Reconstruction Proposals

Intl. Biotechnology Trust PLC
27 July 2000


International Biotechnology Trust plc

Following the Extraordinary General Meeting held on 7th July 2000, discussions
have been held with shareholders representing more than 50 per cent of the
outstanding share capital of the Company, including Millennium Partners LP. 
In light of these discussions, the Directors are now formulating detailed
proposals which they intend to put to shareholders for their approval before
the end of October 2000.

These proposals will be designed to enable shareholders who wish to retain a
continuing investment in the international biotechnology sector to do so
through a vehicle whose initial net asset value will comprise not less than 50
per cent of the Company's assets.  Within this parameter, arrangements will be
made for shareholders who wish to realise all or part of their investment to
do so through the realisation of assets attributable to their interest in the
Company.

The proposals will seek to maximise shareholder value and achieve a balance
between those shareholders electing to realise their interest and those who
wish to continue their investment in biotechnology.

The Board will be inviting potential investment managers, including Rothschild
Asset Management, to submit proposals for the investment management contract.


Enquiries:
Peter Moorhouse/Melville Trimble - Merrill Lynch  020 7772 1000