Interim Results

Syntopix Group plc
19 April 2007


For immediate release                                              19 April 2007



                               SYNTOPIX GROUP PLC
                          ('Syntopix' or 'the Group')



            Interim results for the six months ended 31 January 2007



Syntopix Group plc, the company focused on the discovery and development of
drugs for the topical treatment of dermatological diseases, today announces its
interim results for the six months ended 31 January 2007.



Operational highlights



Good progress with lead candidate development programme:

•       MHRA approval to conduct first Phase I clinical trial;

•       Clinical Research Organisation appointed; and

•       Formulations of other compounds initiated for further human use studies.



Continued development of the pipeline:

•       Compound library now contains over 1,000 compounds for screening; and

•       Growing patent portfolio which is continually being evaluated.



Financial highlights



•       Cash balance at 31 January 2007 of £2.5m (31 January 2006 - £323,000);

•       Tight overhead cost control; and

•       Development programme costs in line with budget.



Commenting on today's announcement, Dr Rod Adams, Chairman, said: 'I am
delighted to report that significant progress in the first half in the
development of our pipeline has produced real momentum in our business in the
current half. We have successfully made the transition from a preclinical to a
clinical stage company and look forward to reporting on further progress with
our pipeline in due course.'

                                      ENDS



For further information please contact:


Syntopix Group plc                                                 0845 125 9204
Stephen Jones, Chief Executive Officer
Darren Bamforth, Group Finance Director

KBC Peel Hunt Ltd                                                  020 7418 8900
Megan MacIntyre

Buchanan Communications                                            020 7466 5000
Mark Court/Mary-Jane Johnson/Catherine Breen



Joint statement from the Chairman and Chief Executive Officer



We are pleased to report the interim result for the six months to 31 January
2007.



Since our last annual report, we have refined our licensing strategy and now
believe that Phase I clinical data, not Phase II, should provide sufficient
interest to our potential licensing partners. This approach has been validated
in discussions with two large multinational dermatological companies. Our
modified strategy has several benefits, most notably that we can screen more
compounds faster in human use studies, to the extent that we are now six months
ahead of our original schedule. Therefore, we plan to enter potential licensing
discussions earlier than originally planned.



Lead candidate development programme

In January 2007 we announced that the Group had entered into an agreement with a
Clinical Research Organisation in preparation for the start of the Group's first
Phase I clinical trial.  We received approval in February 2007 from an
independent Ethics Committee to conduct our first Phase I clinical study which
is due to start imminently.



We have developed formulations which will be used in the trials to determine the
ability of SYN 0017 (an antioxidant present in foods and cosmetics), SYN 0401
(an antifungal present in personal healthcare products), and a combination of
SYN 0017 and SYN 0016 (an oxidising agent present in pharmaceutical
preparations) to inhibit Propionibacterium acnes (P. acnes) when applied to
healthy volunteers.



In addition to the Phase I clinical trial, we are also intending to conduct a
second human use study. Formulations of SYN 0126 (a compound currently used in a
wide variety of cosmetic preparations), and a combination of SYN 0126 with SYN
0091(a bacteriostatic agent used in soap and cosmetics) are being prepared for
this study to start in the third quarter of 2007, with results in the fourth
quarter.



Another human use study this year will start in the fourth quarter of 2007, and
is likely to be a Phase I clinical study. The compounds to be tested will depend
in some part on the results of the first study, but it is intended to test at
least one new compound in this study.



By the end of 2007 the Group will have completed several human use studies, and
it is our intention to seek licensing partners for any compound(s) which show a
positive outcome in a human use study. Over the past six months we have
generated significant interest in these studies, and we believe a licensing
agreement will follow a successful outcome.



Pipeline

The Group continues its research activities to generate further potential
synergistic combinations.  We are screening combinations of compounds, and now
have over 1,000 in our library. Approximately 30% of these show sufficient
antimicrobial activity against P. acnes and/or Staphylococcus aureus to indicate
suitability for topical use.



Our intellectual property portfolio continues to grow: Syntopix has a patent
portfolio that currently comprises nine patent applications.  Each application
is continually re-evaluated for commercial relevance, and in the last twelve
months we have filed a new application every six to eight weeks.



Financial summary

During the six months to 31 January 2007 the Group's focus has been the
continuation of our lead candidate development programme through pre-clinical
development and into clinical trials, with the intention of achieving future
revenue streams through milestone payments and licensing deals with third
parties.



