BIOALLIANCE PHARMA : New Achievements in the Collaboration with Its Strategic European Partner, Therabel

Regulatory News:

BioAlliance Pharma SA (Paris:BIO)(Euronext Paris - BIO), a company dedicated to specialty and orphan oncology products, today announces the achievement of the reserved capital increase and the payment of the ?1 million milestone, as provided in the commercialization agreement signed with the Therabel Group for Loramyc^® in Europe.

Therabel has actually subscribed for the maximum amount authorized by the General Assembly Meeting of June 29, 2011, i.e. 680.000 new shares, with a 15% premium over the last 20 business days preceding the operation (?3.65 per share).

Moreover, Therabel has finalized end of December 2011 the discussions with the Italian health authorities (Agenzia Italiana del Farmaco) regarding the price and the reimbursement for Loramyc^®; publication in the Italian official journal should occur shortly. In this context, BioAlliance will receive from its partner an additional payment indexed on futures sales of Loramyc^® in Italy up to a maximum amount of ?500.000.

BioAlliance has received more than ?11 million (royalties excluded) of which ?3.5 million in 2011 since the signature of its partnership agreement with Therabel. An additional ?1 million payment is planned end of 2012.

"The approval from the Italian health authorities is a significant step in the European expansion of Loramyc^® and opens the way to the product's commercialization in Italy", declares Judith Greciet, CEO of BioAlliance Pharma. "These achievements underline the dynamics and the quality of our partnership with Therabel and guarantee our future successes. These funds substantially reinforce our cash reserves and will contribute to develop our R&D programs".

About BioAlliance Pharma

Dedicated to cancer and supportive care treatment with a focus on resistance targeting and orphan products, BioAlliance conceives and develops innovative products, for specialty markets especially in the hospital setting and for orphan or rare diseases.

Created in 1997 and introduced to the Euronext Paris market in 2005, BioAlliance Pharma's ambition is to become a leading player in these fields by coupling innovation to patient needs. The company's teams have the key competencies required to identify, develop and register drugs in Europe and the USA; the products' commercialization rights are licensed to international commercial partners invested in the hospital setting. In areas where medical needs are insufficiently met, its targeted approaches help overcome drug resistance and improve patient health & quality of life.

BioAlliance Pharma has developed an advanced product portfolio:

Specialty products

Loramyc®/Oravig® (oropharyngeal candidiasis in immunocompromised patients): Registered in 28 countries (EU, US, Korea)

Sitavir® (Acyclovir Lauriad TM) (labialis herpes): Positive phase III final results; registration status

Fentanyl LauriadTM (chronic cancer pain): Positive preliminary Phase I results

Orphan Oncology products

Livatag® (Doxorubicin Transdrug?) in primary) liver cancer: Authorization for Phase III clinical trial

Clonidine LauriadTM (mucositis): Phase II on going

AMEP® (invasive melanoma): Phase I on going

For more information, visit the BioAlliance Pharma web site at www.bioalliancepharma.com

Disclaimer

This communication expressly or implicitly contains certain forward-looking statements concerning BioAlliance Pharma SA and its business. Such statements involve certain known and unknown risks, uncertainties and other factors, which could cause the actual results, financial condition, performance or achievements of BioAlliance Pharma SA to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. BioAlliance Pharma SA is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.

For a discussion of risks and uncertainties which could cause actual results, financial condition, performance or achievements of BioAlliance Pharma SA to differ from those contained in the forward-looking statements, please refer to the Risk Factors ("Facteurs de Risque") section of the 2010 Reference Document filed with the AMF on April 7, 2011, which is available on the AMF website (http://www.amf-france.org) or on BioAlliance Pharma SA's website (http://www.bioalliancepharma.com).

BioAlliance Pharma SA
Judith Greciet, CEO
Tel [phone]
[e-mail]
or
Nicolas Fellmann, CFO
Tel.: [phone]
[e-mail]
or
ALIZE RP
Caroline Carmagnol
Tel.: [phone]
[e-mail]