Laxai Pharma reports $1,735K revenue for first six months

Laxai Pharma, Ltd. (the "Company") (OTCBB:LAXAF), an international pharmaceutical contract research organization ("CRO"), is pleased to announce that it has published its second quarter results last week for the period ended as of June 30, 2010.

For the six month period ended as of June 30, 2010, revenues in the amount of $1,735,000 were generated from the clinical staffing and integrated services provided across the drug development spectrum, compared to no revenues for the six month period ended as of June 30, 2009. Out of the $1,735,000 in revenues, $1,212,000 was generated during the second quarter. This was the first full quarter since the Company completed the purchase of the assets of OSR Solutions, Inc.

For the six month period ended as of June 30, 2010, the Company's total net operating loss was $1,331,000. Of that, $878,000 consists of non-recurring expenses related to the purchase of the assets of OSR (including legal, one-time interest, etc.). $823,000 of the net operating loss was during the second quarter of which $450,000 was non-recurring expenses.

The Company also received its first purchase order for chemistry related services in its newly formed wholly owned subsidiary, Laxai Life Sciences, Inc. "Laxai Life Sciences should allow us to capture more key business going forward. We expect this division to be an important component of revenue," stated Naren Mallakunta, Chief Executive Officer.

Ram Ajjarapu, Executive Chairman, stated: "We are pleased to have our first full post acquisition quarter completed, and will push for continuous improvement both in revenue and profits going forward. In addition, we believe our new subsidiary will allow us to add to our book of business. This is one of the many key business development initiatives of Mr. Mallakunta that we are confident will help to accelerate our growth."