Press Release 20 june 2007 BioGaia's employee incentive scheme The Annual General Meeting of BioGaia AB in April 2007 resolved to carry out a share-based incentive scheme for the employees. In connection with this, it was decided that warrants would be issued in a number of not more than 200,000 and that the subscription period for the warrants would run from 15 May 2007 to 15 June 2007 inclusive. The employees subscribed for a total of 128,950 warrants, resulting in a dilution effect of approximately 0.7% in the total number of shares outstanding and 0.5% in the total number of votes. The remaining warrants have been set aside for future use. Each warrant gives the holder the right to subscribe for one class B share for a price of SEK 76.70 during the period from 15 May 2010 to 31 August 2010 inclusive. The warrant price was calculated according to the customary valuation method (Black & Scholes model) and amounted to SEK 5.32 per warrant. Latest press releases from BioGaia: 2007-06-12 BioGaia signs agreement with a company in the Otsuka group for dog product 2007-04-25 Annual General Meeting of BioGaia 2007-04-24 BioGaia AB Interim Report 1 January - 31 March 2007 For additional information contact: Peter Rothschild, Managing Director, telephone: +46 8 - 555 293 00, Jan Annwall, Deputy Managing Director telephone: +46 8 - 555 293 00 -------------------------------------------------------------------------------- --------------------------------------------------------------- BioGaia is a biotechnology company that develops, markets and sells probiotic products with documented health benefits. The products are primarily based on the lactic acid bacterium Lactobacillus reuteri (Reuteri), which has probiotic, health-enhancing effects. The class B share of the Parent Company BioGaia AB is quoted on the Small Cap list of the Nordic Stock Exchange in Stockholm. www.biogaia.com