BioGaia

Business and Financial Review • Jan 30, 2008

Press Release 30 January 2008

BioGaia Continues its Japanese Venture

BioGaia started pilot sales of soya drinks with BioGaia´s Probiotic Straw in Japan in the second quarter of 2007. The work with adaptation of the products and their marketing to the Japanese market is now complete and, in light of the positive feedback from the trade, BioGaia have decided to further develop the product line and continue the launch. Under the first half-year 2008, this venture is expected to further burden the result, but not at all to the same extent as earlier. The goal with this investment is to establish products with the BioGaia brand in the important Japanese market and in the long term, reach a good return with significant volumes.

"We have arrived at a balanced product mix and a market strategy that has been well received, and we are therefore ready to continue the expansion in the Japanese market." says Peter Rothschild, President BioGaia.

Latest press releases from BioGaia:

2008-01-07	BioGaia signs global agreement for oral health products
2007-10-25	Interim report 1 January – 30 September 2007
2007-09-25	BioGaia signs agreement in Turkey

For additional information contact:

Peter Rothschild, President, telephone: +46 8 - 555 293 00, Jan Annwall, Executive vice President, telephone: +46 8 - 555 293 00

----------------------------------------------------------------------------------------------------------------------------------------------- BioGaia is a biotechnology company that develops, markets and sells probiotic products with documented health benefits. The products are primarily based on the lactic acid bacterium Lactobacillus reuteri (Reuteri), which has probiotic, health-enhancing effects. The class B share of the Parent Company BioGaia AB is quoted on the Small Cap list of the Nordic Stock Exchange in Stockholm.

www.biogaia.com