Sirona Biochem Corporation - CEO Letter to Shareholders

VANCOUVER, BC--(Marketwired - July 21, 2014) - Sirona Biochem Corp. (TSX VENTURE: SBM) (OTCQX: SRBCF) (FRANKFURT: ZSB) today provided a business update.

Dear Shareholders and Investors,

As announced in our recent news release, I, Howard Verrico, have stepped in as CEO of Sirona Biochem. Although this change is significant, I have always maintained an active role in Sirona's operations throughout its history making this an efficient transition. I can assure you we are moving along on all initiatives as planned. As founder, Chairman of the Board and a major shareholder I will personally ensure the responsibilities and deliverables of CEO are achieved. Under supervision of Sirona's Board, the search, selection and appointment of a new executive management team member will occur as a priority task.

Financial:

In February 2014, we announced the completion of a $1.2M private placement. The original plan was to follow this up with a US led investment of approximately $4 million. This initiative was abandoned since terms did not meet our vision for the direction of our company. The management of the company was and is unwilling to settle for terms that we feel create risk to the current shareholder value.

We anticipate minimal financing needs over the next twelve to eighteen months. To avoid unnecessary dilution, we will continue to apply for government grants and loans where applicable rather than pursue an equity raise. Moreover, we are expecting further substantial milestone payments as well as initial royalty payments.

Our current institutional investors remain very supportive of our future growth strategy. We have recently been encouraged by strong interest from European investors which could bode very well for us going forward. In addition to that, we plan to further increase market awareness for Sirona in the next several months.

Strategy:

Sirona Biochem remains committed to a streamlined business strategy of chemistry, patent and license.

Our expertise remains in creating new chemical compounds (pharmaceutical and cosmetic) that have distinct advantages over existing technologies. Each compound that we create will be licensed to an industry-leading company who will be responsible for developing, manufacturing and selling the compound. In return, Sirona will receive licensing fees, milestone payments and ongoing royalty payments.