Formation of Subsidiary

Billam PLC
24 August 2000


                                  BILLAM PLC

                         ESTABLISHES SWISS SUBSIDIARY

The  Directors  of  Billam Plc today announce that an application  to  form  a
subsidiary company, Billam AG, in Switzerland had been passed by the  relevant
Swiss authorities.  On the 22 August 2000, Billam AG was officially registered
by the Handelregisteramt Bern Mittelland.

Billam  AG  has  appointed Atag Ernst and Young AG as Auditors. Beat  Friedli,
Notariat  has  been  appointed as Legal Adviser  and  UBS  are  the  Company's
Bankers. The registered office is located at:

Neuengasse 41
3011 Bern
Switzerland

Billam  Plc  stated  that  the  formation  of  Billam  AG  would  procedurally
facilitate investment opportunities in Switzerland and Germany currently under
review.

Billam  AG  has  been registered as a venture capital company specialising  in
investments in Digital Technology and Bio-Science.


For  further information, interested parties should contact P Hoskins  on  020
7251 9111.