The development programme is proceeding in line with our expectations and the
expenditure of £491,000 on Research and Development activity for the six months
ended 31 January 2007 is within our budget.  During the period the Group
received European grant income of £20,000 which has mitigated some of the costs
of maintaining our patent portfolio, and we anticipate further grant receipts
during the forthcoming months.  Additionally the Group has benefited from the
receipt of R&D tax credits which has reduced the overall expenditure on our
programme.



Administrative overheads are running at a comparable rate to those incurred in
the year ended 31 July 2006 and are closely controlled.  The Group benefits from
its association with the University of Bradford and the purpose built
microbiology laboratory facilities at the University's Institute of
Pharmaceutical Innovation are provided to Syntopix at significantly reduced
rates.



Cash balances at 31 January 2007 were £2,501,993 (31 January 2006 : £323,396).
The Group's financial strategy continues to be to monitor costs carefully during
the period until licensing deals can be achieved and revenues can begin to be
generated.  The Group periodically conducts small research consultancy projects,
and whilst not significant in the period ended 31 January 2007, a number of
revenue generating projects are currently in progress.



This is the first period in which we are required to comply with FRS 20 - 'Share
Based Payments'.  Under this accounting standard we are required to calculate
the fair value of share options issued.  This means that the loss for the six
months to 31 January 2007 has been increased by £52,546 (six months to 31
January 2006: loss increased by £410) and the loss for the year ended 31 July
2006 has been increased by £16,832.



Outlook

We are very pleased with progress to date.  Preparatory work undertaken since
the flotation and during the first half of the year has delivered real momentum
in the business and we look forward to the future with confidence.






Dr Rod Adams                                Dr Stephen Jones
Chairman                                    Chief Executive Officer
18 April 2007                               18 April 2007




Consolidated profit and loss account
for the six months ended 31 January 2007





                                                               Six months        Six months                 Year
                                                                    ended             ended                ended
                                                               31 January        31 January              31 July
                                                                     2007              2006                 2006
                                                                                   Restated             Restated
                                                                        £                 £                    £
TURNOVER                                                            2,500            16,800               31,914

Research and development costs                                  (490,763)         (169,078)            (493,645)
Administrative expenses                                         (356,355)         (130,331)            (608,982)
Other operating income                                             20,000             2,949                2,949

OPERATING LOSS                                                  (824,618)         (279,660)          (1,067,764)
Interest receivable                                                55,123             6,796               53,993
Interest payable                                                    (937)              (17)                 (76)

LOSS ON ORDINARY ACTIVITIES BEFORE TAXATION                     (770,432)         (272,881)          (1,013,847)
Taxation                                                           92,207            35,352               86,169

LOSS FOR THE FINANCIAL PERIOD                                   (678,225)         (237,529)            (927,678)


LOSS PER SHARE
Basic and diluted                                                 (11.9p)            (8.8p)              (22.0p)




All Group activities relate to continuing operations.



Statement of total recognised gains and losses


                                                                        £                 £                    £

Loss for the period                                             (678,225)         (237,529)            (927,678)


Total recognised gains and losses relating to the period        (678,225)         (237,529)            (927,678)

Prior year adjustment (see note 2)                               (16,832)                 -                    -

Total recognised gains and losses since the last annual
report                                                          (695,057)         (237,529)            (927,678)







Consolidated balance sheet
as at 31 January 2007




                                                                    31 January      31 January            31 July
                                                                          2007            2006               2006
                                                                                      Restated           Restated
                                                                             £               £                  £
FIXED ASSETS
Tangible assets                                                        117,470         102,702            121,041

CURRENT ASSETS
Debtors                                                                179,368          73,668            123,976
Cash at bank and in hand                                             2,501,993         323,396          3,247,430

                                                                     2,681,361         397,064          3,371,406

CREDITORS: Amounts falling due within one year                       (162,556)       (172,669)          (230,493)

NET CURRENT ASSETS                                                   2,518,805         224,395          3,140,913


NET ASSETS                                                           2,636,275         327,097          3,261,954


CAPITAL AND RESERVES
Called up share capital                                                568,398         286,984            568,398
Share premium account                                                3,379,046               -          3,379,046
Merger reserve                                                         337,935         389,811            337,935
Profit and loss account                                            (1,649,104)       (349,696)        (1,023,425)

