Orexo and Boehringer Ingelheim extend their research collaboration

Orexo and Boehringer Ingelheim extend their research collaboration

Uppsala, Sweden, September 8, 2008 - Orexo AB (OMX: ORX), the Swedish
pharmaceutical company and Boehringer Ingelheim, the international
pharmaceutical company headquartered in Ingelheim, Germany, have extended their
existing three year research collaboration for a further 12 months from November
2008.
The research collaboration is a part of an exclusive world-wide license to
develop and market a new class of drugs with a novel mechanism of action for the
treatment of pain and inflammation.

This acts as an extension to the original agreement between the two companies
dating from 2005; the deal has a total potential value of MEUR 250 in milestones
to Orexo excluding royalties.

The collaboration is focused on the development of a drug which specifically
inhibits the enzyme prostaglandin (PG) E synthase (mPGES) to reduce the
production of PGE2, an endogenous substance that is central to various
inflammatory processes.
Thanks to its selective inhibition, the drug could have fewer side effects than
existing pain medications, such as the NSAIDs.

Dr Torbjörn Bjerke, President and Chief Executive of Orexo, said:
“We are delighted to extend the excellent collaboration with Boehringer
Ingelheim, a global player with expertise in the inflammatory pain area and a
very committed partner. The medical need in the area of pain and inflammation is
considerable and this collaboration has the potential to answer the patients'
and physicians' need for a new treatment that is both safe and efficacious.”

Under the terms of the agreement, Boehringer Ingelheim will continue research
funding to Orexo in the OX-MPI project. Boehringer Ingelheim holds exclusive
rights to all further compound development and marketing, except in the Nordic
and Baltic regions, where Boehringer Ingelheim and Orexo will co-promote
potential products developed.

For more information, please contact:
Torbjörn Bjerke, President and CEO, Orexo AB
Tel: +46 (0)708-66 19 90
E-mail: torbjorn.bjerke@orexo.com

Claes Wenthzel, Executive Vice President & CFO, Orexo AB
Tel: +46 (0)708-62 01 22
E-mail: claes.wenthzel@orexo.com

TO THE EDITORS

About Orexo

Orexo is a pharmaceutical company, focusing on development of new, patented
drugs by combining well-documented substances with innovative technologies, and
the development of new treatments for respiratory and inflammatory diseases.

Orexo has a broad and competitive late-stage product portfolio, including two
marketed products, five products in clinical phase and two in registration
stage.

To date, Orexo has out-licensed the market rights for Abstral/Rapinyl for the
US, EU and Japan markets and the world-wide market rights for Sublinox (OX22)
and OX-NLA, and a out-license and research collaboration with Boehringer
Ingelheim regarding the development of a new class of drugs to treat pain and
inflammation. Abstral/Rapinyl was approved in Europe on June 24, 2008. Orexo has
established a Nordic sales force by entering into a joint venture with
ProStrakan. Abstral was launched in Sweden during Q3 this year.

Orexo has its head office in Uppsala, Sweden and is listed on the OMX Nordic
Exchange Stockholm, Small Cap (ticker: ORX).

www.orexo.com

About pain and inflammation treatment
Inflammation, pain and fever are common phenomena in a variety of conditions -
from dislocations and sprains to chronic diseases such as arthritis. About 355
million people around the world are estimated to suffer from arthritis. One out
of three adults and nearly 300 000 children in the U.S. live with arthritis. The
most common type of arthritis is osteoarthritis and is seen in many people as
they age. Rheumatoid arthritis is somewhat less common, but often more disabling
and affects young people in their active years.

For patients with chronic diseases, pain relief is at hand, but often at the
cost of side effects. In the U.S., as many as 100,000 patients a year are
admitted to hospitals with gastric or intestinal haemorrhaging, resulting from
standard treatment with conventional non-selective, non-steroid
anti-inflammatory drugs (NSAIDs), with active ingredients such as
acetylsalicylic acid and ibuprofen. In 2004, global sales of drugs for treating
mild- to moderate pain amounted to 14.5 billion USD.