Current Partnerships

In 2003 and 2004, we entered into development, distribution and supply agreements with Ethicon Inc., a Johnson and Johnson company. The partnership agreement between OMRIX and Ethicon allows each company to do what it does best: OMRIX will manufacture products and hold regulatory licenses; Ethicon will retain exclusive sales and marketing rights in the U.S. and EU to OMRIX biosurgical products in the field of hemostasis and sealing only.

Together, OMRIX and Ethicon co-develop Evicel™, thrombin stand-alone and flowable thrombin, and the Fibrin Patch. Under the terms of the agreements, Ethicon will pay most development costs and OMRIX will receive a percentage of all revenues gained from the sales of these products. While IP, expertise, and revenues are shared by both companies, the agreement reduces product and commercialization risk for OMRIX.

In June 2005, we entered into a manufacturing and supply agreement with Aeris Therapeutics, Inc., or Aeris. Under this agreement, we supply Aeris with our fibrin sealant for pre-clinical, clinical and commercial use worldwide. Aeris is developing a product that uses our fibrin sealant for the treatment of severe emphysema, a disease which results in progressive over-inflation of parts of the lungs, causing shortness of breath and poor respiratory function. Aeris’s product candidate combines our fibrin sealant with other therapeutic components and is administered in a minimally invasive procedure to the most damaged over-inflated regions of lung to improve breathing function by gradually shrinking these treated areas.

With our passive immunotherapy product pipeline, we intend to further refine our hyperimmune capabilities and exploit our manufacturing know-how to rapidly commercialize products that address existing and emerging infectious disease and potential bioterrorism threats.

Our development plans for H-T VIG, a second generation product for our vaccinia immunoglobulin, or VIG, and our west nile immunoglobulin are supported by the United States National Institute of Health, or NIH. We have supplied VIG to several governments, including the United Kingdom Department of Health. Additionally, in 2006 we entered into a Cooperative Research and Development Agreement, or CRADA, with the NIH for the development of an avian flu immunoglobulin.