EQUITY SHAREHOLDERS' FUNDS                                           2,636,275         327,097          3,261,954








Consolidated cash flow statement
for the six months ended 31 January 2007



                                                               Six months        Six months                 Year
                                                                    ended             ended                ended
                                                               31 January        31 January              31 July
                                                                     2007              2006                 2006
                                                                                   Restated             Restated
                                                                        £                 £                    £
Cash outflow from operating activities                          (873,431)         (240,566)            (878,390)
Returns on investments and servicing of finance                    54,186             6,779               53,917
Taxation                                                           86,168                 -                    -
Capital expenditure and financial investment                     (12,360)         (109,583)            (141,346)

CASH OUTFLOW BEFORE FINANCING                                   (745,437)         (343,370)            (965,819)
Financing                                                               -            21,343            3,567,826

(DECREASE)/INCREASE IN CASH IN THE PERIOD                       (745,437)         (322,027)            2,602,007




Reconciliation of net cash flow to movement in net funds
for the six months ended 31 January 2007


                                                               Six months        Six months                 Year
                                                                    ended             ended                ended
                                                               31 January        31 January              31 July
                                                                     2007              2006                 2006
                                                                                   Restated             Restated
                                                                        £                 £                    £
(Decrease)/increase in cash in the period                       (745,437)         (322,027)            2,602,007
Cash outflow from decrease in debt financing                            -                 -               62,101

MOVEMENT IN NET FUNDS IN THE PERIOD                             (745,437)         (322,027)            2,664,108
NET FUNDS AT THE BEGINNING OF THE PERIOD                        3,247,430           583,322              583,322

NET FUNDS AT THE END OF THE PERIOD                              2,501,993           261,295            3,247,430




Reconciliation of operating loss to operating cash flows
for the six months ended 31 January 2007


                                                               Six months        Six months                 Year
                                                                    ended             ended                ended
                                                               31 January        31 January              31 July
                                                                     2007              2006                 2006
                                                                                   Restated             Restated
                                                                        £                 £                    £
Operating loss                                                  (824,618)         (279,660)          (1,067,764)
Depreciation                                                       15,931             6,881               20,305
Share option expense                                               52,546               410               16,832
(Increase) in debtors                                            (49,354)          (31,166)             (30,657)
(Decrease)/increase in creditors                                 (67,936)            62,969              182,894

Net cash outflow from operating activities                      (873,431)         (240,566)            (878,390)




Notes to the consolidated interim financial statements





1    The interim financial statements have been prepared in accordance with UK
GAAP, using accounting policies and practices consistent with those applied in
the 2006 annual reports and accounts with the exception of the application of
FRS 20 (see below).  The interim statements have neither been reviewed nor
audited by the Group's auditors.



The financial information contained in this report does not constitute statutory
accounts as defined by Section 240 of the Companies Act 1985.



The figures for the year ended 31 July 2006 have been extracted from the
statutory accounts which have been filed with the Registrar of Companies but
have been restated for the impact of FRS 20.  The auditors' report for the 2006
accounts was unqualified and did not contain a statement under s237 (2) or (3)
of the Companies Act 1985.



2    The adoption of FRS20 - Share Based Payments requires a prior period
adjustment to be made. This has reduced retained profits for the year ended 31
July 2006 by £16,832 but has no effect on net assets at that date.



FRS 20 is effective for accounting periods beginning on or after 1 January 2006
and must be applied retrospectively to equity settled awards that were granted
after 7 November 2002 and had not vested by 1 January 2006.



3    The interim results were approved by the Board of Directors on 18 April
2007.



4    Copies of this interim report are available on the Group's website '
www.syntopix.com' and upon application to Syntopix Group plc, Institute of
Pharmaceutical Innovation, University of Bradford, Bradford, BD7 1DP.



5    The calculation of basic and diluted loss per share is based upon the loss
after tax divided by the weighted average number of shares in issue during the
period.  Due to the losses incurred there is no dilutive effect from the issue
of share options.


                                                                                   Weighted
                                                                   (Loss)    average number                  EPS
Basic and diluted loss per share                                        £         of shares              (pence)

Six months ended 31 January 2007                                (678,225)         5,683,981               (11.9)
Six months ended 31 January 2006                                (237,529)         2,698,544                (8.8)
12 months ended 31 July 2006                                    (927,678)         4,211,384               (22.0)











J D Bamforth
Secretary
18 April 2007








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