Inion receives US Patent for Bioactive Materials Technology

Patent covers porous or ceramic bone graft substitute materials containing N-methyl pyrollidone

Tampere, Finland and Takeley, UK. 15 May 2007… Inion Oy (LSE: IIN.L) (“Inion”), a company focused on the development of novel biodegradable medical implants has been granted a US patent (US patent No. 7189409) to cover bone grafting materials comprising a porous ceramic or composite bone graft that contains pyrollidones (including N-methyl-pyrrolidone, NMP).

The addition of NMP to such materials is believed to enhance the healing of bone by facilitating the action of natural bone growth promoters at the fracture site. Potential applications of this patented technology lie in the following areas: bone graft substitution for spine fusion, bone loss from emergency trauma and bone loss from cancer of the bone.

NMP is the key bioactive ingredient in Inion’s next generation biodegradable implant material known as Inion OptimaPLUS[TM], for which proof of principle trials are due to complete in the second half of 2007. NMP is currently used in a number of pharmaceuticals marketed in the USA with the appropriate FDA clearance.

Dr Auvo Kaikkonen, Inion’s Chief Scientific Officer, commented: “This new patent represents an important enhancement of our IP portfolio in the development of bone graft materials with bioactive qualities. We are currently investigating several advanced materials designed to enhance the growth of bone for a range of orthopaedic applications and expect this IP portfolio to expand further in the next few months as additional US patents are granted for Inion BioRestore[TM], our novel bioactive scaffold material.”

- ends -

For further information, please contact:

Inion Oy 
Chris Lee, Chief Executive Officer
Dr Auvo Kaikkonen, Chief Scientific Officer
Tel: +44 (0)1279 874 222

Citigate Dewe Rogerson
Mark Swallow / Helena Galilee / David Dible
Tel: +44 (0)207 638 9571 

About Inion (www.inion.com)

Inion Oy is a medical devices company focused on the development and successful commercialisation of innovative biodegradable and bioactive implants in key target markets. The Company’s target segments are Spine and Specialty Orthopaedics.

Inion’s core expertise and technology lies in the design and manufacture of innovative biodegradable plates, screws, pins and membranes, which are used to enhance the healing of bone or soft tissue injuries to the skeleton, such as those caused by trauma or by reconstructive surgery. Inion implants are made from its proprietary Inion Optima[TM] family of biomaterials, with properties tailored for specific surgical applications, in terms of strength, flexibility and rate of degradation.
 
Inion is also focused on developing proprietary new bioactive and biodegradable biomaterials that promote bone healing and accelerate patient rehabilitation.

Inion was incorporated in early 2000 and listed on the Official List of the UK Listing Authority in December 2004. The Company has an office and an R&D facility in the UK and head office, R&D and production facilities in Tampere, Finland.

This announcement includes "forward-looking statements" which include all statements other than statements of historical facts, including, without limitation, those regarding the Group's financial position, business strategy, plans and objectives of management for future operations (including development plans and objectives relating to the Group's products), and any statements preceded by, followed by or that include forward-looking terminology such as the words "targets", "believes", "estimates", "expects", "aims", "intends", "will", "can", "may", "anticipates", "would", "should", "could" or similar expressions or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Group's control that could cause the actual results, performance or achievements of the Group to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Group's present and future business strategies and the environment in which the Group will operate in the future. Among the important factors that could cause the Group's actual results, performance or achievements to differ materially from those in forward-looking statements include those relating to Inion’s funding requirements, regulatory approvals, reliance on third parties, intellectual property, key personnel and other factors. These forward-looking statements speak only as at the date of this announcement. The Group expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this announcement to reflect any change in the Group's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based. As a result of these factors, prospective investors are cautioned not to rely on any forward-looking statement.