Press Release

PROTEOME SCIENCES plc

 

PRESS RELEASE

 

 

21st February, 2007.  Since the publication of the Interim Results, Proteome
Sciences has made considerable progress as evidenced by recent developments in
its intellectual property portfolio.

Matters have advanced at a particularly fast pace for the TMT® patents over the
last few months as demonstrated in the December 2006 press releases on this
subject.  The notice of intention to grant in Europe is very important and the
US appears to be close behind and in its final stages. The Board is very
pleased with the way the process is proceeding.

The six press releases since October 2006, in particular the 18th December TMT®
announcement that estimated that the market for isobaric mass tags (TMT®) over
the patent life has increased to $0.6-$1.4bn, provide a strong indicator as to
what is happening.  In these circumstances, the Board remains confident of the
successful commercialisation of TMT®.

 

As set out in the 2005 Report and Accounts, Proteome Sciences filed a claim for
the breach of certain warranties provided by Sanofi-Aventis Deutschland GmbH
 at the time of the acquisition of Xzillion Proteomics GmbH & Co. KG under
which it is seeking damages of up to €30m.  This action is being vigorously
pursued and the final submission is close to completion.

On 29th June 2006, the company entered into an agreement with C.D.J. Pearce,
the Chief Executive of the Company, under which he agreed to provide a loan
facility of up to £2m to the company, available from 1st August, 2006 that
carries interest at 2.5% above the base rate of Barclays Bank Plc.  In order to
provide additional working capital, Mr. Pearce has offered to increase the
total size of the facility on the same terms to £4m.

 

In view of the size of the loan facility, it has been agreed that security for
the loan should be charged against the company's patent portfolio up to the
value of the loan outstanding and that the loan should be convertible into
ordinary shares of the Company at the lower of market price on the date of
conversion or the average price over the lowest consecutive ten day trading
period since the 29th June, 2006 (the date on which details of the original
loan agreement were disclosed).

 

The Directors of the Company, (with the exception of Mr. Pearce who in view of
his interest in the transaction, has taken no part in consideration thereof)
having consulted with its nominated adviser in relation to the loan facility
from Mr. Pearce, consider that the terms of this transaction are fair and
reasonable insofar as shareholders are concerned.

The provision of this facility should allow the Company to complete the
successful outlicencing of TMT® and to see it through to the revenue
anticipated from its biomarker portfolio, ProteoSHOP® activities and from the
warranty claim.

 

Ends

 

Notes to editors:

 

Proteome Sciences plc

 

Proteome Sciences, a global leader in applied proteomics, uses high sensitivity
proprietary technologies to detect differentially expressed proteins in
diseases. The protein biomarkers discovered in body fluids or tissues are
validated, developed and commercialised as diagnostic, prognostic or
therapeutic products through strategic alliances and out-licensing.

Through its unique ProteoSHOP® toolbox, Proteome Sciences provides high
sensitivity/high throughput proteomics solutions, including traditional two
dimensional gel-based electrophoresis (2DE) and proprietary gel-free protein
sequence tag technologies (PST®, qPST™& TMT®), to major pharma, biotechnology
and diagnostic companies, to discover and exploit protein biomarkers.
Sensitizer® chemical mass tags have been developed separately as a series of
stand-alone reagents.

For further information please visit www.proteomics.com.

 

 

 

Enquiries:

 

Proteome Sciences plc

 

Christopher Pearce, Chief Executive Officer

Email: [e-mail]

 

James Malthouse, Finance Director

Email: [e-mail]

 

Tel: [phone]

 

 

 

Public Relations for Proteome Sciences

 

IKON Associates

 

Adrian Shaw                            

Tel:      [phone]

Mobile: [phone]

Email:     [e-mail]