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Avantogen and Innovate merge key oncology program, RP101, RP101

Avantogen Limited (ASX:ACU), Sydney, Australia and San Diego, CA, and Innovate Oncology, Inc (IOVO:OTCBB), New York, a company founded by Bioaccelerate Holdings Inc. (OTCBB: BACL), today announced execution of a Definitive Agreement whereby Innovate will merge with a wholly-owned subsidiary of Avantogen, thereby acquiring Avantogen's 50% interest in the promising pancreatic chemoresistance inhibitor, RP101. Avantogen Limited will also contribute to Innovate the sum of US$ 1.1 million at closure of this transaction.

The transaction will be satisfied by the issue of 32 million shares of common stock in Innovate to Avantogen Limited which will then own approximately 54% of the US listed Innovate. The transaction is subject to both Innovate and Avantogen shareholders' approval. Subject to these approvals, the acquisition is expected to be completed by the end of March 2006. On January 31, 2006 Innovate's shares closed at US$1.85.

Patients undergoing repeated chemotherapy can develop resistance, and cancer cells continue to grow and spread during treatment. RP101 is intended as co-treatment with cytostatic drugs to prevent the development of resistance to chemotherapy.

In early 2005 the partners announced dramatic results observed in the clinical pilot study of RESprotect in which thirteen pancreatic cancer patients in stage III and VI of disease were treated with RP101, and gemcitabine plus cisplatin. Those results indicated that the 50% probability of survival was increased to an average of 15 months, from a historic average of 7.5 months (p = 0.008) obtained at the same institution under otherwise similar conditions during the prior year. It was also noted that ten of the original thirteen patients lived longer than one year, and six of them were still alive.

Later in 2005 the partners further announced that ten of the thirteen original patients survived at least one year following treatment; median survival was 447 days, whic
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Contact: Dr. Leonard Firestone
858-458-6807
Research Australia
2-Feb-2006


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