Lovy to Join Arrowhead Team as Communications Director

PASADENA, Calif.--(BUSINESS WIRE)--Aug. 25, 2005--Arrowhead Research Corporation (Nasdaq:ARWR) announced today that Howard Lovy, a journalist who specializes in reporting nanotech business developments and promoting public understanding of nanotechnology, has joined its team as Director of Communications. Lovy was among the founding editors of Small Times Media, the first trade magazine and website covering nanotechnology. During the past year, he has contributed analyses to the Forbes/Wolfe Nanotech Report; written white papers and reports for NanoMarkets; and covered nanotech issues for the Wall Street Journal, Wired News, Salon.com, and other publications.

"Arrowhead has kept a relatively low profile, but now we're ready to tell the world about our innovative way of guiding the best nanotech research toward commercialization," said R. Bruce Stewart, Arrowhead's President. "Howard will play an important role in our strategy to raise our public profile."

“Arrowhead has kept a relatively low profile, but now we're ready to tell the world about our innovative way of guiding the best nanotech research toward commercialization”

Stewart added: "Howard effectively communicates the simplicity and elegance of nanotech solutions. He was a pioneer at Small Times because he was among the first to set the tone and style for coverage of nanotechnology as a business."

Lovy said that Arrowhead is an ideal place for him to continue his mission of informing the general public about nanotech. "Arrowhead's strategy of funding the most innovative research at some of the country's top universities, and seeing them through to commercialization, appeals to me as a writer because this is where the real action is in nanotech. And Arrowhead puts me right on the front lines and allows me to be first to report some amazing new discoveries."

Lovy's popular blog, Howard Lovy's NanoBot (http://nanobot.blogspot.com), introduced new audiences to nanotech when it launched in late 2003 and quickly became a major source of nanotech news and commentary followed by major media outlets and the growing blogosphere. His commentaries helped set the agenda for discourse on the business, technological, ethical, and environmental implications of nanotechnology. They also earned him the 2004 Communication Award from the Foresight Nanotech Institute, a nanotechnology think tank.

Lovy is a 20-year veteran of the news business and worked his way up through small weeklies to mid-sized dailies, to a major metropolitan paper and then global news organizations. Before joining Small Times in 2001, Lovy was managing editor for the Jewish Telegraphic Agency in New York, which reports on Mideast and Jewish issues for publications worldwide, and spent four years at The Detroit News editing stories, designing pages, and writing features and opinion pieces.

About Arrowhead Research Corporation

Arrowhead Research Corporation is a diversified nanotechnology company structured to commercialize products expected to have revolutionary impacts on a variety of industries, including materials, electronics, life sciences, and energy.

There are three strategic components to Arrowhead's business model:

-- Outsourced R&D Program: Arrowhead identifies patented or patent-pending technologies at universities or government labs and funds additional development of those technologies in exchange for exclusive rights to commercialize the resulting prototypes. Leveraging the resources and infrastructure of these institutions provides Arrowhead with a highly cost-effective development pipeline. Currently, Arrowhead is supporting efforts in stem cell technology, nanomaterials, nanoelectronics, and nanobiotools at the California Institute of Technology and Stanford University.

-- Commercialization Program: After prototypes have been sufficiently developed in the laboratories, Arrowhead forms or acquires majority-owned subsidiaries to commercialize the technology and provides the subsidiaries with strategic, managerial, and operational support. At present, Arrowhead owns majority interest in subsidiaries commercializing diverse technologies, including anti-cancer drugs, RNAi therapeutics, and compound semiconductor materials.

-- The Patent Toolbox: Arrowhead has acquired or exclusively licensed patents and patent applications covering a broad range of nanotechnology. The Company is actively seeking to add to this intellectual property portfolio.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:

This news release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including the recent economic slowdown affecting technology companies; the future success of our scientific studies; our ability to successfully develop products; rapid technological change in our markets; changes in demand for our future products; legislative, regulatory, and competitive developments; and general economic conditions. Our Annual Report on Form 10-K and 10-K/A, recent and forthcoming Quarterly Reports on Form 10-Q and 10-Q/A, recent Current Reports on Forms 8-K and 8-K/A, our Registration Statement on Form S-3, and other SEC filings discuss some of the important risk factors that may affect our business, results of operations, and financial condition. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.