Research Update

ReNeuron Group plc
25 October 2005


                                   PRESS RELEASE


ReNeuron Group plc demonstrates key characteristics with its hepatocyte (liver)
                    cell lines for drug discovery applications


Guildford, UK, 25 October 2005: ReNeuron Group plc (LSE: RENE.L) today announced
that it has developed human hepatocyte (liver) cell lines using its proprietary
c-mycERTAM platform technology.  These cell lines have been shown to express a
range of adult human liver functional markers, indicating their potential value
as a tool in assessing new drugs in terms of hepatic metabolism, enzyme
induction and cellular toxicity.

The study was conducted in collaboration with Professor Peter Goldfarb and
colleagues at the Molecular Toxicology Group, School of Biomedical & Molecular
Sciences, University of Surrey, Guildford, UK. The work is being presented today
at the 13th North American International Society for the Study of Xenobiotics
Meeting in Maui, Hawaii, USA, and was funded in part by a grant under the UK
Department of Trade and Industry Knowledge Transfer Partnership Scheme.

ReNeuron has filed patents covering the production of hepatocyte cell lines
using its c-mycERTAM platform.  Further work is underway to optimize the
production and characterization of these cell lines, ahead of making them
commercially available to the pharmaceutical industry as part of ReNeuron's
existing ReNcell product portfolio of cell lines for use in drug discovery
applications.

Commenting on the announcement, John Sinden, CSO of ReNeuron, said:

'The development of functional and patent-protected hepatocyte cell lines is a
significant step forward in ReNeuron's strategy of applying its world-class stem
cell technologies in both therapeutic and non-therapeutic settings.  We believe
that this addition to our ReNcell range of non-therapeutic cell lines represents
an exciting commercial prospect for ReNeuron. It offers well-characterised
human, rather than animal, cells for toxicology profiling and other
high-throughput screening applications in the drug development process.

'This development further supports our strategy to derive near-term commercial
revenues from our ReNcell products to contribute to the funding of our core stem
cell therapeutic programmes.'


Enquiries:

ReNeuron
Michael Hunt, CEO                                    Tel: [phone]
John Sinden, CSO

Financial Dynamics
David Yates
Sarah Macleod                                        Tel: [phone]



Notes to Editors

ReNeuron is a leading, UK-based adult stem cell therapy business. The Company is
applying its novel stem cell platform technologies in the development of
ground-breaking stem cell therapies to serve significant and unmet or poorly-met
clinical needs.

ReNeuron has used its c-mycERTAM technology to generate genetically stable
neural stem cell lines. This technology platform has multi-national patent
protection and is fully regulated by way of a chemically-induced safety switch.
Cell growth can therefore be completely arrested prior to in vivo implantation.

The Company's lead stem cell therapy, ReN001 for chronic stroke disability, is
in late pre-clinical development.  The Company plans to file for approval to
commence initial clinical trials in stroke by mid-2006, with trials commencing
as soon as possible thereafter.

In addition to its ReN001 stroke programme, ReNeuron has programmes to develop
stem cell therapies to address Huntington's disease, Parkinson's disease, Type 1
diabetes and diseases of the retina.

ReNeuron has also leveraged its stem cell technologies into non-therapeutic
areas - its ReNcell range of cell lines for use in drug discovery applications
in the pharmaceutical industry.

The Company successfully completed its flotation on the London AIM market in
August 2005, raising £9.5million before expenses.  At flotation, the Company
also issued warrants which, if exercised, will raise a further £5.7m for the
Company by February 2007.  ReNeuron's shares are traded under the symbol RENE.L,
and its warrants are traded under the symbol RENW.L.

Further information on ReNeuron and its products can be found at
www.reneuron.com.

This announcement contains forward-looking statements with respect to the
financial condition, results of operations and business achievements/performance
of ReNeuron and certain of the plans and objectives of management of ReNeuron
with respect thereto. These statements may generally, but not always, be
identified by the use of words such as 'should', 'expects', 'estimates',
'believes' or similar expressions. This announcement also contains
forward-looking statements attributed to certain third parties relating to their
estimates regarding the growth of markets and demand for products. By their
nature, forward-looking statements involve risk and uncertainty because they
reflect ReNeuron's current expectations and assumptions as to future events and
circumstances that may not prove accurate.  A number of factors could cause
ReNeuron's actual financial condition, results of operations and business
achievements/performance to differ materially from the estimates made or implied
in such forward-looking statements and, accordingly, reliance should not be
placed on such statements.



The terms 'ReNeuron' or 'the Company' refer to ReNeuron Group plc and its
subsidiary undertakings.


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