Living Cell Technologies Ltd.'s World-Leading Encapsulating Technology Granted Vital Australian Patent

Published: Feb 24, 2011

Thursday 24th February, 2011: Sydney, Australia, Auckland, New Zealand. Living Cell Technologies Limited (ASX: LCT; OTCQX: LVCLY) a global company pioneering the development of a cell implant therapy to treat diabetes and neurodegenerative diseases, has been granted a patent by the Australian Patent Office for IMMUPEL(tm), LCT's industry-leading technology for encapsulating living cells prior to transplantation.

IMMUPEL is a novel, proprietary encapsulation technology for use in cell transplantation applications. This selectively permeable system protects encapsulated living cells from immune rejection without the need for immunosuppressant drugs, while at the same time allowing the transplanted cells to survive and function normally.

As demonstrated in a successful clinical trial in Russia and in an on-going Phase II clinical trial in New Zealand, the IMMUPEL platform, as used in LCT's DIABECELL® product, has facilitated the effective transplantation of insulin-secreting porcine pancreatic cells into diabetes patients.

The granting of the Australian patent provides protection of this crucial intellectual property in advance of possible future clinical trials in Australia.

Chief Executive Officer of LCT, Dr Ross Macdonald said: "Microencapsulation technology has been proposed for several decades but Living Cell Technology's product is the first to show clear efficacy in humans using encapsulated cells derived from another species, in this case from pigs. This is an important patent for us as we continue to execute our product development and commercialisation strategy."

For further information:

At the company: Dr Ross Macdonald Chief Executive Officer, Living Cell Technologies Ltd. Tel: +64 9 2762690 Mobile: +61 (0) 412119343

Media and investor enquiries: NZ and Australia: Buchan Consulting Rebecca Wilson Tel: +61 3 9866 4722 Mobile: +61 417 382 391

Erik Denison Tel: +61 2 9237 2800 Mobile: +61 432 712 278

About Living Cell Technologies -

Living Cell Technologies (LCT) is developing cell-based products to treat life threatening human diseases. The Company owns a biocertified pig herd that it uses as a source of cells for treating diabetes and neurological disorders. For patients with Type 1 diabetes, the Company transplants microencapsulated islet cells so that near-normal blood glucose levels may be achieved without the need for administration of insulin or at significantly reduced levels. The Company entered clinical trials for its diabetes product in 2007. For the treatment of Parkinson's disease and other neurological disorders, the company transplants microencapsulated choroid plexus cells that deliver beneficial proteins and neurotrophic factors to the brain. LCT's technology enables healthy living cells to be injected into patients to replace or repair damaged tissue without requiring the use of immunosuppressive drugs to prevent rejection. LCT also offers medical-grade porcine-derived products for the repair and replacement of damaged tissues, as well as for research and other purposes.

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