KARO BIO’S ANNUAL REPORT NOW AVAILABLE

Stockholm, March 25, 2011 – Karo Bio AB’s annual report for 2010 is as of today available on the company’s website www.karobio.com (https://www.karobio.com/).

The printed version of the annual report will be distributed to shareholders and others specifically subscribing to the printed version. It can also be ordered from Karo Bio by mail to Karo Bio AB, attn: Eva Kruse, Novum, 141 57 Huddinge, Sweden, by fax to +46 8 774 52 80, or by e-mail to investor@karobio.com (investor@karobio.com).

For further information please contact

Fredrik Lindgren, CEO
Phone: +46 70 561 61 77

Erika Söderberg Johnson, CFO
Phone: +46 8 608 60 52

About Karo Bio
Karo Bio is a pharmaceutical company focused on the research and development of innovative drugs for unmet medical needs. Karo Bio’s vision is to become a pharmaceutical company with sustainable profitability, commercial products and a competitive project portfolio.

Karo Bio runs a number of development projects within the indication areas cardiovascular and metabolic diseases, neuropsychiatry, inflammatory conditions, autoimmune diseases, cancer and women’s health. An important foundation for the company’s activities is its unique knowledge of nuclear receptors as target proteins for the development of novel pharmaceuticals, as well as related mechanisms of action. Important processes and competencies within the company include structurally based research, drug discovery, preclinical and clinical development, and medical and regulatory expertise.

Karo Bio has the capacity to process select compounds for niche indications through the whole development chain, while compounds addressing large patient groups require development collaborations or out-licensing at some stage in the process. In addition to proprietary projects, Karo Bio has three strategic collaborations with international pharmaceutical companies. Karo Bio, headquartered in Huddinge, has 70 employees, and is listed on NASDAQ OMX Stockholm since 1998 (Reuters: KARO.ST).

Karo Bio publishes this information in accordance with the Swedish Securities Markets Act and/or the Swedish Financial Instruments Trading Act. The information was published on March 25, 2011, at 2:00 pm CET.

This press release is also available online at: www.karobio.se (https://www.karobio.se/) and www.newsroom.cision.com