Helix BioMedix and Levlad Announce Peptide License Agreement for Use in New Acne Treatment System

BOTHELL, Wash., Sept. 15 /PRNewswire-FirstCall/ -- Helix BioMedix, Inc. (Bulletin Board: HXBM), a leading developer of proprietary bioactive peptides, and Levlad Inc., a leading manufacturer and marketer of branded natural and organic personal care products, today announced that the companies have entered into a definitive license agreement for Helix BioMedix's proprietary HB64 peptide, being marketed as Oligopeptide-10. Oligopeptide-10 is a key ingredient in Levlad's Nature's Gate(R) Organics Natural Results(TM) Acne Treatment System, which is being introduced at Natural Products Expo East, a showcase of the latest trends in the natural and organic industry currently taking place in Washington, D.C. The Natural Results(TM) Acne Treatment System is expected to be available for sale Fall 2005.

"Anti-acne products sold over the counter represent a $350 million U.S. market, yet studies show that consumers remain unsatisfied with their performance," stated R. Stephen Beatty, President and CEO of Helix BioMedix. "In a 27 person panel test, HB64 demonstrated 96% consumer acceptance and independent studies showed user benefits after just a few days of use. We are excited that Levlad has chosen to incorporate our proprietary peptide technology as a key feature of their new anti-acne product. The license is another example of the strength of our technology and further demonstrates our ability to move beyond the development stage."

"Oligopeptide-10, combined with Salicylic Acid, is clearly the new 'superpower' in acne control," Levlad's President, Paddy Spence, commented. "The combination of this remarkable technology with the other natural ingredients in our new acne care system offers the consumer a powerful and exciting option for controlling acne gently and effectively."

Natural Results(TM) Acne Treatment System is a revolutionary, dermatologist-tested, acne treatment system for use at home. It is the first acne treatment system of its kind to contain Oligopeptide-10, one of the latest scientific breakthroughs in acne management. This unique fusion of 15 naturally occurring amino acids is combined with Salicylic Acid to form a powerful duo that works synergistically to eliminate bacteria and combat blemishes. The added benefit of encapsulated Tea Tree Leaf Oil is particularly beneficial to acne-prone skin and helps to reduce redness for a clear improvement in the skin's overall condition.

About Levlad

Levlad, Inc., with headquarters in Chatsworth, California, is a leading manufacturer and marketer of branded natural and organic personal care products, including shampoos, conditioners, soaps, skin care, bath gels, lotions, deodorants and toothpaste, under the brand names Nature's Gate(R), Nature's Gate(R) Organics(R), and Nature's Gate Organic Therapy which are sold through specialty retailers nationwide. Levlad's branded products utilize all-natural herbs and pH-balanced formulas, and reflect the company's ongoing commitment to environmentally friendly and cruelty-free production. Levlad also provides value-added turnkey manufacturing and formulation services to private label customers, including a number of fast-growing consumer products marketers and retailers. Levlad was acquired by Harvest Partners, a leading New York-based private equity investment firm, in November 2004. Together with its sister company Arbonne International, Inc., they comprise Harvest's Natural Products Group, LLC holding company. Additional information on Levlad and Nature's Gate can be found at www.levlad.com or at www.natures-gate.com

About Helix BioMedix

Helix BioMedix, Inc. is a late-stage biotechnology company that has a portfolio of issued patents that covers six distinct classes of peptides, covering over 1 million unique peptide sequences. The company's mission is to become the industry leader in developing and commercializing small proteins known as bioactive peptides. The antimicrobial and wound healing properties of these peptides qualify them for inclusion in a wide range of both pharmaceutical and consumer products. The company is currently focused on the development of selected peptides as topical anti-infectives and in wound healing. Non-pharmaceutical applications being pursued by Helix BioMedix include adjuvants for cosmetics/cosmeceuticals, personal care, plant health, animal health and wide-spectrum biocides. More information about the company and its proprietary peptides can be found on the company's website at www.helixbiomedix.com.

Important Notice

This press release contains forward-looking statements (statements which are not historical facts) related to Helix BioMedix within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties, including activities, events or developments that the company expects, believes or anticipates will or may occur in the future. A number of factors could cause actual results to differ from those indicated in the forward-looking statements, including the licensee's ability to successfully formulate and manufacture the Acne Treatment System. Additional assumptions, risks and uncertainties are described in detail in our reports and other filings with the Securities and Exchange Commission. Such filings are available on our website or at www.sec.gov. Readers are cautioned that such statements are not guarantees of future performance and that actual results or developments may differ materially from those set forth in the forward-looking statements. The company undertakes no obligation to publicly update or revise forward-looking statements to reflect subsequent events or circumstances.

Contact: Helix BioMedix, Inc. David Kirske, 425-402-8400 dkirske@helixbiomedix.com Investor Relations: Cameron Associates Paul Henning, 212-554-5462 or paul@cameronassoc.com

Helix BioMedix, Inc.

CONTACT: David Kirske of Helix BioMedix, Inc., +1-425-402-8400 ordkirske@helixbiomedix.com; or Investor Relations: Paul Henning of CameronAssociates, +1-212-554-5462 or paul@cameronassoc.com, for Helix BioMedix,Inc.

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