German life sciences entrepreneurs granted option to develop Aeterna Zentaris’ oral allogenic tumor vaccine technology

Aeterna Zentaris Inc. (NASDAQ: AEZS) (TSX: AEZ) (the "Company") today announced that it has granted to German life sciences entrepreneurs with a proven track-record of funding the development and commercialization of biotechnology (collectively, the "Optionee"), an option to license the Company's live recombinant oral allogenic tumor vaccine technology (the "Technology"), including AEZS-120, the most advanced product candidate for prostate cancer which is ready to enter a Phase 1 clinical trial. This option is granted to the Optionee worldwide, for a period of twelve months, in exchange for an upfront fee.

Pursuant to the option agreement, the Optionee has the right to obtain a worldwide exclusive license to develop, use and sell products relating to the Technology and AEZS-120, in exchange for milestone payments and royalties on net sales of any product developed from the Technology and an equity interest in the company formed to develop the Technology. At the present time, Aeterna Zentaris holds worldwide rights to the Technology, including AEZS-120.

David A. Dodd, Chairman and CEO of Aeterna Zentaris, commented, "This agreement is part of our strategy of leveraging some of our promising early-stage drug candidates in order to generate potential long-term value without having to invest in their development. Our live recombinant oral allogenic cancer vaccine is a novel approach to treating cancer and could prove to be a beneficial option for the millions of people suffering from different types of cancer."