Statement re. Press Comment

Phytopharm PLC
22 July 2002

22 July 2002



                               Phytopharm plc

              P57 update in response to press speculation



Further to recent press speculation, Phytopharm plc (the 'Company') confirms
that it is continuing with negotiations regarding the P57 development programme
with Pfizer Inc following the demonstration of proof of principle for the
project that was announced in December of 2001.



The Company will make a further announcement in due course





                                      END

Enquiries:


Phytopharm plc
Dr Daryl Rees, Chief Operating Officer      Tel:          [phone]

Financial Dynamics                          Tel:          [phone]
Ben Atwell




NOTES TO EDITORS

Phytopharm plc

Phytopharm is the leading company in the development of Botanical
pharmaceuticals. Botanicals enable the rapid clinical evaluation of plant
medicines 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 obesity and metabolic syndrome, neural and
muscular degeneration, inflammation and dermatitis.



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



P57 is a novel appetite suppressant containing extracts derived from a South
African plant. Under an agreement announced on August 24th 1998, Pfizer has
acquired an exclusive worldwide licence to develop and market P57.  Phytopharm
will receive up to $32 million in licence fees and milestone payments based upon
the achievement of specific objectives. Phytopharm will also receive royalties
on sales of P57 by Pfizer.



Obesity is a global problem which affects more than 100 million people seriously
enough to warrant medical intervention.  It is a direct causal contributor to
the pathophysiology of many diseases and exacerbates numerous others.  Among
these are five of the leading causes of death in the industrialised world:
stroke, atherosclerosis, cardiovascular disease, diabetes and cancer.  According
to the World Heath Organisation (WHO), obesity accounts for tens of billions of
pounds in direct healthcare costs worldwide.  A panel of experts convened by WHO
stated on 12 June 1997 that 'obesity's impact is so diverse and extreme that it
should now be regarded as one of the greatest neglected public health problems
of our time.  It has an impact on health, which may well prove to be as great as
that of smoking'  QUOTE '(World Health Organisation, 1997)' (World Health
Organisation, 1997).





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




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