License Agreement

For immediate release: 07:00 15 October 2007

                                  VALIRX PLC                                   

                                  ("ValiRx")                                   

                               License Agreement                               

ValiRx (AIM: VAL), the cancer therapeutics company, is pleased to announce that
it has signed a full license agreement with Chroma Therapeutics Ltd ("Chroma")
to commercialise a non-invasive diagnostic technology patent developed by
Chroma. The technology identifies epigenetic signal changes, in particular
changes to the histone code, which occur in cancer related illnesses.

ValiRx believes this technology, called Nucleosomics1, has the potential to
complement ValiRx's existing cancer diagnostics technology, HyperGenomics2, to
create a non-invasive, mass screening, cancer diagnostics package that can
deliver early stage diagnosis, specific diagnosis, prognosis, evaluation and
therapeutic strategy.

The ongoing testing and development of the Nucleosomics technology alongside
HyperGenomics will be carried out by ValiBIO S.A., ValiRx's recently formed
Belgium subsidiary.

Under the terms of the agreement, ValiRx will pay Chroma royalties on any
future sales resulting from commercialisation of the Nucleosomics technology.

Dr Satu Vainikka, CEO of ValiRx, commented:

"Put together, we believe that these technologies have the potential to form a
mass screening, non-invasive cancer diagnostic and management package. Further,
as both technologies are centred on epigenomics, we have the ability to develop
and commercialise them jointly using existing resources and partnerships."

Ian Nicholson, CEO of Chroma, added:

"We are pleased to have partnered this programme with, in our opinion, a
diagnostics specialist who has the skill base to fully exploit its potential as
a new approach to cancer diagnostics."

Notes to editor

 

1. NucleosomicsTM

Nucleosmics is a non-invasive (blood) test for early cancer diagnosis based on
epigenetic signal changes associated with malignancy.

 

The control of gene expression is determined by a number of different
epigenetic regulatory mechanisms. Paramount amongst these is the chromatin
environment surrounding the gene and key covalent modifications (including
acetylation, methylation, phosphorilation and others) to the histone proteins
associated with the nucleosomes of the gene. This is often referred to as the
histone code.

 

Disruption of the normal histone code is associated with aberrant gene
expression and malignant transformation and these alterations are the basis of
Nucleosomics.

 

Nucleosomics is non-invasive. Intact nucleosomes derived from tumour chromatin
are found in the blood of cancer patients, but not in healthy individuals.
These cell-free nucleosomes can be analysed for histone code modifications. The
presence in the blood of nucleosomes associated with particular histone
modifications and/or gene sequences can therefore be used to diagnose the
particular cancer.

 

2. HyperGenomics

Developed by Chronos Therapeutics, the HyperGenomics technology characterises
cancerous and normal cells by mapping the open areas of chromatin on a
chromosome using a patented PCR-based method.

About ValiRx plc

ValiRx is a biopharmaceutical development company that is building a portfolio
of complementary cancer-related therapeutic and diagnostic technologies. It
currently holds stakes in Cronos and Morphogenesis Inc;

  * Cronos holds licenses to two innovative and potentially market changing
    technologies, GeneICE and HyperGenomics;
   
  * Morphogenesis Inc. is developing a portfolio of cell therapy products for
    the treatment of chronic disorders. Its most advanced product, being
    ImmuneFxâ„¢ for which it recently received a patent from the US patent
    office.
   
ValiRx is headquartered in London, England. Further information can be found at
www.valirx.com

About Chroma Therapeutics

Chroma Therapeutics, based in Oxford (UK), is a drug discovery and development
company focused on building a broad pipeline of first- or best-in-class
treatments for haematological and solid tumours. Chroma is backed by a number
of leading specialist investors, including Abingworth, Essex Woodlands, Gilde,
Nomura Phase4 and The Wellcome Trust.

More information about Chroma can be found at www.chromatherapeutics.com.

Contact Details:

    ValiRx Plc         WH Ireland     Chroma Therapeutics  GTH Communications  
                                                                               
 Dr Satu Vainikka    David Youngman     Ian Nicholson /     Toby Hall / Jade   
                                        Richard Bungay         Mamarbachi      
                                                                               
  [phone]    [phone]  [phone] [phone] 
       4416               2174