Matrix Laboratories Limited is pleased to announce that it has acquired 43 per cent stake in Explora Laboratories S.A, a technology platform company based in Mendrisio, Switzerland.

Explora Laboratories is engaged in the research and development (R&D) of Active Pharmaceutical Ingredients (APIs) and Intermediates through chemical, biochemical and fermentation processes. Explora's expertise in the area of bio-catalysis is very helpful in the development of Corticosteroid and other High Potency APIs such as anti-cancer molecules. It also has expertise in the development of specialized and modified release dosage forms.

Managed by a team of scientists, Explora also possesses know-how in the chemistry of Nucleic Acids (DNA & RNA derivatives) that are mainly used in the development of anti-viral and anti-cancer drugs. Explora has filed two patents to cover its inventions in the area of enzymes immobilization, which is critical for the development of processes involving enzymatic reactions.

Matrix has a large portfolio of products in the therapeutic segments of CNS, cardiovascular, anti-bacterial, anti-viral, anti-retroviral, anti-asthma, anti-histamine, anti-fungal, proton pump inhibitors and pain management. Access to Explora's scientific team would accelerate the entry of Matrix into high potential growth and niche areas such as Corticosteroid and anti-cancer segments. In addition to development of niche generic APIs, Explora's technology platforms would also provide a unique opportunity to Matrix in the area of contract research and manufacturing for the multinational branded pharmaceutical companies.

Explora is presently pursuing third party research work for a group of generic and branded pharmaceutical companies including Matrix. Explora expects to record a revenue of 2 million Swiss francs (CHF) for the calendar year 2005.

Commenting on the development, Mr. Rajiv Malik, the Chief Executive Officer (CEO) of Matrix said: "The technology platforms, experienced management, pipeline of products and the business contracts that are in place make Explora a unique company. Our investment in Explora makes business sense as this company can add synergy to Matrix in the area of anti-cancer and steroids, the two therapeutic segments in which we are not present at the moment".