Press Release 7 January 2008 BioGaia signs global agreement for oral health products BioGaia has signed an agreement with Sunstar Suisse SA, which gives Sunstar exclusive rights to distribute BioGaia´s probiotic oral health products in more than 100 countries. Sunstar Suisse launched BioGaia´s oral health products 2007 in Germany, France, Italy, Spain and Sweden. Sunstar have had an option to sign a distribution agreement for a large number of countries. Sunstar have now taken the option and have signed a distribution agreement which means that they receive exclusive distribution rights for more than 100 countries. The products will be sold under Sunstars brand GUM PerioBalance. The agreement further includes possibilities to develop new oral products in common projects. The launch will take place within a 2-year period. One of the first launches will be in the USA during 2008. “With this agreement, Sunstar not only confirms to be a truly global leader in Oral Health but also contributes to the scientific progress and diffusion of innovative health solutions on a worldwide basis. The initial results in the countries where we have already launched are very encouraging. The Dental Profession everywhere welcomed such innovation and displayed interest and support" says Gino Borrelli, Head of Global International business, Sunstar. ”The global agreement with Sunstar provides a solid recognition for BioGaia´s probiotic oral products and an acceptance of the probiotic principle in an entirely new area. To date Sunstar´s launches of BioGaia´s oral products have been very successful. That the partnership now expands is a breakthrough for BioGaia - Sunstar is an ideal global partner for BioGaia. Already today, oral health products account for a significant part of BioGaia´s turnover and we expect that Sunstar will shortly be our largest customer.” says Peter Rothschild, President BioGaia AB. Sunstar is one of the world's largest companies in the area of oral health. Sunstar´s products are sold in most of the world markets under brands such as GUM and Butler. In Europe the GUM products are sold in 24 countries. Sunstar was founded in Japan in 1932 and has 3 200 employees. Sunstar´s turnover is approx: USD 1 billion. Latest press releases from BioGaia: 2007-10-25 Interim report 1 January - 30 September 2007 2007-09-25 BioGaia signs agreement in Turkey 2007-09-20 BioGaia signs agreement for probiotic oral health products in Scandinavia For additional information contact: Peter Rothschild, President, telephone: +46 8 - 555 293 00, Jan Annwall, Executive vice President, telephone: +46 8 - 555 293 00 -------------------------------------------------------------------------------- --------------------------------------------------------------- BioGaia is a biotechnology company that develops, markets and sells probiotic products with documented health benefits. The products are primarily based on the lactic acid bacterium Lactobacillus reuteri (Reuteri), which has probiotic, health-enhancing effects. The class B share of the Parent Company BioGaia AB is quoted on the Small Cap list of the Nordic Stock Exchange in Stockholm. www.biogaia.com