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Repligen Corporation (RGEN) Release: Ronald L. Chez Files Amended 13D and Letter to the Board


7/23/2012 10:10:16 AM

CHICAGO, July 23, 2012 /PRNewswire/ -- The following is a letter to the Repligen Board of Directors from Ronald L. Chez, Inc.

Board of Directors
Repligen Corporation
41 Seyon Street
Building #1, Suite 100 Waltham, MA 02453

Dear Board of Directors,

As one of the largest shareholders of Repligen Corporation ("Repligen" or "the Company") (Nasdaq: RGEN), I am writing to express my serious concerns regarding the lack of progress at the Company. As you know from our previous discussions I have, until recently, been a patient shareholder for the past 5 years. I acquired the shares because I believed that Repligen's stock was significantly undervalued. As Repligen's share price is virtually unchanged over the past five years (actually 10 years), I am no longer content waiting for the Board and management to take the necessary actions required to improve shareholder value. As a long­term shareholder with a 9.3% ownership stake, I believe the value of the Company's assets are not reflected in the current share price. Therefore, once again, I request that the Board take all appropriate actions to unlock the inherent value in the Company and explore strategic alternatives immediately.

As a result of the seemingly inexplicable missteps in regards to the RG1068 FDA approval process, I am further compelled to act now. Given the quality of the reread, and the cost and safety benefits of RG1068 compared to ERCP, and the planning, fast-track priority review and orphan drug status established with the FDA, the failure to get approval for RG1068 defies understanding. Every time Repligen appears to be on the verge of achieving a positive result, something goes wrong and as a result, the shareholders suffer.

As I have stated previously in my comments to the Board, I believe the bioprocessing assets have significant value and may be more effectively monetized by another company where there is an inherent strategic fit. I also continue to believe that the same analysis is most probably true for RG1068. RG1068 has absolutely no connection to the marketing and infrastructure of the bioprocessing business. We should be aggressively pursuing the advancement of RG1068 with a company where RG1068 would be a complementary asset.

In the absence of positive, definitive actions that will maximize shareholder value, I intend to pursue alternatives. If the Board is truly focused on maximizing shareholder value, the shareholders need to see that you are attuned to achieving positive results now, rather than later. The status quo has not produced shareholder value for a decade, and is no longer acceptable to me, and it should not be acceptable to the Board.

I appreciate your time and I hope to have a constructive dialogue with the Board regarding Repligen's business, assets, strategy and operations.

Patience is no longer a virtue.

Best regards,

/s/ Ronald L. Chez

Ronald L. Chez

(312) 944-0987

SOURCE Ronald L. Chez, Inc.



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