceuticals Inc. is a Canadian biotechnology company that discovers and develops innovative pharmaceutical products that are commercialized internationally in partnership with established pharmaceutical companies. The company has developed significant research and development collaborations with Astra AB, Hoechst Marion Roussel, Eli Lilly and Groupe Fournier. Allelix products in clinical trials include ALX1-11, recombinant human parathyroid hormone, in Phase II clinical trials for the treatment of osteoporosis, and ALX40-4C in Phase I/II trials for the treatment of HIV and Cytomegalovirus. Allelix's research programs focus on developing protein therapeutics, neuropharmaceuticals, and transcription therapeutics. The Toronto Hospital is Canada's largest acute care teaching facility with approximately 1,200 beds. It has achieved an international reputation for excellence in patient care, teaching and research in its four designated priority programs: cardiac sciences, neurosciences, transplantation and oncology. The University of Toronto is Canada's preeminent research university and one of the world's leading publicly-funded research institutes. The university's Faculty of Medicine and its partner teaching hospitals make up one of North America's largest academic health science complexes.
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