Kuros Treats First Patient With KUR-023, its Novel Dural Sealant Product Candidate

European Study is First Clinical Assessment of Kuros' Proprietary Synthetic Technology

ZURICH, February 28, 2011 - Kuros Biosurgery AG, a biotechnology company focused on the
development of novel biomaterials and bioactive-biomaterial combination
products for trauma, wound and spinal indications, announced today that it
has treated the first patient in a pilot clinical trial investigating the
safety and efficacy of KUR-023, its novel dural sealant product candidate.

KUR-023 is a synthetic hydrogel-based sealant that utilises
Kuros' synthetic technology. The product candidate is administered as a spray
with the aim of ensuring water-tight closure of incisions or tears through
the dura mater. It is intended to be used as an adjunct to normal closure
techniques such as suturing.

The trial is a European, single arm, multi-center, study that
will recruit 40 patients. The primary endpoint refers to the prevention of
intraoperative leakage with secondary endpoints related to safety and further
efficacy assessment.

KUR-023 is delivered from a double barrelled syringe with a
mixing spray tip. The product candidate is delivered as a spray which then
arrives on the dura as a liquid, conforms to the surface, and quickly
polymerises. The applied gel is expected to adhere strongly to the dural
surface and be able to withstand cerebral pressures in excess of those
experienced in a patient. The gel is designed to be easy to apply, to swell
minimally (addresses a common problem with hydrogels), to dissolve over a
period of a few months and not to interfere with the natural healing process.

Kuros' synthetic technology is based on technology originally
developed by Prof. Jeffrey Hubbell. The technology uses a cross-linking
chemistry which is highly specific, does not generate any heat and is an
addition reaction, meaning that no chemicals are released during the
polymerisation process.

Didier Cowling, Chief Executive Officer of Kuros, commented:
"Our dural sealant candidate, KUR-023, is our most advanced product candidate
that is based on our proprietary synthetic technology platform. Initiation of
this clinical study is an important milestone for Kuros."

About Dural Sealants

The brain and spinal cord are surrounded by a membrane called
the dura mater. This membrane forms part of the blood-brain barrier and acts
to contain the cerebrospinal fluid within the brain and spinal cord. During
most cranial and some spinal surgeries the integrity of the dura mater is
breached either intentionally by incision or unintentionally. Water-tight
closure of any incision or tear in the dura mater is of clinical importance,
since CSF leakage can result in complications such as delayed wound healing,
compression of neurological tissues and infection (potentially causing
meningitis).

Dural Sealants are applied as an adjunct to the normal dural
closure procedure, which is most commonly sutures.

About Kuros

www.kuros.ch

Kuros is a biotechnology company that is focused on the
development of novel biomaterials and bioactive-biomaterial combination
products for trauma, spine and wound indications.

Kuros has two biomaterial technology platforms, one based on
fibrin sealants and the other based on a synthetic technology that can mimic
fibrin in many of its attributes. These materials can be used alone or in
combination with biologically active molecules.

The synthetic technology is tailorable and allows generation
of products that are delivered as liquids or gels but polymerise, in or on
living tissues, to form materials with different physical properties. For
example, Kuros' synthetic technology can be utilized to develop products
ranging from an elastic and degradeable dural sealant to a strong and
non-degradeable bone cement.

Kuros' combination products are designed to mimic the body's
natural healing process. The products consist of fusion proteins of naturally
occurring bioactive factors, covalently incorporated into fibrin or synthetic
matrices. The incorporation of the biologically active molecules into the
injectable matrices aims to maximize their activity by retention at the site
of action. Kuros' product candidates are designed to combine ease of
application with localized delivery. Kuros has a number of methodologies to
achieve the desired retention and release profiles of the biologically active
molecules.

Kuros' has a diverse pipeline of product candidates with its
most advanced product candidates being in trauma and wound care.

Since its creation, Kuros has received over $100 million in
funding. The company is located in Zurich, Switzerland.

    Press Enquiries

    Kuros
    Didier Cowling, CEO +41(0)44-200-56-62
    Alistair Irvine, Director of Business Development +41(0)44-200-56-62

    For International Media Enquires:
    Citigate Dewe Rogerson
    David Dible, Nina Enegren +44(0)207-638-9571

    For Swiss Media Enquires:
    IRF Communications
    Martin Meier-Pfister +41(0)43-244-81-40
    Jan Gregor +41(0)43-244-81-54

Kuros, Didier Cowling, CEO +41(0)44-200-56-62, Alistair Irvine, Director of Business Development +41(0)44-200-56-62, For International Media Enquires: Citigate Dewe Rogerson, David Dible, Nina Enegren +44(0)207-638-9571, For Swiss Media Enquires: IRF Communications, Martin Meier-Pfister +41(0)43-244-81-40, Jan Gregor +41(0)43-244-81-54