Research Update

ReNeuron Group plc
22 June 2007

ReNeuron scientists generate pancreatic cell lines for treatment of diabetes



Guildford, UK, 22 June 2007: ReNeuron Group plc (LSE: RENE.L) today announces
that it has taken a major step forward with its ReN002 diabetes programme with
the generation of new data concerning its pancreatic cell lines for the
treatment of Type 1 (juvenile) diabetes.  ReNeuron scientists have generated
stable human pancreatic cell lines that form islet-like cell clusters.   These
clusters were shown to secrete insulin in response to glucose concentrations,
demonstrating their potential as a cell therapy candidate for Type 1,
insulin-dependent, diabetes patients.



The cell lines were generated using ReNeuron's patented c-mycER stem cell
expansion technology, and can be continuously grown in culture.  The cell lines
were pre-screened for both genetic stability and their ability to express the
appropriate phenotypic markers for insulin-producing beta cells, such as the
islet cell transcription factor PDX1 and the functional beta cell receptor
GLP1R.



These results will be presented at the JDRF Center for Beta Cell Therapy in
Diabetes' 2007 Training Course in Bath, UK on 26-28 June.  The ReN002 cells are
currently being taken forward into pre-clinical models of diabetes.  The Company
believes that its ability to efficiently expand well-characterised ReN002 cells
using its c-mycER technology may offer a solution to the current problem facing
experimental islet cell transplantation - the limited availability of donated
pancreas tissue from which to derive purified islets.



Commenting on the announcement, Dr John Sinden, Chief Scientific Officer of
ReNeuron, said:


'We are excited by these results with our ReN002 programme, not least because
having already demonstrated the ability of our c-mycER stem cell expansion
platform to generate viable cell lines for neurological disorders, these new
data indicate the potential of the technology to work in other significant
disease areas.  We now have the basis of a scalable cell therapy approach to
Type 1 diabetes, a major disease target and one in which we believe cell therapy
will play an important role in addressing in the future.'



Enquiries:


ReNeuron
Michael Hunt, Chief Executive Officer                    Tel: [phone]
Dr John Sinden, Chief Scientific Officer


Financial Dynamics
David Yates                                             Tel: [phone]
Nicola Daley





About diabetes



Type 1, or juvenile, insulin-dependent diabetes usually strikes in childhood and
leads to the progressive destruction of the insulin-secreting pancreatic islet
cells and impaired glucose metabolism.  This can result in complications such as
blindness, neuropathies, and kidney and liver problems.  There is no effective
cure.  Recombinant insulin injection is the principal current treatment,
together with diet management.  A small number of patients receive pancreas
transplants but donor organ supply is low and the immunosuppressant drug regimen
required is problematic.



Type 1 diabetes accounts for approximately 5-15% of all diagnosed cases of
diabetes.   There are estimated to be 5 million sufferers of Type 1 diabetes
worldwide.  The direct and indirect costs of Type 1 diabetes in the US are
estimated at US$5 billion per annum.



About ReNeuron



ReNeuron is a leading, UK-based stem cell therapy business.  It 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-mycER technology to generate genetically stable stem
cell lines from non-embryonic tissue sources.  This technology platform has
multi-national patent protection and is fully regulated by means of a
chemically-induced safety switch.  Cell growth can therefore be completely
arrested prior to in vivo implantation.



ReNeuron has filed for approval to commence initial clinical studies in the US
with its lead ReN001 stem cell therapy for chronic stroke disability.  This
represents the world's first such filing concerning a neural stem cell treatment
for a major neurological disorder.  There are an estimated 50 million stroke
survivors worldwide, approximately one half of which are left with permanent
disabilities.  The annual health and social costs of caring for these patients
is estimated to be in excess of £5 billion in the UK and in excess of US$50
billion in the US.



ReNeuron has also generated pre-clinical efficacy data with its ReN005 stem cell
therapy for Huntington's disease, a genetic and fatal neurodegenerative disorder
that affects around 1 in 10,000 people.  This programme is in pre-clinical
development.  In addition to its stroke and Huntington's disease programmes,
ReNeuron is developing stem cell therapies for 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(R) range of cell lines for use in research and in drug
discovery applications in the pharmaceutical industry.  ReNeuron's ReNcell(R)CX
and ReNcell(R)VM neural cell lines are marketed worldwide under license by
Millipore Corporation.



ReNeuron's shares are traded on the London AIM market under the symbol RENE.L.



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



Data sources: Juvenile Diabetes Research Foundation; UK Stroke Association;
American Stroke Association.



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', 'the Company' or 'the Group' used in this statement refer
to ReNeuron Group plc and/or its subsidiary undertakings, depending on the
context.




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