Biotie Therapies - Company Announcement

Lundbeck has made EUR 10 Million equity investment in Biotie and the parties amend the Selincro licensing agreement regarding territories outside the EU and US

BIOTIE THERAPIES CORP.        STOCK EXCHANGE RELEASE    7 September 2012 at
8.00 a.m.

Not for release, publication or distribution, directly or indirectly, in whole
or in part, in or into the United States, Australia, Canada, Japan or South
Africa.

Lundbeck has made EUR 10 Million equity investment in Biotie and the parties
amend the Selincro licensing agreement regarding territories outside the EU and
US

Biotie Therapies Corp. ("Biotie" or the "Company") announces that H. Lundbeck
A/S ("Lundbeck") has subscribed for 18,604,651 shares in Biotie at a
subscription price of EUR 0.5375 per share representing an 4.6% equity stake
after the share issue and amounting to an investment of EUR 10 million. In
connection with this transaction, the worldwide license agreement regarding
Selincro (nalmefene) has been amended whereby the royalties on the sales on
markets outside the European Union, the European Free Trade Area and the United
States are decreased in order to support the possible launching of the product
for these markets, and Biotie may receive an additional sales milestone payment
in the amount of EUR 5 million in Japan.

Lundbeck holds worldwide development and commercialization rights to Selincro, a
new opioid system modulator for alcohol dependence. Lundbeck has filed a
marketing authorization application for Selincro in the EU with the European
Medicines Agency and a decision on potential approval is expected during H2
2012.

Timo Veromaa, President and Chief Executive Officer of Biotie commented: "We are
delighted that our partnership with Lundbeck has led to an equity position in
Biotie, demonstrating Lundbeck's commitment to as well as belief in the
prospects of Selincro and our Company. We look forward to working with Lundbeck
more closely as a key strategic partner."

The transaction was executed on 6 September 2012 after the close of trading on
NASDAQ OMX Helsinki Ltd. The transaction was priced at a premium of 25% to the
subscription price in the share issue directed to institutional investors, which
was carried out simultaneously. The new shares will be listed on the NASDAQ OMX
Helsinki Ltd on or about 17 September 2012. The new shares will rank pari passu
in all respects with the existing shares of the Company once they have been
registered with the Finnish Trade Register. As a result of the share issue
directed to Lundbeck, the share capital of Biotie will be increased to EUR
175,919,181.95, the total number of shares will increase to 406,199,108, and the
number of votes carried by the shares will increase to 397,029,601 (taking into
consideration the treasury shares held by Biotie and its subsidiaries).

In connection with the share subscription, Lundbeck has agreed not to sell or
otherwise dispose the new shares for at least 18 months after the subscription
without prior consent from Biotie.

Under the terms of the amended license agreement Biotie is eligible for up to
EUR 89 million in upfront and milestone payments (from EUR 84 million
previously) plus royalties on sales of Selincro. Biotie has previously received
EUR 12 million of such milestone payments from Lundbeck. Further milestone
payments are expected on potential commercial launch of nalmefene and on the
product potentially reaching certain predetermined sales.

The terms and conditions of the share issue are set out in the link below.

Biotie Therapies Corp.
Timo Veromaa
President and CEO

For further information, please contact:
Virve Nurmi, Investor Relations Manager, Biotie Therapies Corp.
tel. +358 2 274 8900, e-mail: virve.nurmi@biotie.com
www.biotie.com

DISTRIBUTION:
NASDAQ OMX Helsinki Ltd
Main Media

About Biotie

Biotie is a specialized drug development company focused on the development of
drugs for neurodegenerative and psychiatric disorders (e.g. Parkinson's disease,
Alzheimer's disease and other cognitive disorders, alcohol and drug dependence
(addiction) and post traumatic stress disorder), and inflammatory and fibrotic
liver disease.The company has a strong and balanced development portfolio with
several innovative small molecule and biological drug candidates at different
stages of clinical development. Biotie's products address diseases with high
unmet medical need and significant market potential.

Biotie has a strategic collaboration with UCB Pharma S.A. covering tozadenant
for Parkinson's disease. The Marketing Authorization Application for Biotie's
most advanced product, SelincroTM (nalmefene) for alcohol dependence was filed
in the EU by our partner H. Lundbeck A/S and was accepted for review by the
European Medicines Agency in December 2011. Biotie shares are listed on NASDAQ
OMX Helsinki Ltd.



The information herein may not be distributed or sent into the United States,
Australia, Canada, Japan or South Africa. The information contained herein shall
not constitute an offer to sell or the solicitation of an offer to buy, nor
shall there be any sale of the securities referred to herein in any jurisdiction
in which such offer, solicitation or sale would be unlawful prior to
registration, exemption from registration or qualification under the securities
laws of any such jurisdiction.

The information contained herein does not constitute an offer of securities for
sale in the United States. The securities referenced in this release may not be
offered or sold in the United States absent registration or an exemption from
registration as provided in the United States Securities Act of 1933, as
amended, and the rules and regulations thereunder. Biotie does not intend to
register any portion of the share issue in the United States or to conduct a
public offering of any securities in the United States.

No securities will be offered or sold in any Member State of the European
Economic Area other than to persons who are "qualified investors" within the
meaning of Article 2(1)(e) of the Prospectus Directive.  For the purposes of
this provision, the expression "Prospectus Directive" means Directive
2003/71/EC (and amendments thereto, including the 2010 Amending Directive, to
the extent implemented in the Relevant Member State), and includes any relevant
implementing measure in the Relevant Member State, and the expression "2010
Amending Directive" means Directive 2010/73/EU.

This communication does not constitute an offer of securities to the public in
the United Kingdom. This communication is directed only at (i) persons who are
outside the United Kingdom, (ii) persons who have professional experience in
matters relating to investments falling within Article 19(5) of the Financial
Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "FP Order")
and (iii) high net worth entities falling within Article 49(2) of the FP Order,
and other persons to whom it may lawfully be communicated, (all such persons
together being referred to as "relevant persons"). Any investment activity to
which this communication relates will only be available to, and will only be
engaged with, relevant persons. Any person who is not a relevant person should
not act or rely on this document or any of its contents.

LINK TO THE TERMS AND CONDITIONS OF THE SHARE ISSUE




[HUG#1639425]

Attachments:

Lundbeck share issue terms and conditions.pdf