KARO BIO ANNOUNCES THAT MERCK DISCONTINUES DEVELOPMENT OF MK-6913 FOR HOT FLASHES

KARO BIO ANNOUNCES THAT MERCK DISCONTINUES DEVELOPMENT OF MK-6913 FOR
HOT FLASHES

STOCKHOLM, 8 September, 2010 - Karo Bio AB (publ) has been notified that
its partner Merck, based in Whitehouse Station, N.J., and known as MSD
outside the United States and Canada, has decided to discontinue the
development of MK-6913 for the treatment of hot flashes.

The decision was made after an interim analysis of data from the first
stage of the phase II study, initiated in December 2009, showed that the
pre-defined efficacy criteria for advancement of the compound to the
second stage of the study were not met. Merck is evaluating its options
for future studies involving MK-6913. Further information will be
provided when available. 

MK-6913 is a candidate drug arising from the collaboration between Karo
Bio and Merck regarding estrogen receptors (ER). The aim of the now
discontinued study was to assess the safety, tolerability, and efficacy
of MK-6913 for the treatment of moderate-to-very-severe vasomotor
symptoms (hot flashes) in postmenopausal women.

 

For further information please contact:
Fredrik Lindgren, CEO
Mobile: +46 705 616 177 

Erika Söderberg Johnson, CFO
Mobile: +46 70 720 48 20 

About Karo Bio
Karo Bio is a pharmaceutical company focused on the research and
development of innovative drugs for unmet medical needs. Karo Bio's
vision is to become a pharmaceutical company with sustainable
profitability, commercial products and a competitive project portfolio. 

Karo Bio runs a number of development projects within the indication
areas cardiovascular and metabolic diseases, neuropsychiatry,
inflammation, cancer and women's health. An important foundation for the
company's activities is its unique knowledge of nuclear receptors as
target proteins for the development of novel pharmaceuticals, as well as
related mechanisms of action. Important processes and competencies
within the company include structurally based research, drug discovery,
preclinical and clinical development, and medical and regulatory
expertise. 

Karo Bio has the capacity to process select compounds for niche
indications through the whole development chain, while compounds
addressing large patient groups require development collaborations or
outlicensing at some stage in the process. In addition to proprietary
projects, Karo Bio has three strategic collaborations with international
pharmaceutical companies. 

Karo Bio, headquartered in Huddinge, has 70 employees, and is listed on
NASDAQ OMX Stockholm since 1998 (Reuters: KARO.ST). 

Karo Bio publishes this information in accordance with the Swedish
Securities Markets Act and/or the Swedish Financial Instruments Trading
Act. The information was published on September 8, 2010 at 08:30am CET.