Re Agreement

Phytopharm PLC
26 November 2003

                                                                26 November 2003

                   Phytopharm enters agreement with Genitrix
                    to launch canine osteoarthritis product

Phytopharm plc (PYM: London Stock Exchange) announces today that it has entered
into a distribution, sales and marketing agreement with Genitrix Ltd, one of the
UK's fastest growing veterinary products companies, to launch its product
PYM50014 for the maintenance of canine joint mobility. Both partners anticipate
that PYM50014 will be launched in Q1 2004 and will be available from
veterinarians across the UK.

PYM50014 is the lead compound within Phytopharm's P54 research programme. The
product has novel non-steroidal anti-inflammatory properties and is manufactured
from two related tropical plant species. In July 2001, Phytopharm announced the
results of a placebo-controlled trial of PYM50014 in canine osteoarthritis, in
which a statistically significant improvement in joint mobility was reported by
veterinarians following two months treatment with the product.

Under the terms of the agreement, Phytopharm and Genitrix will each receive 50%
of the total sales revenues of PYM50014 after deduction of manufacturing costs.
Genitrix will be responsible for distribution, sales and marketing, but no
deductions from the total sales revenues will be made for these activities.
Phytopharm has also retained the right to co-market the product with Genitrix.

Canine osteoarthritis is a chronic and progressive inflammatory disease mainly
affecting the synovial joints, causing pain, joint swelling and stiffness with
loss of function.  It is estimated that canine osteoarthritis affects 20% of the
canine population over one year old, which is equivalent to around 1.2 million
animals in the UK. Current treatment consists of a variety of steroidal and
non-steroidal anti-inflammatory drugs (NSAIDS)  which can have adverse side
effects, and corticosteroids are not recommended for long-term use. The market
for canine osteoarthritis and joint stiffness is currently estimated to be in
excess of $20m in the UK, and over $80m in the USA (source: American Veterinary
Medical Association).

Howard Wilder, Managing Director of Genitrix, said: 'PYM50014 has an interesting
and important profile that will complement our range of products for the
companion animal market. We look forward to our ongoing collaboration with
Phytopharm.'

Commenting on today's announcement, Richard Dixey, Chief Executive of
Phytopharm, said:

'Genitrix is an excellent partner for the distribution, sales and marketing of
PYM50014 in the UK. We look forward to launching the product in the UK next year
and also hope to announce further marketing partners for other territories in
due course.'

                                     -ENDS-

Enquiries:

Phytopharm plc
Dr Richard Dixey, Chief Executive             Tel:          [phone]
                                              Mobile:       [phone]

Financial Dynamics
David Yates / Ben Atwell                      Tel:          [phone]

Genitrix Ltd
Howard Wilder, Managing Director              Tel:          [phone]


NOTES TO EDITORS

Genitrix Ltd

Genitrix Animal Health and Nutrition is one of the UK's fastest growing
veterinary products companies operating in the UK ethical companion animal and
equine markets.  In addition, Genitrix has a growing export business to Western
and Central Europe.

The Genitrix product line comprises a number of nutritional as well as
pharmaceutical specialities including licensed veterinary medicinal products for
equine lameness, anti-infectives for birds and drugs for gastro-intestinal
disorders in dogs.  Through its Xenex range, Genitrix was also the first
veterinary company to introduce insect control products for the rapidly
expanding small mammal market. Genitrix aims to be the largest independent
veterinary drug company in the UK.

      More information concerning Genitrix can be found on its web site at
                           http://www.genitrix.co.uk



Phytopharm plc

Phytopharm is a leading company in the development of Botanical pharmaceuticals.
These plant-based medicines, manufactured to pharmaceutical standards, can be
clinically evaluated in chronic and poorly understood diseases.  Where novel
modes of action are discovered, such research can form the basis for drug
discovery platforms, which enable the development of new medicines and the
isolation of single chemical entities of clinical importance.  Phytopharm has
four drug discovery platforms in full development, for metabolic disease,
neurodegeneration, inflammation and dermatology.

Research into PYM50014, including human and canine clinical studies, suggests
that it is a third generation non-steroidal anti-inflammatory drug (NSAID),
which achieves a significant reduction in inflammation by inhibiting several
inflammatory enzymes, including inducible  COX II and NOS. This may result in
fewer gastrointestinal or circulatory side effects that are associated with the
first and second generation NSAID products. In a clinical trial reported in July
2001, investigators reported that 56% of the dogs were 'better' or 'much better'
after being treated with PYM50014 compared to 26% of those treated with placebo
(p=0.047). The owners' assessment of response also favoured PYM50014 (60%)
compared with placebo (38%). The treatment was well tolerated. No serious
adverse side effects were observed.

Phytopharm is developing nine programmes based on its four drug discovery
platforms alongside a number of other projects in early evaluation.


More information concerning Phytopharm's activities can be found on its web site
                          at http://www.phytopharm.com


                      This information is provided by RNS
            The company news service from the London Stock Exchange