Kreatech Biotechnology raises EUR 6 million in private placement led by 3i.

The company will use the new funding to accelerate its internal application development program with the aim of continuing to capitalize on its proprietary technology. The company intends to gain significant market shares in the field of labeling and detection in both life science and diagnostic markets, building on its already strong partnership portfolio which includes among others, Qiagen, Perkin Elmer and Sigma. To comply with the specific labeling demands in the emerging markets of array-, biosensor-, and nanotechnologies, KREATECH has fully dedicated its development program towards direct labeling for both protein- and nucleic acid labeling applications. Furthermore, KREATECH strives to establish a USA-based sales and support organization in order to enlarge its offering in platform customization and to improve the level of customer support.

Guus Overdijkink of 3i Europe commented: “KREATECH’s focused research approach supported by strong management, has enabled the company to develop a unique range of tools for labeling and detection of DNA, RNA and proteins.” Tai Schierenberg, 3i Europe, added: “The company’s patented and revolutionary technology platform, ULS® – Universal Linkage System – gives it a leading position within the field of labeling and detection which lies at the heart of all biotechnological diagnostics and research.”

Alexander Altink, CEO noted: “KREATECH is very pleased to have completed a major fundraising in such difficult market conditions. Not only do we have a new, highly reputable international investor on-board but we are also extremely encouraged by the continued strong support from our existing shareholders Life Sciences Partners and Alafi Capital. The funds give us the financial flexibility necessary to achieve our milestones and we are therefore well on the way to achieving our target of being cashflow positive by the end of 2003. Furthermore we consider this investment as further strong evidence for the potential of our technology.”

KREATECH continues to consolidate its position as a strategic partner for drug discovery, pharmaceutical, diagnostic and life science companies. Existing partnerships on applications and marketing have been formed with renowned companies, including Amersham Biosciences, Cancer Genetics, Molecular Probes, PerkinElmer, QBIOgene, Qiagen, Roche and most recently Sigma, Metrigenix and Dyomics. The latter is a German developer of fluorescent dyes, giving KREATECH the alternative for the important and widely used Cy3/Cy5 channel.

KREATECH Biotechnology B.V., a private company founded in 1990, focuses on the creation, development, production and marketing of innovative diagnostic and life science products. The company positions itself as a strategic partner for life sciences, diagnostic and pharmaceutical companies. The company currently has 10 revenue-generating partners. KREATECH’s proprietary Universal Linkage System (ULS®) offers a reliable, robust and easy to use non-enzymatic technology that can be applied to a broad range of biomolecules and labeling agents. KREATECH is committed to achieve and maintain the highest standards in production and Quality Control as well as in the relationships with customers and partners. The company’s quality policies are demonstrated by the implementation of ISO 9001 (1998) and GMP guidelines. More information on KREATECH can be accessed at www.kreatech.com.

3i, a leading international venture capital / private equity firm, is listed on the London Stock Exchange as a FTSE 100 and MSCI Europe company. With more than 900 staff working from 36 offices across Asia, Europe and North America, 3i is in a unique position to help entrepreneurs succeed. Since 1945, 3i has invested more than US$22 billion (including co-investment funds) in over 14,000 growing businesses. 3i invests in a wide range of opportunities, from start-ups to buy-outs, focusing on businesses with high growth potential and strong management. Offering far more than just capital, 3i’s aim is to collaborate with portfolio companies in a value-added approach that leverages more than 55 years of experience, an unrivaled international network, strong capital resources and industry credibility. 3i’s portfolio of 2,700 companies includes about 150 companies in the Healthcare sector in Europe. For more information please contact 3i Europe: Guus Overdijkink (+31 20 305 7444 or Guus_Overdijkink@3i.com); Dr. Tai Schierenberg or Dr. Holger Reithinger (+49 89 548 620 or Tai_Schierenberg@3i.com or Holger_Reithinger@3i.com) or visit www.3i.com.

Life Sciences Partners (LSP) is a leading European venture capital firm, providing private equity capital to early-stage life sciences companies. Based in Amsterdam and Munich, LSP’s management has focused on investing in human life sciences since 1988. Typically, LSP is actively involved in building value as lead investor and board member at the start-up phase of a company. The partners of the fund have invested in more than 30 life science companies and have created 11 successful exits, a.o. Rhein Biotech (NL), Qiagen (DE), Biora (SE), Quadrant (GB), Sequenom (DE/USA) and Crucell (NL). LSP currently has EURO 170 million in capital under management. For more information, please contact Dr René Kuijten at + 31 20 664 55 00, rkuijten@lsp.nl, or refer to www.lsp.nl.

Alafi Capital is a U.S.-based venture capital company which has been active in biotechnology and healthcare investing for over 25 years. Headquartered in California, Alafi Capital has provided early stage financing for life science companies in the U.S. and in Europe including Amgen (US), Biogen (US), Applied Biosystems (US), Qiagen (DE), Oxford Glycosciences (GB), Tanox (US), and Molecular Devices (US). Further information about the company and the current portfolio can be obtained at www.alafi.com.