Distribution Agreement

Avacta Group plc                                

               Appointment of Distributor and Further Optim Sale               

Avacta Group plc ("Avacta" or the "Company"), which provides innovative, high
value proprietary technologies and services to the pharmaceutical and
diagnostics markets, is pleased to announce that it has appointed Isogen Life
Science as distributor in Mainland Europe for the Optim 1000, its
ground-breaking, ultra-low volume protein analysis system.

The Optim 1000 has been developed to accelerate and reduce the cost of critical
protein analysis during pre-formulation, stability testing and formulation of
biopharmaceuticals. In these critical areas of drug development the directors
believe that Optim 1000 will deliver vital information tens of times faster
than any other known approach using sample sizes more than a hundredth of that
currently needed. This quantum leap in efficiency allows drug developers to
gain much greater insight into their products at an earlier stage of
development which could lead to a significant reduction in later stage failure
and thus the overall costs of bringing a drug to market. Optim 1000 comprises a
bench-top instrument and a single-use sample holder which it is expected will
lead to significant recurring consumables revenues.

Isogen Life Science (ISL), headquartered in De Meern in the Netherlands, is a
well established and respected distributor of instruments, reagents and
consumables in the areas of cell biology, molecular biology and biochemistry.
Accordingly, ISL has strong relationships with a large number of
biopharmaceutical and biotech customers throughout Europe. Avacta chose Isogen
as its European distributor for Optim because of this strong track record in
sales into the biopharmaceutical development area and because of the strong
commitment to high quality customer support.

ISL has placed an initial order for an Optim 1000 to be placed within a
European biopharmaceutical research organisation thereby taking the total
number of Optim unit sales todate to five. In the past few months Avacta has
progressed a number of potential orders which are expected to reach fruition in
the near future as the capital equipment market appears to be recovering from
recession. This, combined with the added sales potential of ISL in Europe,
gives the Directors confidence of achieving their sales target for the current
financial year.

Alastair Smith, Chief Executive, Avacta Group plc, commented:

"Isogen Life Science impressed us with their in-depth knowledge of our
marketplace. Moreover, they demonstrated a clear and comprehensive
understanding of the value that Optim can deliver in its different application
areas. ISL has shown resounding past success in deploying instrumentation and
reagents within Avacta's target markets of Northern and Southern Europe and we
are confident that they have the customer relationships to accelerate sales of
Optim this year. The Avacta sales team will now focus on the UK market and on
broadening our sales efforts into other key markets such as the United States
through direct activity and through further partners.

"Naturally we are delighted that the appointment of Isogen has been accompanied
by an order and we look forward to working with them in the future to fully
capitalize on the market opportunity for Optim in Europe. "

6th September 2010

For further information, please contact:

Avacta Group plc                           Tel: [phone]            
                                                                         
Alastair Smith, Chief Executive Officer    www.avacta.com                
                                                                         
Tim Sykes, Chief Financial Officer                                       
                                                                         
Broker                                     Tel: [phone]            
                                                                         
XCAP Securities Limited                    www.xcapgroup.com             
                                                                         
John Grant/Karen Kelly/David Newton        Tel: [phone]            
                                                                         
Nominated Adviser                          www.grantthornton.co.uk       
                                                                         
Grant Thornton Corporate Finance                                         
                                                                         
Philip Secrett/Colin Aaronson                                            
                                                                         
Financial PR                               Tel: [phone]            
                                                                         
Haggie Financial LLP                                                     
                                                                         
Nicholas Nelson                                                          

Notes to Editors:

About Avacta

Avacta was spun-out from the University of Leeds in 2004 by its current
management team as a biophysics company, with the aim of combining the
disciplines of physics and biology to develop innovative technologies and
expert technical services to address unmet needs in the biopharmaceutical and
healthcare sectors.

Avacta has a core bio-analytical technology development programme addressing
the needs of the biopharmaceutical sector to fully characterise their new
products at the earliest stage in their development to reduce the risk of late
stage failure.

High end analytical instruments and leading edge contract research services are
being provided to the biopharmaceutical and healthcare/personal-care materials
sectors through the Group's biotech support division, Avacta Analytical. High
value solutions for rapid, point of care diagnostics based on these core
bio-analytical technologies, with a near term focus on veterinary diagnostics,
are being delivered through Avacta Animal Health. Longer term these
technologies will be transferred into the human clinical diagnostics market.
Avacta joined AIM in August 2006.


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