Mistral Pharma Inc.

Mistral Pharma is a specialty pharmaceutical company which is active in the reformulation of already-marketed drugs. The corporation uses its controlled release technologies in order to improve the efficacy, safety or dosing schedule of drugs which have already been approved by the regulatory authorities.

Mistral’s platform drug delivery technologies are all based on the use of geometric surface area in order to control the rate of dissolution of the drug along the gastrointestinal tract. Mistral’s management believes that its drug delivery technologies are flexible and can be used to achieve or reproduce various pharmacokinetic profiles at competitive costs.

Mistral is listed on the TSX Venture Exchange under the symbol MIP

MIST-B01: Branded product in various therapeutic fields

Mistral’s first branded product is a controlled-delivery formulation of a widely prescribed drug, which is already approved around the world for numerous indications. According to Drug Topics, a US pharmacist magazine, the total generic sales for this drug were approximately US$ 275 M. MIST-B01 showed positive results in its first pilot pharmacokinetic clinical trial. Mistral is currently having confidential discussions with potential commercial partners to further the development, proceed with the regulatory approval process and commercialize the product.

If approved by regulatory authorities, Mistral’s management believes that MIST-B01’s preferred dosage schedule and additional potential clinical benefits could lead this product to capture a significant portion of this market.

MIST-B02: Branded product in gastroenterology

Mistral’s second product is a controlled-delivery branded product in the gastroenterology field, which is targeting a brand product with more than US$ 100 M in worldwide annual sales.

MIST-B03: Branded product in rheumatology

This product is a combination of two drugs often used in rheumatology. The product is presently scheduled to enter pilot pharmacokinetic trial at the end of 2006.

Mistral Pharma has licensed the worldwide rights to three innovative oral, controlled-release drug delivery technologies. The first, PROCISE^TM, developed by GlaxoSmithKline, is secured by worldwide patents. The other two, SAVIT^TMand CHRONOP^TM were developed by the inventor of PROCISE^TM. These technologies can be used for larger amounts of active ingredient and for pulsative release profiles.

Mistral’s technologies have powerful competitive advantages: release characteristics with unprecedented levels of precision and flexibility in drug release profiles, ease of development and simplicity of manufacturing. Products can be developed using “generally recognized as safe” (GRAS) ingredients which limits regulatory risks. PROCISE^TM has been validated in pilot biostudies and has intellectual property protection until 2012. SAVIT^TM IP protection is valid until 2021 and CHRONOP^TM until 2023.

By combining its distinctive drug delivery technologies, experienced management team clear business model and corporate partnerships already in place, Mistral Pharma has united all the essential elements to create a valuable, successful and exciting specialty pharmaceutical company.

Mr. Bolduc brings more than 16 years of experience gained at Servier, Biovail, Axcan, Procrea and TGN Biotech where he has been involved in numerous product and company acquisitions. Mr. Bolduc participated or led financing rounds, both private and public for a total of $78 M. He is a former president of the Pharmaceutical Marketing Club of Quebec and was recently re-elected as president of BIOQuebec.

Bertrand F. Bolduc, B.Pharm., MBA
President & CEO
Mistral Pharma Inc.
2101 Halpern
Ville St-Laurent, Québec,
Canada, H4S 1S3
Tel: (514) 920-0909 ext. 24
Fax: (514) 920-0404

bbolduc@mistralpharma.com
www.mistralpharma.com