Kamada Signs a $20M Financing Agreement With Hercules Technology Growth Capital

Business Wire, Jan 29, 2008

According to David Tsur, CEO Kamada: "We are looking forward to a fruitful year with major achievements, among which are: the completion of the Phase III clinical study of our AAT IV drug expected during Q2/2008 and the advancement of the clinical and development plans with our aerosolized AAT product, the next generation AAT product"

WEIZMANN SCIENCE PARK, Israel -- Kamada (TASE:KMDA), an Israeli-based biopharmaceutical company (KMDA/www.kamada.com), announced today it has signed a $20M financing agreement with US based Hercules Technology Growth Capital, Inc. (Nasdaq:HTGC), under venture lending terms. The agreement is aimed at diversifying the company's financing sources and to further finance its strategic plans over the forthcoming years.

Hercules Technology Growth Capital, Inc., (HTGC/www.htgc.com) is a publicly traded specialty finance company focused on providing debt and equity growth capital to technology and life science companies at all stages of development. Kamada is one of a select group of Israeli companies to join forces with Hercules (operating in Israel in a collaboration with Market Bridges, Ltd.) following the latter's June announcement of its intent to provide the Israeli market with financing opportunities. Hercules' investment portfolio through the end of Q3 2007 was worth $416M, with investments made in a total of 82 companies around the world. Since the end of Q3 2007, Hercules has also signed binding agreements for additional accumulated investments totaling $133M.

Commenting on the agreement with Hercules, David Tsur, CEO of Kamada, said: "the agreement with Hercules, a world reknowned financing organization, indicates a vote of confidence in Kamada's growth potential. 2007 has been a banner year for Kamada, including advanced clinical trials for US/FDA registration of intravenous AAT and major progress in clinical trials for European registration of the inhaled AAT, in addition to upgrading its manufacturing plant to FDA/EMEA standards. In the future, these investments could - pending successful completion of clinical trials, regulatory processes, as well as strategic alliances and the manufacturing capacity - ensure a long term increase in company revenue due to US and European sales." Tsur added that "The agreement with Hercules will significantly contribute to achieving company goals".

About Hercules

Hercules Technology Growth Capital, Inc. is a NASDAQ traded specialty finance company providing debt and equity growth capital to technology and life science companies at all stages of development. Founded in December 2003, the company primarily finances privately held companies backed by leading venture capital and private equity firms. Hercules invests in a broad range of ventures and offers a full suite of growth capital products up and down the capital structure. The company is headquartered in Palo Alto, California, and has additional offices in the Boston, Boulder, San Diego and Chicago areas.

About Hercules and Israel

In the Israeli market, Hercules has partnered with Market Bridges Ltd. Manuel Henriquez, the CEO of Hercules, and Gil Sudai, the CEO of Market Bridges, announced in June this year that Hercules plans to invest $100M each year in Israel.

About Market Bridges

Market Bridges is a Tel Aviv based financial services and business development firm, specializing in bridging between Israeli emerging growth companies and international partners and investors. Market Bridges is also the Israeli partner of JMP Securities and Hercules.

About Kamada

Kamada is an Israeli biopharmaceutical company developing, producing and marketing specialty life-saving therapeutics marketed in over 15 countries. Several of the company's products are undergoing advanced stages of clinical trials.