U.S. Patent Office awards patent protection to Microbix' LumiSort™ Livestock Semen Sexing Technology



Microbix Biosystems Inc. (TSX:MBX), today announced receipt from the United States Patent and Trademark Office of U.S. patent number 8,004,661, for LumiSort™, Microbix' sperm sexing technology for the livestock industries. Microbix' LumiSort technology eliminates the speed and quality barriers that have limited the production and use of sex-sorted sperm, and promises to bring fundamental change to reproductive biology for the livestock industries, with large-market impact in the dairy and beef sectors worldwide.

William J. Gastle, Microbix' Chief Executive Officer said, "With strong patent protection, LumiSort will fuel Microbix' growth as we enter one of the fastest growing economic sectors in the world today: The animal health industry. When we explain LumiSort's mode of action and benefits, livestock experts tell us that LumiSort may quickly become a market-shifting technology that creates a new model for artificial insemination and may change practices in the beef and dairy industries."

Microbix has previously disclosed engineering studies that have supported Microbix' prediction that LumiSort technology will enable the analysis and separation of sperm cells up to 10 times faster, and with higher yield and fertility, than current market technology. LumiSort will complement and accelerate genomics programs and embryo-based reproductive strategies by permitting the precise determination of sex in accordance with the requirements of an optimized breeding program. The technology is useful for all kinds of cells, including asymmetric, non-spherical cells like sperm that are difficult to analyze on conventional cytometers.

Microbix continues to execute its worldwide intellectual property strategy for LumiSort, including pursuing related patent applications that are pending in jurisdictions worldwide. Additionally, Microbix has announced recent patent application filings that build upon and extend Microbix' intellectual property ambitions in this area, incorporating further developments from Microbix' research and development efforts.

Microbix has established agreements for LumiSort with companies located in the United States, Canada, Australia, Europe, South America, and China representing more than 35% of the dairy semen collection centers and will enter a global animal reproduction market for artificial insemination valued at more than $3 billion. All agreements include the same royalty payment to Microbix of 15% of selling price. The company is accelerating its program to sign license agreements with additional distributors. In addition, Microbix is in advanced discussions with manufacturing companies to build the instrument that the company expects to be the future of livestock artificial insemination.

In 2010, Microbix announced a partnership with one of the largest suppliers of livestock reproduction products in the world, which has invested in the program through a milestone-based, $2 million investment, and will rapidly deploy LumiSort into their markets. This year, Microbix announced the engagement of Lathrop Engineering Inc., a leading Silicon Valley technology development company, toward the engineering and delivery of the LumiSort instrument.

About Microbix Biosystems Inc.
Microbix Biosystems Inc. specializes in the development of biological technologies and commercializing them through global partners. The Company has intellectual property in large market biotherapeutic drugs, vaccine technologies and animal reproduction technologies. Established in 1988, Microbix is headquartered in Toronto.

For further information:
Visit www.microbix.com or contact: William J. Gastle, CEO, (416) 234-1624 x 230; or James Long, CFO, (416) 234-1624 x 265.

08.25.2011