SERO Serologicals (MM)

Serologicals Corporation (NASDAQ: SERO) announced today that Chemicon International, Inc., its wholly-owned subsidiary, and MorphoSys AG (Frankfurt Stock Exchange: MOR; Prime Standard Segment, TecDAX) have signed a three-year agreement for the distribution of HuCAL(R)-based recombinant research antibodies through Chemicon's worldwide sales network. MorphoSys's Antibodies by Design unit will develop antibodies from its proprietary HuCAL GOLD(R) antibody library against targets identified and supplied by Chemicon, a leading provider of research tools. Chemicon may market the licensed HuCAL(R)-based research antibodies for use in in vitro research as stand-alone products or as components of reagent kits. In addition, Chemicon may also market the antibodies for clinical diagnostic applications. The parties are aiming to complete 100 research antibody projects per year over the three year life time of the agreement. MorphoSys receives payment for antibody generation, optional additional fees, and royalties on all products. Further financial details were not disclosed. "The MorphoSys HuCAL(R) recombinant antibody technology will allow us to rapidly generate the antibodies our customers are looking for, and shorten our time to market in key target areas," commented Jeffrey D. Linton, President of Chemicon. "We believe that the access to these new antibodies will further strengthen our extremely broad portfolio of antibody and immunological reagents within our targeted strategic market segments." "Joining forces with Chemicon as a leading provider of tools in active research areas such as stem cell biology is a very attractive opportunity for MorphoSys, and will provide the research community with easy access to HuCAL(R) antibodies through Chemicon's strong distribution network and market presence," commented Dr. Simon Moroney, Chief Executive Officer of MorphoSys AG. "The contract supports MorphoSys's goal to introduce a large number of HuCAL(R) research antibodies into the market as quickly as possible, and will continue to add to our revenues over the next couple of years through an attractive royalty stream." Chemicon International, Inc. offers a broad range of research products, including specialty reagents, kits, antibodies, and custom products and services, to customers working in the areas of neuroscience, stem cell biology, cancer, and infectious disease research. It is also a leading supplier of monoclonal antibodies, conjugates, antibody blends and molecular-based detection kits for use in diagnostic laboratories. Chemicon focuses on basic and biomedical research, drug discovery, and diagnostics, allowing it to serve thousands of customers worldwide in the academic, clinical, biotechnology, and pharmaceutical sectors. Acquired in 2003, Chemicon is a Serologicals company, based in Temecula, CA. For more information, please visit our website: www.chemicon.com. Serologicals Corporation (NASDAQ: SERO), headquartered in Atlanta, GA, is a global leader in developing and commercializing consumable biological products, enabling technologies and services in support of biological research, drug discovery, and the bioprocessing of life-enhancing products. Our customers include researchers at major life science companies and leading research institutions involved in key disciplines, such as neurology, oncology, hematology, immunology, cardiology, proteomics, infectious diseases, cell signaling and stem cell research. In addition, Serologicals is the world's leading provider of monoclonal antibodies for the blood typing industry. Serologicals employs a total of more than 1,000 people worldwide in three Serologicals' companies: Chemicon International, headquartered in Temecula, CA, Upstate Group, LLC, headquartered in Charlottesville, VA and Celliance Corporation, headquartered in Atlanta, GA. For more information, please visit our website: www.serologicals.com. MorphoSys develops and applies innovative technologies for the production of synthetic antibodies which accelerate drug discovery and target characterization. Founded in 1992, the Company's proprietary Human Combinatorial Antibody Library (HuCAL)(R) technology is used by researchers worldwide for human antibody generation. The Company currently has licensing agreements and/or research collaborations with Bayer (Berkeley, California/USA), Boehringer Ingelheim (Ingelheim, Germany), Bristol-Myers Squibb (New Jersey/USA), Centocor Inc. (Malvern, Pennsylvania/USA), GPC Biotech AG (Munich/Germany), Hoffmann-La Roche AG (Basel/Switzerland), ImmunoGen Inc. (Cambridge, Massachusetts/USA), Merck & Co., Inc. (New Jersey/USA), Novartis AG (Basel, Switzerland), Novoplant GmbH (Gatersleben, Germany), Pfizer Inc. (Delaware/USA), ProChon Biotech Ltd. (Rehovot/Israel), Schering AG (Berlin/Germany), Shionogi & Co., Ltd. (Japan), Xoma Ltd. (Berkeley, California/USA) and others. Additionally, MorphoSys is active in the antibody research market through its Antibodies by Design business unit. Antibodies by Design was founded in 2003 for the purpose of exploiting the MorphoSys non-therapeutic antibody markets. MorphoSys' activities in the research antibody segment were significantly strengthened through the acquisition of the U.K. and U.S.-based Biogenesis Group in January 2005. For further information please visit the corporate website at: http://www.morphosys.com/. This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words or phrases such as "should result," "are expected to," "we anticipate," "we estimate," "we project" or similar expressions are intended to identify forward-looking statements. These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed in any forward-looking statements. You should not place undue reliance on forward-looking statements, since the statements speak only as of the date that they are made, and the Company undertakes no obligation to update these statements based on events that may occur after the date of this press release. Serologicals is a registered trademark of Serologicals Royalty Company.