Telik Announces Diabetes License Agreement With ReceptorBio

PALO ALTO, Calif., Aug. 19 /PRNewswire-FirstCall/ — Telik, Inc. announced today that it has entered into a license agreement with ReceptorBio, Inc. which would enable ReceptorBio to develop and commercialize Telik’s oral small molecule insulin receptor activators. These compounds were identified through the application of TRAP(R), Telik’s proprietary drug discovery technology. The agreement provides for payments related to regulatory milestones and royalties based on product sales.

Pre-clinical testing has indicated that these insulin receptor activators, as single agents, lower glucose levels in models of diabetes. The compounds are active in the presence of sub-maximal levels of insulin, and do not cause hypoglycemia at the dose levels examined. This synergy with insulin suggests the compounds could potentially be co-administered with other anti-diabetic agents including insulin. The insulin receptor activating activity of these compounds suggests that they may be attractive drug candidates for advancing the treatment of Type 2 diabetes mellitus and the Insulin Resistance/Metabolic Syndrome (Journal of Biological Chemistry (2002), 277, 43565-43571).

“Since Telik’s development focus does not include metabolic diseases like diabetes we have sought a licensee for this program,” said Steve Schow, Ph.D., Telik’s Vice President of Research. “We believe ReceptorBio’s principals, who are accomplished leaders in the field of diabetes treatment, have the appropriate skills and experience to advance this program.”

Telik, Inc. of Palo Alto, CA, is a biopharmaceutical company focused on discovering, developing and commercializing novel small molecule drugs to treat serious diseases. The company’s most advanced investigational drug candidates in clinical development are TELINTRA(R), a modified glutathione analog for the treatment of cytopenias due to myelodysplastic syndrome or chemotherapy, and TELCYTA(R), a tumor-activated prodrug for the treatment of advanced ovarian cancer and non-small cell lung cancer. Telik’s product candidates were discovered using its proprietary drug discovery technology, TRAP(R), which enables the rapid and efficient discovery of small molecule drug candidates. Additional information is available at http://www.telik.com/.

This press release contains “forward-looking” statements, including statements regarding the potential capabilities and qualities of the small molecule drugs described above and the potential capabilities of TELINTRA and TELCYTA. These forward-looking statements are based upon Telik’s current expectations. There are important factors that could cause Telik’s results to differ materially from those indicated by these forward-looking statements. These drugs have not been approved for testing in human subjects. Should additional, pre-clinical testing indicate the drugs are not safe or effective, or once approved if any clinical trial fails to establish the drugs’ safety or sufficient activity, the drugs will not be approved. If the drugs are shown not to lower glucose levels or have synergy with insulin, the drugs are unlikely to be approved. Detailed information regarding additional factors that may cause actual results to differ materially from the results expressed or implied by statements in this press release may be found in Telik’s periodic filings with the Securities and Exchange Commission, including the factors described in the section entitled “Risk Factors” in its quarterly report on Form 10-Q for the quarter ended June 30, 2008. Telik does not undertake any obligation to update forward-looking statements contained in this press release.

TELIK, the Telik logo, TELINTRA, TELCYTA, and TRAP are trademarks or registered trademarks of Telik, Inc.

Telik, Inc.

CONTACT: Patricia P. Frias, Corporate Communications of Telik, Inc.,+1-650-845-7927, pfrias@telik.com

Web site: http://www.telik.com/