BioAlliance Pharma Establishes Sales & Marketing Subsidiary in Preparation for Launch of Loramyc®

BioAlliance Pharma SA (Euronext Paris: BIO), an emerging specialty pharmaceutical company focused on the development of innovative therapeutics targeting drug resistance in cancer, HIV, and severe and opportunistic infections, announced today that its new, wholly owned sales and marketing subsidiary, Laboratoires BioAlliance Pharma SAS, has begun formal operations.

Laboratoires BioAlliance Pharma will be responsible for all BioAlliance sales and marketing activities, initially focused on the launch of the company's first product Loramyc^®, for treatment of oropharyngeal candidiasis, an oral fungus found in association with immune compromised patients. Following regulatory approval expected in late 2006, the product will be launched first in France, followed by additional launches in other selected European countries as approvals are obtained under the mutual recognition procedure. The company filed for Loramyc marketing authorization approval (MAA) in September 2005.

The new subsidiary will be headed by BioAlliance Pharma CEO, Dominique Costantini, MD. Florence Dupré, vice president of sales and marketing and Alain Maquin, Head Pharmacist are the other directors.

"Laboratoires BioAlliance Pharma will allow BioAlliance Pharma to operate as a vertically integrated specialty pharmaceutical organization with sales and marketing activities as well as R&D and clinical development operations," said Dominique Costantini, MD, president and CEO of BioAlliance Pharma. "Our purpose in establishing this subsidiary is to concentrate our commercial resources on driving the company to revenues through the launch of Loramyc and, later, through additional launches from our rapidly developing pipeline of products and the active pursuit of in-licensing agreements."

Ms. Dupré, formerly a marketing executive with GlaxoSmithKline, has a strong background in hospital-focused commercial operations both in France and in the European Union, and will be responsible for building and leading the company's marketing capabilities. In addition to development of a medico-marketing team to support the Loramyc launch, Ms. Dupré will also be recruiting the company's initial sales force, expected to be in place by fall of this year in advance of the product launch in France. "We intend to make Loramyc available to hospitals and medical professionals as fast as possible after we receive the marketing authorization," said Florence Dupré. "Setting up the new subsidiary now means we should be able to hit the ground running."

In his capacity as Head pharmacist, Mr. Maquin, who has more than 25 years of experience in pharmaceutical production and manufacturing, will be responsible for coordinating and supervising the commercial production and release procedures for Loramyc that are required under EMEA pharmaceutical regulations. Until now, Mr. Maquin has played a key role in the manufacture and successful scale-up of Loramyc at Cardinal Health's EMEA/FDA approved facility in Schorndorf, Germany. "It is extremely important we are thoroughly prepared from a safety and manufacturing viewpoint to take advantage of a Loramyc authorization," said Alain Maquin. "We will be doing everything we can to ensure a smooth process."