April 01, 2009

WATERTOWN, MA, APRIL 1, 2009 – EnVivo Pharmaceuticals today announced an agreement with Mitsubishi Tanabe Pharma Corporation (MTPC) for the development and commercialization of its lead product candidate, EVP-6124, in Japan and several other Asian countries.

EVP-6124 is EnVivo’s novel alpha-7 nicotinic acetylcholine receptor agonist currently in development for cognition enhancement in patients with Alzheimer’s disease and Schizophrenia. EnVivo recently reported positive results of its clinical bio-marker study in Schizophrenia patients in which EVP-6124 showed a significant improvement in several sensory and cognition markers. These evoked response biomarkers correlate with the degree of impairment of awareness, cognition and judgment, as well as the overall clinical condition of patients with Schizophrenia. EnVivo’s clinical study in Alzheimer’s patients, both naïve and already on acetylcholine esterase inhibitors, is ongoing.

“MTPC is one of Japan’s largest and most respected pharmaceutical companies,” said Kees Been, EnVivo’s chief executive officer, “and we believe that its experience in CNS-related diseases in general and its commitment in Alzheimer’s disease and Schizophrenia makes MTPC an ideal partner for EVP-6124 in the Japan and Asia markets. With the strength of EnVivo’s clinical data and MTPC’s additional financial and development resources, we hope this partnership will accelerate the availability of a new and valuable therapy to Alzheimer’s and Schizophrenia patients in the MTPC territory.”

Collaboration arrangements

Under the terms of the agreement, MTPC has obtained exclusive rights to develop and commercialize EnVivo’s alpha-7 nicotinic acetylcholine receptor agonists such as EVP-6124 in Japan, Korea, Taiwan, Indonesia and several other Asian markets. MTPC plans to initiate Phase I clinical trials within 2010. EnVivo will receive an initial license payment and is eligible for clinical and regulatory milestones, as well as several commercial milestones. EnVivo also will receive royalties on sales of EVP-6124 in the MTPC territory.

About EnVivo Pharmaceuticals

EnVivo Pharmaceuticals, located in Watertown, Mass., is a biopharmaceutical company dedicated to discovering and developing small molecule therapeutics for disorders of the central nervous system, with a current focus on Alzheimer’s disease, Huntington’s disease, cognition and Schizophrenia. The company’s lead product is an alpha-7 nicotinic acetylcholine receptor agonist and is being tested in Phase 2a clinical trials for cognition disorders in Alzheimer’s disease and Schizophrenia. The company’s other programs include an epigenetics program based on Histone Deacetylase inhibition (HDACi) for cognition in Alzheimer’s disease, and several preclinical programs such as a Gamma Secretase Modulator and a PDE10 inhibitor.

About Mitsubishi Tanabe Pharma Corporation

Mitsubishi Tanabe Pharma Corporation is a research-driven global biopharmaceutical leader based in Japan, specializing in research, development and marketing of globally competitive pharmaceutical products focused on cardiovascular and metabolic disorders, and immune and inflammatory diseases as well as central nervous system-related disorders. In particular, MTPC strategically focuses on drug discovery in the field of diabetes including a broad range of clinical states from metabolic risks (obesity/dyslipidemia) to complications (renal dysfunction/dialysis) and stroke including the total range of disease phases such as acute phase, convalescence and maintenance. MTPC is currently developing two Phase III clinical candidates in the U.S. and EU: MCI-196 for hyperphosphatemia and MP-146 for CKD. For more information,