Acquisition

Dechra Pharmaceuticals PLC
21 December 2006




Issued by Citigate Dewe Rogerson, Birmingham
Date: Thursday 21st December 2006
                                                               Embargoed: 7.00am


                           Dechra Pharmaceuticals PLC

       Dechra acquires worldwide Intellectual Property Rights to Equidone


Dechra Pharmaceuticals PLC ('Dechra' or 'the Group') today announces that the
Group has acquired the intellectual property for Equidone, an equine product
from Equi-Tox(R) Inc., a US Company.

The use of the active ingredient, Domperidone, has been co-developed by Equi-Tox
and Clemson University, based in South Carolina, USA for the prevention of
Fescue Toxicity.

The consideration for the intellectual property is US$1.75 million payable in
cash, of which US$0.5 million has been paid on completion. The remaining balance
will be paid following licensing approval by the FDA, with submission being
targeted in 2008. In addition, the Group will pay future royalties of 10% on
revenues received.

Equidone is already patented and under limited distribution in the US under a
special license. The market for equine fescue toxicity is estimated to be
approximately US$2 million per annum. Other patents for Equidone use have also
been approved; evaluation of other indications with substantially larger markets
will commence in 2007.

Ian Page, Chief Executive, Dechra Pharmaceuticals PLC commented:

'Development of the Group's international veterinary pharmaceutical portfolio is
important to our future growth; therefore we are delighted to have acquired the
intellectual property for this product. The North American market is of
importance to our strategy as it is the largest companion animal market in the
world'.


Enquiries:
Ian Page, Chief Executive                Fiona Tooley, Director
Simon Evans, Group Finance Director      Katie Dale, Senior Account Manager
Dechra Pharmaceuticals PLC               Citigate Dewe Rogerson
Telephone: [phone]                 Telephone: [phone]
www.dechra.com


Further information on Equi-Tox Inc. can be found at www.equitox.com

Editors Note: Fescue toxicity is caused by eating a fungus which infects tall
fescue grass. The most serious clinical signs are observed in the late stages of
pregnancy and the toxicity can result in foal death.




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