Board Changes, Placing and Change of Broker

Physiomics plc ("Physiomics" or "the Company")                 

 

1 September 2006

                                                                               

                                 Board changes                                 
                                    Placing                                    
                             Appointment of broker                             

                                                                               

 

Board Changes

 

Physiomics announces the resignation with immediate effect of its chairman,
David Evans. John Pool, a director of the Company, will assume the role of
Chairman for the time being.

 

The Company also announces the resignation from the board of David Collins
(Finance Director) and David Fell (non-executive Director). Professor Fell, a
recognised expert in systems biology, will remain closely linked to the Company
as he continues to direct the technical programme.

 

The board would like to express its gratitude to David Evans, David Collins and
David Fell for their significant contribution to the Company.

 

Physiomics is pleased to announce the appointment of Edward Oliver as Finance
Director and Duncan Lipscombe as a non-executive Director with immediate
effect.

 

Edward is a Chartered Accountant with considerable experience both in
professional practice and in industry. Formerly a senior partner at the London
based firm of Chartered Accountants, AGN Shipleys, Edward Oliver has since 2002
provided consultancy and advisory services to companies through his firm,
Olivers. Edward Oliver is a director of AIM companies Sareum Holdings plc,
Angel Biotechnology Holdings plc and Zyzygy plc.

 

Duncan Lipscombe joins the board as a non-executive Director following a
successful career as an entrepreneur and director of a family business. Since
disposing of a significant interest in his family fast food chain established
over a 30 year period, he has served as a director of AIM quoted Zyzygy plc.

 

Placing

These board changes were conditional on further funding being made available to
the Company. The Company is currently undertaking a placing of up to
142,947,040 Physiomics ordinary shares at price of 0.3p per share to raise cash
of £226,000 and in lieu of fees and debt of £202,841. The funds raised will be
used to continue developing the Company's existing business and to enable it to
progress a number of acquisition opportunities.

A number of directors and former directors have agreed to subscribe for shares
as part of the placing in lieu of fees, including Dr Paul Harper who will be
subscribing for 7,525,357 shares (at a value of £22,576.07) and David Evans who
will be subscribing for 5,327,667 shares (at a value of £15,983.00). By virtue
of their value, these placings constitute related party transactions. The
independent directors consider, having consulted with the Company's nominated
adviser, that the terms of the transaction are fair and reasonable insofar as
the Company's shareholders are concerned.

The placing is conditional on shareholder consent, and a notice convening an
extraordinary general meeting to give the directors the authority to issue
these shares will be sent to shareholders shortly.

 

Change of broker

The Company is pleased to announce that it has appointed Seymour Pierce Ellis
Limited as its broker with immediate effect.

 

Information on new directors

Edward Morgan Oliver, aged 64, is or has been, a director or partner of the
following organisations within the past five years:

                 Present                                 Past               
                                                                            
     Angel Biotechnology Holdings plc             ILP Realty (UK) Ltd       
                                                                            
           Sareum Holdings plc                       SAL 2003 Ltd           
                                                                            
                Zyzygy plc                        Shake-a-Leg Limited       
                                                                            
       Angel Biotechnology Limited           AGN Shipleys (a partnership)   
                                                                            
           Marinetrack Limited                                              
                                                                            
            Nice Tech Limited                                               
                                                                            
              Sareum Limited                                                
                                                                            
         Olivers (a sole trader)                                            

 

Duncan John Lipscombe, aged 58, is or has been, a director of the following
companies within the past five years:

                  Present                                Past               
                                                                            
                Zyzygy plc                      Fish'n Chick'n Limited      
                                                                            
           Marinetrack Limited              Fish'n Chick'n Holdings Limited 
                                                                            
            Nice Tech Limited                                               

 

There is no other information that falls to be disclosed under Schedule 2
paragraph (g) of the AIM Rules.

 For further information:

 

Paul Harper

07747 842446