Stem Cell Sciences Reinforces its International...

CAMBRIDGE, England, November 14 /PRNewswire/ --

    - European IRES Patent Upheld and UK Patent on Cell Screening Technology 
Granted



- ("Stem Cell Sciences", "SCS", "the Company")

IRES Patent Upheld in Appeal Hearing at the EPO

    Stem Cell Sciences plc (AIM:STEM, ASX:STC) announces that European patent
no. 0695361 covering its IRES technology was upheld by the European Patent
Office in Munich on 12th November 2008. The EPO Technical Board of Appeal
dismissed objections against the patent raised by Institut Pasteur on 12th
April 2007. SCS' IRES (Internal Ribosome Entry Site) technology enables
researchers to monitor the activity of a gene of interest in living cells or
tissues without blocking the normal function of the gene. In particular, IRES
is important for evaluating the success of gene deletions (knock-outs) or
insertions (knock-ins) in stem cells, which is crucial for the successful
creation of transgenic mouse and rat disease models.



    The decision confirms the validity of the patent protection for this
technology in Europe and adds value to SCS' current licensing and
commercialisation strategy. The Company announced recently its expansion of
out-licensing activities for this technology through an agreement with a
leading provider of genetically modified rat and mouse models for
pharmaceutical research. Furthermore, maintenance of this patent will enable
SCS to complete licensing deals held up while potential licensees awaited the
outcome of the appeal hearing, generating another source of licensing income.



New UK Patent Granted

    The Company also announces today that the UK Intellectual Property Office
granted UK Patent 2428041 on 5th November 2008. This new patent covers
methods for obtaining cells, especially stem cells, which are particularly
useful for drug screening applications and high-throughput assays examining
the effects of genes and molecules on stem cell growth. The key step
protected by this patent relates to a process known as 'episomal expression'
whereby genes of interest remain as free DNA in the cell (an 'episome')
rather than being integrated into the chromosome, and this results in more
efficient expression of the genes and molecules under assay.



    Assays based on this technology were used by scientists at the University
of Edinburgh to identify Nanog, a key gene expressed in embryonic stem cells,
whose protein product can be used to reprogram adult cells into a pluripotent
state (i.e. similar to embryonic stem cells). Technology based on human and
mouse Nanog is protected by separate European patents no. 1470155 and 1698639
and is also exclusively licensed to SCS from the University.



    Dr Alastair Riddell, CEO of Stem Cell Sciences, said, "Over the past 14
years, Stem Cell Sciences has built an extensive portfolio of intellectual
property covering stem cell technologies that may have important application
in the discovery and development of new therapeutics. This confirmation of
validity of our IRES patent in Europe, which is also granted in the US and
elsewhere, as well as this new UK patent, will greatly assist our current
discussions with potential licensees to our intellectual property."



About Stem Cell Sciences plc

    Stem Cell Sciences (SCS) is an international research and
development company focusing on the commercial application of stem cell
biology technologies for drug discovery and regenerative medicine research.
Stem Cell Sciences is now focussing on building revenues through the sale of
products, collaborative research and licensing deals with international
biotechnology and pharmaceutical companies.



    Stem Cell Sciences has a substantial portfolio of patents and
patent applications in both adult and embryonic stem cell fields. The Company
has been active in the stem cell research field since 1994, principally
focused on technologies to grow, differentiate, and purify adult and
embryonic stem cells. These include technologies to permit the generation of
highly purified stem cells and their differentiated progeny (specialised
tissue cell types) for use in genetic, pharmacological and toxicological
screens. Moreover, these technologies may be able to provide pure populations
of appropriate cell types for transplantation therapies in the future.



    The Company has its main research base and headquarters in
Cambridge, UK with a second research base in Monash near Melbourne, Australia
and a business development office in San Francisco, USA.



    For further information on the company please visit:
http://www.stemcellsciences.com.



    
    For further information, please contact:

    Stem Cell Sciences plc (UK)
    Alastair Riddell, CEO
    Tim Allsopp, Chief Scientific Officer
    [phone]

    Stem Cell Sciences pty ltd (Australia)
    Paul Bello, Operations Manager
    [phone]

    Citigate Dewe Rogerson (UK)
    Mark Swallow / Emma Palmer Foster / Amber Bielecka
    [phone]

    Talk Biotech (Australia)
    Fay Weston, Director
    [phone]

    Daniel Stewart & Company (NOMAD to SCS, UK)
    Simon Leathers / Simon Starr
    [phone]