In addition to its internal research and development capabilities, Theracos has entered into several key strategic alliances to broaden its base of expertise, increase its technological resources and enhance its clinical development capabilities. Theracos has enjoyed a productive relationship with BioFocus DPI (formerly Discovery Partners International) for several years that has provided key program leads and insights into optimization that have been critical in shaping the decisions of the company. In June of 2003 Theracos acquired substantially all of the assets of Calyx Therapeutics, Inc., a drug discovery company located in Hayward CA. Currently, Theracos has development partners in the fields of medicinal chemistry, formulation development and analytical chemistry. In January of 2004 Theracos entered into a collaboration with Egret Pharma (Shanghai) Limited of Shanghai, China, for research and development activities with project responsibilities and benefits based on the division of territories under a reciprocal licensing agreement. Egret Pharma (www.egretpharma.com) is pursuing pharmaceutical markets in China and East Asian countries.