Affinergy awarded SBIR grant to find growth factor mimetics
   New proprietary compounds to be mined from Affinergy's proprietary libraries

Affinergy, Inc., a Duke University spinout with a proprietary site-specific biological delivery system, was recently awarded a $256,000 Phase I SBIR grant (Small Business Innovation Research) from National Institute of Arthritis and Musculoskeletal and Skin Diseases (NIAMS). This award is Affinergy's second SBIR grant in 2005 that funds research into proprietary materials for use in the treatment of a variety of diseases.

The funds will be used to accelerate activities to screen Affinergy's proprietary libraries of billions of peptides to find new molecules that mimic the positive clinical effects of growth factors currently on the market. The Phase I project will include laboratory studies to be conducted over the next year. Affinergy plans to file for a Phase II award, pending successful completion of Phase I.

"Affinergy is excited to accelerate our programs in the area of proprietary growth factors because the field holds such great promise downstream in the clinic," said Jonathan Gindes, vice president of finance & operations of Affinergy. "Affinergy's special competency with growth factors and the grant's truly novel approach helped us get this funded on the first submission. From a business perspective, we are excited to move beyond licensing our coatings to Partners and towards building our own proprietary products. We look forward to rolling out a number of other Affinergy products as we continue to grow and build our company."

"This Award is a special validation to our laboratory team's focus on growth factors for the past twelve months," said Paul Hamilton, Ph.D., director of research and development at Affinergy, who will serve as Principal Investigator for the Grant. "Growth factors have already proven to be a great success for patients in the spinal fusion market. We believe Affinergy is uniquely capable of expanding indications for existing growth factors and discovering new growth factors. We are grateful for the support of the National Institute of Arthritis and Musculoskeletal and Skin Diseases and look forward to accelerating this program."

About Affinergy, Inc.
Affinergy develops site-specific biological and drug delivery systems using bio-friendly binders that selectively adhere to proteins, drugs, cells, and other biomaterial surfaces in order to kick-start biology toward an intended outcome. Affinergy is focused in the orthopedic and biologic drug delivery markets with a growing interest in cardiovascular applications. Affinergy's technology was patented at Duke University and has been incubated at Becton Dickinson's research center in Research Triangle Park. Affinergy was awarded 2005 Innovation of the Year by Frost & Sullivan in the category of Medical Device Coatings. For more information, visit http://www.affinergy.com or contact Peyton Anderson at 919-597-6227.