Capnia Secures $12 Million Series B Financing; Proceeds will fund Phase IIb Migraine Trials

Capnia, a privately held biomedical company developing a new treatment for migraine headache, has raised $12 million. This will fund the Company's Phase IIb clinical trials, expected to begin in the summer of 2004.

Los Gatos, CA (PRWEB) May 3, 2004--Capnia, a private biomedical product company developing therapeutic products based on its proprietary medical gas delivery platform, announced today that it raised new investment of $12 Million in its Series B financing. Proceeds from the offering will fully fund the Company's Phase IIb clinical trials for the treatment of migraine as well as continuing development and clinical evaluation of other products.

"These funds will take us all the way up to our pivotal clinical trials," said Mark Platshon, CEO of Capnia. "In addition, we can continue investigations into other disease conditions that may benefit from our proprietary topical gas delivery system." The Company expects to begin a multicenter clinical trial of its migraine treatment this summer.

The new round was led by Teknoinvest. Headquartered in Oslo, Norway, Teknoinvest has a long history of successful investment in U.S. and European biomedical companies. Steinar Engelsen, MD, M.Sc. of Teknoinvest will join the Capnia Board of Directors. Other participants in this round include the Biotechnology Development Fund IV managed by BioAsia Investments, Asset Management and Novel Bioventures.

About CAPNIA: CAPNIA is a private company developing novel therapeutic products using its proprietary medical gas delivery system. We are targeting a number of chronic diseases treatable with topical application of well understood, safe and effective gas compounds. Our first product is in Phase II clinical trials for the treatment of acute migraines and related symptoms. 28 million Americans and over 240 million people worldwide suffer from this debilitating condition.

For more information, contact:

Mark Platshon, CEO

170 Knowles Dr., Suite 210

Los Gatos, CA 95032

Tel: (408) 376-0963

Fax: (408) 376-0964

Email: info@capnia.com