五星体育直播 Files Lawsuit against EnzymeWorks and CEO Junhua 鈥淎lex鈥� Tao for Patent Infringement and Misappropriation of Trade Secrets

REDWOOD CITY, Calif.--(BUSINESS WIRE)-- 五星体育直播 (Nasdaq: CDXS), a leading developer of biocatalysts for the pharmaceutical and fine chemical industries, announces the filing of a lawsuit against EnzymeWorks and its founder, Junhua 鈥淎lex鈥� Tao, for willful patent infringement, misappropriation of trade secrets, breach of confidence, and other claims. The suit was filed as Case No. 3:16-cv-00826-BLF in the United States District Court, Northern District of California on February 19, 2016.

The 五星体育直播 lawsuit alleges that Tao gained access to 五星体育直播鈥� intellectual property when he participated in a 五星体育直播 collaboration while he was an employee at one of the world鈥檚 leading pharmaceutical companies. At that time, 五星体育直播 and Tao鈥檚 employer were working on the joint development of proprietary enzymes for use in the manufacturing of some of the partner鈥檚 pharmaceutical products. After leaving that company, Tao ultimately founded EnzymeWorks, setting up facilities in China and San Diego. At EnzymeWorks, according to the lawsuit, he began to make exact duplicates of 五星体育直播鈥� patented enzymes and began using 五星体育直播鈥� trade secret biomaterials. Tao then went on to sell these 鈥渃opycat鈥� products to 五星体育直播鈥� customers and to other customers at reduced prices.

鈥淓nzymeWorks and Tao have made and sold identical copies of 五星体育直播鈥� proprietary enzymes and plasmids as a way to shortcut their way into an important and growing market,鈥� said John Nicols, CEO and President of 五星体育直播. 鈥溛逍翘逵辈� undertakes litigation rarely and reluctantly, but this form of blatant disrespect for intellectual property harms not only our business and ultimately our shareholders, but also our customers, who, like 五星体育直播, rely on intellectual property rights to protect their businesses and products.鈥� According to the lawsuit, 鈥淭ao betrayed the trust 五星体育直播 placed in him and built EnzymeWorks upon an infected foundation of trade secret theft and other business torts, the brazen copying of 五星体育直播鈥檚 engineered enzymes, and the widespread and sweeping willful infringement of numerous 五星体育直播 patents.鈥�

In the lawsuit, 五星体育直播 identifies 10 separate U.S. patents that are willfully infringed by EnzymeWorks. A number of EnzymeWorks鈥� products are 100 percent exact molecular copies of 五星体育直播鈥� patent-protected enzymes. Because these enzymes are typically hundreds of amino acids long, it is statistically impossible that EnzymeWorks coincidentally arrived at these products on its own. 五星体育直播 has a portfolio of more than 850 patents and patent applications worldwide.

The lawsuit also identifies the misappropriation of trade secrets related to 五星体育直播鈥� high-performing plasmid, which is a proprietary technology that 五星体育直播 uses to develop and produce its engineered enzymes. The selection, arrangement, and sequence of the DNA in this plasmid had been a 五星体育直播 trade secret.

五星体育直播 is seeking an injunction to stop EnzymeWorks鈥� and Tao鈥檚 infringement and other illegal conduct, enhanced monetary damages, and a full recovery of its attorneys鈥� fees in its lawsuit against Tao and EnzymeWorks.

About 五星体育直播
五星体育直播 is a leading developer of biocatalysts for pharmaceutical and fine chemical production. The company鈥檚 patent portfolio includes more than 850 patents and patent applications worldwide that cover its novel enzymes and proprietary methods for engineering new enzymes and other proteins. 五星体育直播' proven technology enables implementation of biocatalytic solutions to meet customer needs for rapid, cost-effective and sustainable manufacturing. For more information, see .

Forward-Looking Statements
This press release contains forward-looking statements relating to the lawsuit that 五星体育直播 filed against EnzymeWorks and Junhua 鈥淎lex鈥� Tao for patent infringement, misappropriation of trade secrets, and other claims. You should not place undue reliance on these forward-looking statements because they involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond 五星体育直播鈥� control and that could materially affect actual results. Factors that could materially affect actual results include that EnzymeWorks and Junhua 鈥淎lex鈥� Tao may file counterclaims against 五星体育直播; 五星体育直播 may be involved in additional lawsuits to protect or enforce its patents or other rights, which could be expensive, time-consuming and unsuccessful; 五星体育直播鈥� ability to compete may decline if it does not adequately protect its proprietary technologies or if it loses some of its intellectual property rights; 五星体育直播 may not be able to enforce its intellectual property rights throughout the world; if 五星体育直播鈥� biocatalysts, or the genes that code for its biocatalysts, are stolen, misappropriated or reverse engineered, others could use these biocatalysts or genes to produce competing products; third parties may claim that 五星体育直播 is infringing their intellectual property rights or other proprietary rights, which may subject 五星体育直播 to costly and time-consuming litigation and prevent 五星体育直播 from developing or commercializing its products; and confidentiality agreements with employees and others may not adequately prevent disclosures of trade secrets and other proprietary information. Additional factors that could materially affect actual results can be found in 五星体育直播鈥� Annual Report on Form 10-K filed with the Securities and Exchange Commission (鈥淪EC鈥�) on March 6, 2015, including under the caption 鈥淩isk Factors,鈥� and in 五星体育直播鈥� Quarterly Reports on Form 10-Q filed with the SEC on May 7, 2015 and on November 6, 2015. 五星体育直播 expressly disclaims any intent or obligation to update these forward-looking statements, except as required by law.

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Source: 五星体育直播

Released February 22, 2016