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Sernova Receives Financial Contributions From The National Research Council To Support The Development Of Human Implantation Device

Sernova Corp. announced it has been awarded a financial contribution of up to $486,000 from the National Research Council of Canada Industrial Research Assistance Program (NRC-IRAP). This non-repayable contribution, along with technical and business oriented advisory services provided by NRC-IRAP, will be used by Sernova to support an important pre-clinical study to validate and optimize Sernova's novel Cell Pouch System device for cell transplantation into humans.

The Cell Pouch System is a device which has been developed for human use and is a key component of Sernova’s platform technology. The Cell Pouch System will be used initially for treatment of insulin-dependent diabetes and has the potential for use in additional cell transplantation therapies including haemophilia, spinal chord injury, Parkinson’s disease and other chronic debilitating diseases.

Dr. Philip Toleikis, President and CEO of Sernova said We are grateful to NRC-IRAP for their crucial support of this important study, which will advance the development of a Canadian technology with ramifications for the treatment of insulin-dependent diabetics and other major diseases. We appreciate NRC-IRAP’s thorough review of our development program and look forward to commercializing our technology into multiple disease indications and major markets worldwide.

The study supported by NRC-IRAP involves implantation of Sernova’s novel medical device into diabetic pigs to establish device parameters and optimize performance. The study is expected to commence in August, 2009 and be completed within 12 months. The interim results that will be generated within 3-6 months will be used to finalize the device design for the planned large animal study recommended by the FDA, in support of a future Phase I/II human clinical study. Sernova has initiated discussions to conduct this large animal study in collaboration with a major transplant centre in the United States.