Direvo Acquires AC Biotec

Cologne, Germany, November 6, 2007 - DIREVO Biotech AG, a leading company for superior bioengineered products and processes for industrial and pharmaceutical applications, announced today that it has acquired AC Biotec GmbH in an all cash transaction. AC Biotec will continue to operate as an independent, fully-owned subsidiary of Direvo Biotech with Dr. Simon Curvers continuing as Managing Director. This acquisition helps Direvo extend and expand its capabilities and offerings to its current customers as well to new customers in the industrial biotechnology and pharmaceutical markets. AC Biotec GmbH, located in Jülich, Germany, is a provider of bioprocess development and contract manufacturing services to the industrial biotechnology and pharmaceutical markets. Established in 2001, AC Biotec offers development, optimization and application of fermentation and downstream processes using microbial and plant cell-based systems. This includes the complete scale of biotechnological processes, starting from multi-well plates and shake flasks up to pilot-scale stirred-tank-reactors. "The acquisition of AC Biotec is a very important step in the transformation of Direvo's Industrial Biotechnology Business Unit into a more complete technology provider and to become a one stop shop in the design and development of superior bioengineered products and processes", stated Dr. Thomas von Rüden, CEO of Direvo. "This will also help Direvo to develop processes and scale up its own line of proprietary products in the future. On the pharmaceutical side of the business, AC Biotec's capabilities will expand Direvo's ability to supply customers with samples of its optimized products at the preclinical stage. We welcome Simon Curvers and his group to the Direvo Team. Direvo Biotech remains committed to its further growth both organically as well as by additional M&A activities." "We are very happy with the acquisition by Direvo", says Dr. Simon Curvers, CEO of AC Biotec. "As a member of the Direvo Biotech Group, we hope to offer additional services and capabilities to our existing and potential customers, as well as to help Direvo Biotech and its customers with our bioprocess development and scale-up skills. This combination creates synergies that promise faster growth and excellent long term perspectives to both companies", he adds. -end- About Direvo Biotech AG DIREVO Biotech AG generates superior bioengineered products and processes for industrial and pharmaceutical markets by enhancing nature's potential. The Company's portfolio includes optimized proteins, optimized bioprocesses and other bio-molecules, in research, in commercial development and on the market. Direvo develops products both independently and with global leaders such as Danisco/Genencor, Nestlé and an undisclosed "top five" Pharma partner. Direvo Biotech is committed to a tailored approach to addressing customer needs and market opportunities. Direvo's industrial biotechnology business focuses on food & feed, and biorefinery markets. The Company provides solutions through discovery, development and scale up of enzymes, other molecules and strains. Industrial biotechnology at Direvo emphasizes environmental sustainability and the use of renewable resources. For example, a collaboration with Danisco A/S yielded a significantly improved enzyme that has reached the market as part of a Danisco/Genencor product. Direvo's biopharmaceuticals business focuses on therapeutic antibodies and proteases. Applying its powerful and proven protein engineering capabilities, Direvo generates improved second generation therapeutics and discovers and optimizes novel first-generation therapeutics. Direvo offers early stage partnering from internal discovery programs as well as collaborations on the optimization of a wide range of therapeutic proteins. DIREVO Biotech AG is privately held and located in Cologne, Germany. Additional information is available at: www.direvo.com About AC Biotec GmbH AC Biotec GmbH is a service provider in the field of bioprocess development and contract manufacturing. The company offers development, optimization and application of cultivation and downstream processes using microbial and plantal systems. The core competence of AC Biotec includes the application of small-scale culture systems and the scaling of processes in between these systems and technical-scale stirred tank reactors. The complete scale of biotechnological processes starting from multi-well plates and shake flasks up to pilot-scale stirred-tank-reactors is covered. A close cooperation of AC Biotec with producers of cultivation hardware and innovative scientific institutions offers a unique variety of platform technology and flexibility in the application of these platforms not available for the standard customer. The use of highly developed technology in an integrated approach enables AC Biotec to significantly reduce time-to-market for its customer's products. Customers of AC Biotec are amongst others Boehringer Ingelheim Pharma GmbH&Co KG, Celanese AG, Codexis Inc., Evonic Industries (former Degussa AG), Lonza Group Ltd., Qiagen GmbH. AC Biotec GmbH is located in Jülich, Germany. Additional information is available at: www.acbiotec.de Contact: DIREVO Biotech AG Dr. Thomas von Rüden CEO Telephone: + 49 221 8887-120 E-mail: info@direvo.com