CAT announces share exchange

Cambridge Antibody Tech Group PLC
8 March 2002



02/CAT/ 10

Not for release or publication in or into Japan, Australia or the Republic of
Ireland

FOR IMMEDIATE RELEASE

23.00 GMT 18.00 EST Friday 8 March 2002


For Further Information Contact:        Weber Shandwick Square Mile (Europe)

Cambridge Antibody Technology           Tel: [phone]

Tel: [phone]               Kevin Smith

John Aston, Finance Director            Graham Herring

Rowena Gardner, Head of Corporate
Communications
                                        BMC Communications/The Trout Group (USA)

                                        Tel: [phone]

                                        Brad Miles, ext 17 (media)

                                        Brandon Lewis, ext.15 (investors)




        Cambridge Antibody Technology announces the share Exchange Ratio for its
         Offer to Acquire all of the Outstanding Common Shares of Drug Royalty
         Corporation and that it will pay the Top Up Amount and the Additional
             Top Up Amount entirely in Cambridge Antibody Technology Shares



Melbourn, UK and Toronto, Canada... In connection with the outstanding offer to
acquire all of the common shares of Drug Royalty Corporation Inc. (TSE:DRI) by
Cambridge Antibody Technology Group plc ("CAT") (LSE: CAT; NASDAQ: CATG) through
its wholly-owned subsidiary 3982904 Canada Inc. (the "Offeror"), the Offeror
hereby announces the determination this afternoon of the CAT Share Exchange
Ratio as required by the terms of the Offer. The Offeror further announces that
it will pay the Top Up Amount and the Additional Top Up Amount entirely in CAT
Shares (or CAT ADSs, if the CAT ADS Option is chosen) and that the Maximum Share
Condition in the Offer has therefore been fulfilled.

The CAT Share Exchange Ratio was determined to be 0.095. Taking into account the
Top Up Amount and the Additional Top Up Amount, DRC Shareholders will therefore
be entitled to receive 0.095 CAT Shares (or CAT ADSs, if the CAT ADS Option is
chosen) for each DRC Share tendered to the Offer. Based on today's closing CAT
Share price on the London Stock Exchange and on today's pound sterling/Canadian
dollar noon exchange rate, as reported by the Bank of Canada, the Offer is equal
to C$3.10 per DRC Share. The Offer remains open for acceptance by DRC
Shareholders until 9:00 p.m. (EST) on Tuesday March 12, 2002.

CAT and the Offeror have elected not to deliver to DRC an amended Offer in
response to DRC's proposed agreement with Inwest Investment Ltd.

The CAT Share Exchange Ratio, Top Up Amount and Additional Top Up Amounts were
calculated in accordance with the terms of the Offer contained in the take-over
bid circular dated February 1, 2002 (the "Circular"). The terms "Additional Top
Up Amount", "CAT ADS", "CAT ADS Option", "CAT Share", "CAT Share Exchange
Ratio", "DRC Share", "Maximum Share Condition", "Offer" and "Top Up Amount" used
in this press release shall have the meaning ascribed thereto in the Circular.

This announcement is being made pursuant to section 1 of the Offer.



                                     -ENDS-



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