Polydex Phamaceuticals Limited
Corporate Overview

Polydex Pharmaceuticals Limited develops and manufactures dextran-based products for use in drug delivery and in therapeutic compounds with a variety of health care applications.

Polydex serves markets across North America and exports its products to customers around the world. Its stock is publicly traded in the United States on the Nasdaq SmallCap Market System under the symbol POLXF.

A Strong Financial Base

Polydex Pharmaceuticals has been in continuous operation since 1969. The Company’s business continues to be based on a solid foundation: real sales, positive cash flow and tangible material assets. The sale of the veterinary subsidiary in 2004 provided a cash injection, allowing the company to devote sale proceeds toward plant improvements aimed at raising manufacturing standards and increasing production capacity. Refurbishment construction is now well underway at the 28,000 sq. ft. facility in Toronto, and is expected to result in significantly increased production by the end of fiscal 2008. A growing demand for core products Iron Dextran and Copper Dextran is expected to augment sales and revenue as the new equipment is brought online.

Supportive Industry Partners (Including):

Various governmental, university and not-for-profit organizations helping the Company develop Ushercell, its contraceptive product.

A drug development company (BCY LifeSciences), which is developing Usherdex-4 under license from Polydex.

This dextran compound is currently BCY's lead product. BCY successfully completed an animal toxicology study in 2000 and in 2003 Phase I and Phase II human clinical studies involving adult cystic fibrosis patients in several medical centres across Canada. These trials showed that the compound was well tolerated and showed a number of positive trends in relieving breathing difficulties associated with mucous retention in the lungs. BCY LifeSciences is now proceeding with preparations for Phase III human clinical trials.
www.bcylifesciences.com

Active Research Programs

Polydex maintains several active research programs in close collaboration with supportive industry partners internationally. Its lead human product, an innovative prophylactic, has completed numerous pre-clinical and safety trials over the last decade, most recently indicating significant contraceptive properties when used as directed. The compound, known as Ushercell, has also been part of large-scale international research exploring potential uses in prevention of sexually transmitted infections.