New Zealand Pure’s The Sylk(R) Health and Personal Care Product Line to Be Acquired by Symbollon Pharmaceuticals

MEDFIELD, MA--(Marketwire - February 04, 2010) -

Symbollon Pharmaceuticals, Inc. (OTCBB: SYMBA) (www.symbollon.com) has announced today that it has signed a term sheet to acquire New Zealand Pure, Inc. New Zealand Pure manufactures and markets an all natural health and personal body care product line under the trade name “Sylk®.” The Sylk® products exclusively utilize in North America the all natural active ingredient, kiwi vine extract. New Zealand Pure currently markets 2 products in the $100+ million U.S. personal lubricant market, Sylk® & Sensation®, and has plans to expand the product line with several additional products based on the same exclusive active ingredient.

Symbollon expects to achieve the following from the acquisition:

-- Positive cash flow from anticipated 2010 Sylk® product revenues; -- Commercialization of additional products using the exclusive Sylk® active; -- Access to New Zealand Pure’s established distribution channels to expand IoGen™ sales; -- Realize synergies in marketing and distribution of IoGen™ and Sylk® products; and -- Leverage New Zealand Pure’s branding and marketing expertise to help propel product sales. 

“This acquisition is a significant step forward in our plans to increase our revenues in the women’s health and personal body care market,” said Paul Desjourdy, President and CEO of Symbollon Pharmaceuticals. “The major drivers for this acquisition are the synergies it will create. Symbollon is planning the launch of IoGen™, its dietary supplement for women’s breast health, in February. IoGen™ is the first dietary supplement formulated to promote breast health for women. We anticipate that the combination of the IoGen™ and Sylk® product lines will help us to achieve profitability in 2010.”

New Zealand Pure was founded in 2002 by Anna Venice and Kareyn Talson. Ms. Venice will be continuing with the company after the acquisition is completed to lead its marketing effects. Since its inception, New Zealand Pure has sold over $1 million in Sylk® products. The Sylk® products are currently available online at: www.sylkusa.com and at numerous retail stores, such as Whole Foods Markets, Vitamin Cottage, and several independent pharmacies.

Under the term sheet, New Zealand Pure will be acquired for $250,000. Symbollon will pay $150,000 in cash and $100,000 in stock. The closing is expected to occur on or before April 1, 2010. Symbollon’s stock shall be valued at the weighted average of the closing sales price as quoted on the OTC Bulletin Board for the 5 business days preceding the closing. Symbollon will need additional resources in order to complete the closing.

The securities to be offered to the New Zealand Pure shareholders will not be or have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

The acquisition contemplated by the term sheet is subject, among other things, to entering into a definitive agreement among the parties, completion of due diligence, execution of a new exclusive distributor agreement with the manufacturer of the Sylk® active, and Symbollon raising at least $1 million in new funding.

Symbollon Pharmaceuticals, Inc. Resources:

-- Corporate Profile: http://symbollon.com/corporate_profile.htm -- FAQ: http://symbollon.com/faq.htm -- Technology Overview: http://symbollon.com/technology_overview.htm 

About New Zealand Pure

Since its inception in 2002, New Zealand Pure has manufactured and marketed all natural health and personal body care products under the trade name Sylk®. New Zealand Pure holds the exclusive manufacturing and distribution rights in the United States, Canada, Mexico and Brazil to products utilizing the all natural active ingredient, kiwi vine extract.

About Symbollon Pharmaceuticals, Inc. (OTCBB: SYMBA)

Symbollon is a specialty biotechnology company focused on the development and commercialization of proprietary products based on its molecular iodine technology for women’s healthcare and antimicrobials uses. For more information about Symbollon, please visit the company’s website at http://www.symbollon.com.

Forward-Looking Statement: This news release contains statements by the Company that involve risks and uncertainties and may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements reflect management’s current views and are based on certain assumptions. Actual results could differ materially from those currently anticipated as a result of a number of factors, including, but not limited to, the risks and uncertainties associated with whether (i) we will be able to successfully commercialize IoGen, (ii) Symbollon will be able to obtain the resources necessary to continue operations as a going concern, (iii) the Company will be able to enter into new arrangements with corporate partners, (iv) management and we will be able to complete the acquisition of New Zealand Pure under the terms of the term sheet, (v) Symbollon will achieve profitability in 2010 and (vi) such other factors as may be disclosed from time-to-time in the Company’s reports as filed with the Securities and Exchange Commission.