Tranzyme Pharma Announces Successful Completion of Drug Discovery Collaboration With Bristol-Myers Squibb

Tranzyme Pharma Announces Successful Completion of Drug Discovery
Collaboration With Bristol-Myers Squibb

Compounds Transferred to Bristol-Myers Squibb for Further Development

RESEARCH TRIANGLE PARK, N.C., Jan. 4, 2013 (GLOBE NEWSWIRE) -- Tranzyme Pharma
(Nasdaq:TZYM), a biopharmaceutical company focused on discovering, developing
and commercializing novel small molecule macrocyclic compounds, today
announced the successful completion of its chemistry-based drug discovery
collaboration with Bristol-Myers Squibb. As a result of the joint research
efforts, Tranzyme has transferred compounds to Bristol-Myers Squibb for
further development across multiple drug targets. As part of this agreement,
Tranzyme retains the option to further pursue select collaboration targets for
internal development.

The goal of the strategic collaboration, established in December 2009, was to
deploy Tranzyme's proprietary chemistry technology, Macrocyclic Template
Chemistry (MATCH™), in the discovery of novel active macrocycles against a
range of diverse biological targets that have historically been difficult to
access with conventional small molecule chemistry. These macrocycles represent
a distinct and underexplored compound class that displays favorable
characteristics exhibited by large biomolecules, such as high potency and
selectivity, while maintaining the benefits typically associated with small
molecule drugs, such as high oral availability, good tissue and cell
permeability and low cost of goods.

Under the terms of the agreement, Tranzyme had primary responsibility for
early lead compound discovery. Bristol-Myers Squibb has primary responsibility
for optimizing the identified lead compounds, and sole responsibility for
completing preclinical and clinical development of all products arising from
the collaboration, and for their commercialization globally. Total milestone
payments under the agreement, excluding royalties and sales milestones, could
reach up to approximately $80 million for each target program.

"We have enjoyed an exceptionally close and productive relationship with
Bristol-Myers Squibb and are excited to be transitioning now the fruits of our
discovery collaboration to our partner for further development," said Helmut
Thomas, PhD, Tranzyme's Senior Vice President of Research and Preclinical
Development. "This milestone serves to further validate our technology's broad
application to a diverse range of difficult drug targets and its value in the
discovery of drugs for the treatment of diseases far beyond our own internal
focus on gastrointestinal and metabolic disorders."

About Tranzyme Pharma

Tranzyme Pharma is a biopharmaceutical company focused on discovering,
developing and commercializing novel, mechanism-based therapeutics for the
treatment of upper gastrointestinal (GI) motility disorders. While
approximately 40 percent of people in the U.S. are affected by these
persistent and recurring conditions which disrupt the normal movement of food
throughout the GI tract, there are a limited number of safe and effective
treatment options. By leveraging its proprietary drug discovery technology,
MATCH™, Tranzyme is committed to pursuing first-in-class medicines to address
areas of significant unmet medical needs.

Further information about Tranzyme Pharma can be found on the Company's web
site at

Forward-Looking Statements

Statements in this press release may include statements which are not
historical facts and are considered forward-looking within the meaning of
Section 27A of the Securities Act and Section 21E of the Securities Exchange
Act, which are usually identified by the use of words such as "anticipates,"
"believes," "estimates," "expects," "intends," "may," "plans," "projects,"
"seeks," "should," "will," and variations of such words or similar
expressions. We intend these forward-looking statements to be covered by the
safe harbor provisions for forward-looking statements contained in Section 27A
of the Securities Act and Section 21E of the Securities Exchange Act and are
making this statement for purposes of complying with those safe harbor
provisions. These forward-looking statements reflect our current views about
our plans, intentions, expectations, strategies and prospects, including the
potential receipt of milestone payments, which are based on the information
currently available to us and on assumptions we have made. Although we believe
that our plans, intentions, expectations, strategies and prospects as
reflected in or suggested by those forward-looking statements are reasonable,
we can give no assurance that the plans, intentions, expectations or
strategies will be attained or achieved. Furthermore, actual results may
differ materially from those described in the forward-looking statements and
will be affected by a variety of risks and factors that are beyond our control
including, without limitation, risks related to enrollment and successful
completion of our trials, risk of unforeseen side effects, risks related to
our collaborations and risks related to regulatory approval of new drug
candidates. Further information on these and other factors that could affect
the company's financial results is contained in our public filings with the
Securities and Exchange Commission (SEC) from time to time, including our Form
10-Q for the quarter ended September 30, 2012 which was filed with the SEC on
November 9, 2012, and subsequent filings with the SEC. Existing and
prospective investors are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date hereof. We assume
no obligation to update publicly any forward-looking statements, whether as a
result of new information, future events or otherwise.

CONTACT: Corporate Inquiries:
         Susan Sharpe
         Director, Corporate Communications
         (919) 328-1109
         Investor Inquiries:
         David Carey
         Lazar Partners, Ltd.
         (212) 867-1768
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