SEMBIOSYS ENGAGES DELOITTE AS FINANCIAL ADVISOR TO EXPLORE STRATEGIC
ALTERNATIVES

TSX symbol: SBS

CALGARY, Oct. 1 /CNW/ - SemBioSys Genetics Inc. (TSX:SBS), a development stage biotechnology company that utilizes its patented plant seed, oil body, expression technology platforms to develop Biosimilar drug candidates and high value proteins, today announced that it has retained Deloitte & Touche Corporate Finance Canada, Inc. ("Deloitte") to advise the Company in matters of potential strategic alternatives being considered by the Company and its board of directors. Last year, SemBioSys worked successfully with Deloitte in the sale of other strategic assets as a source of funding. Based on this success, SemBioSys has reengaged Deloitte on a broader strategic mandate, including a sale or merger, an accelerated strategic partnering transaction for either its biosimilar insulin or Apo program, an asset sale, a refinancing in conjunction with a significant restructuring or an orderly wind down of the Company's business. The Company has also been working with a Canadian investment bank on a highly focused regional partnering and financing strategy and will continue to do so.

"As previously disclosed, SemBioSys is seeking strategic alternatives in an effort to extend our cash run way and unlock potential value for our shareholders," said James Szarko, President and Chief Executive Officer of SemBioSys. "Deloitte provides us with expert objective business advice, along with increased bandwidth and contacts to ensure all opportunities are being explored expeditiously and to what we believe are their fullest extent."

About Deloitte

Deloitte, one of the world's leading professional services firms, provides accounting, assurance and advisory, tax, and management and financial and human capital consulting services through 168,000 people in more than 140 countries. As a trusted business advisor to many leading Life Sciences and Health Care organizations, Deloitte has been instrumental in the creation and implementation of strategies that have helped to shape the evolution of the industry.

About SemBioSys

Calgary, Alberta-based SemBioSys is a development stage biotechnology Company that utilizes its patented plant seed oilbody expression technology platforms to develop biosimilar drug candidates and high value proteins. SemBioSys' seed-based protein expression system can enable exceptionally low cost of production with unprecedented scalability and reliability. SemBioSys is focusing the platform selectivity to develop biosimilar product candidates with tremendous commercial value. The Company's current pharmaceutical development programs include insulin (SBS-1000, regulated as a biosimilar in Europe) and Apo AI(Milano), a new chemical entity and next-generation cardiovascular therapy with blockbuster revenue potential if it reaches market for treatment of atherosclerosis. SemBioSys' Apo AI(Milano) is a des-1,2- variant of Apo AI(Milano) as previously described in scientific literature. SemBioSys is listed on the Toronto Stock Exchange under the ticker SBS. More information is available at www.sembiosys.com.

This press release contains certain forward-looking statements, including, without limitation, statements containing the words "believe", "may", "plan", "will", "estimate", "continue", "anticipate", "intend", "expect" and other similar expressions which constitute "forward-looking information" within the meaning of applicable securities laws. Forward-looking statements reflect the Company's current expectation and assumptions, and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. These forward-looking statements involve risks and uncertainties including, but not limited to, changing market conditions and market size, the acceptance of an IND by the FDA in respect of clinical studies, the submission of a CTA to the appropriate European authorities, the successful initiation and timely and successful completion of clinical studies, the fact that Apo AIMilano is currently a development stage drug, the establishment of corporate alliances and partnerships, the impact of competitive products and pricing, new product development, uncertainties related to the regulatory approval process and other risks detailed from time-to-time in the Company's ongoing filings with the Canadian securities regulatory authorities which filings can be found at www.sedar.com. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements either as a result of new information, future events or otherwise, except as required by applicable Canadian securities laws.

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For further information: SemBioSys Genetics Inc.: Rick Pierce, President, U.S. and International Operations, Phone: [phone], E-mail: [email protected]; The Equicom Group Inc.: Ross Marshall, Vice President, Phone: [phone] ext. 238, E-mail: [email protected]