Interim Report to 30 June 04

Evolutec Group PLC
29 September 2004

For immediate release                                         29 September 2004



                              EVOLUTEC GROUP PLC
                         ('Evolutec' or the 'Company')

             INTERIM REPORT FOR THE 3 MONTH PERIOD TO 30 JUNE 2004

Evolutec Group plc (AIM: EVC), the biopharmaceutical company developing novel
products for the treatment of allergic, inflammatory and autoimmune diseases, is
pleased to announce its interim report for the three months to 30 June 2004, the
period prior to the Company's flotation in August this year.  Evolutec will next
issue results for the period to 31 December 2004 and then report on a
six-monthly basis.

Highlights of the year to date

•        Evolutec admitted to the Alternative Investment Market ('AIM') on 2
         August 2004
•        £6.0 million (gross) raised via a Placing at 125p a share and via the
         exercise of outstanding warrants
•        Proceeds to be used to fund proof of concept clinical trials in
         allergic rhinitis and post-cataract surgery for rEV131 and to progress 
         the development of the Company's other pipeline products
•        Merial, the animal health company, began the treatment phase of cattle
         trials in September 2004 with the Company's novel vaccine against ticks 
         and tick-borne disease
•        Nicholas Badman appointed Chief Financial Officer in July 2004

Company strategy

Evolutec isolates potential drugs from the saliva of ticks. The tick remains
undetected by its hosts, including humans, by injecting an array of molecules
into the skin that suppresses normal defence mechanisms. These stealth molecules
have evolved over millions of years to enable the tick to take a blood meal from
its host. Evolutec employs the tick's evolutionary stealth technology to offer
the potential of treating human diseases caused by over-responsiveness of the
immune system.

The Company's lead product, rEV131, is a recombinant histamine-binding protein.
The Directors believe rEV131 is the only product in clinical trials that
prevents activation of the recently discovered H4 receptor now believed to play
a significant role in late phase inflammation.  rEV131 has completed preliminary
phase II clinical trials in allergic conjunctivitis, rhinitis and ocular
inflammation.

Admission to AIM

Evolutec was admitted to AIM on 2 August 2004 raising £6.0 million through the
issue of 4.56 million shares at 125p and the conversion of outstanding warrants.
The Company's Placing and Admission prospectus was published on 20 July 2004
and contained financial information to 31 March 2004.

Progress since Admission to AIM

In particular, management has focussed on planning and implementing the detailed
clinical development program for rEV131 including the proof of concept phase II
trials in allergic rhinitis and post-cataract surgery.  The initial material for
the conduct of the clinical trials has been manufactured at Oxford.  Management
has also focussed on selecting a third party manufacturer to assist with the
development of a commercial manufacturing process for rEV131.

In September 2004 Merial, one of the world's leading animal health companies,
began the treatment phase of cattle trials with Evolutec's novel vaccine against
ticks and tick-borne disease. Merial entered into a partnership deal with
Evolutec in September 2003 under which milestone payments to Evolutec will be
triggered on a successful outcome to the trials and on product registration.
Royalties to Evolutec will become payable on future sales. It is anticipated
that the results of the cattle trial will be released towards the end of 2005.

Evolutec's trial work to date shows that various combinations of truncates of
the cement protein that the tick secretes to attach itself to its host can, when
used as a vaccine, reduce tick attachment, inhibit feeding and, most
importantly, reduce the transmission of micro-organisms.  To date these vaccine
constructs have been demonstrated to reduce transmission of tick borne
encephalitis and the causative organism of Lyme disease.

Preclinical work on the potential of a human vaccine is on-going, a programme
that the Company intends to license out at an appropriate time.

                                      ENDS

For further information:

Evolutec                                                         01865 784070
Mark Carnegie Brown, Chief Executive Officer
Nicholas Badman, Chief Financial Officer
www.evolutec.co.uk

Collins Stewart                                                  020 7523 8350
Chris Howard

Buchanan Communications                                          020 7466 5000
Mark Court/Tim Anderson/Mary-Jane Johnson

Notes to editors

About Evolutec

Evolutec, which is based at the Oxford Science Park in Oxford, UK, was founded
in 1998 from technology originally developed by the Natural Environment Research
Council, a Government funded organisation that supports environmental science.
Evolutec was funded as a private company by investors including Isis Asset
Management and 3i.

Evolutec isolates potential drugs from the saliva of ticks. The tick remains
undetected by its hosts, including humans, by injecting an array of molecules
into the skin that suppresses normal defence mechanisms. These stealth molecules
have evolved over millions of years to enable the tick to take a blood meal from
its host. Evolutec employs the tick's evolutionary stealth technology to offer
the potential of treating human diseases caused by over-responsiveness of the
immune system.

The Company's lead product, rEV131, is a histamine-binding protein that has
progressed to phase II trials in allergic conjunctivitis, rhinitis and ocular
inflammation. Positive preclinical data have been generated in asthma and acute
respiratory distress syndrome. rEV131 is understood to be the only product
currently in clinical trials that impacts the H4 receptor, a receptor implicated
in many forms of inflammatory disease. The Company intends to start key clinical
trials with rEV131 in allergic rhinitis and post-cataract surgery.

The Company has a further two products in preclinical development and a
significant pipeline of other product candidates.

Evolutec's expertise in tick biology has enabled it to develop vaccines against
ticks and tick-borne disease. In September 2003 the Company partnered its
programme to develop anti-tick vaccines in animals with Merial, one of the
world's leading animal healthcare companies.

Evolutec used investment of just £6.6 million to bring the Company to its stage
of development prior to its flotation.  Evolutec's directors will continue to
pursue a lean outsourcing business model, which will seek to capture maximum
value for shareholders potentially by keeping specialist ophthalmic indications
in-house and licensing-out larger indications of rEV131.

The Company has an experienced management team that has a wide range of industry
and financial expertise from within and outside the sector and specific know-how
in bringing new technology to market.  Evolutec is headed by Chairman Dr David
Bloxham, a former director of companies including Celltech Group. The Chief
Executive Officer, Dr Mark Carnegie Brown, has 16 years' experience with ICI and
Zeneca in research, commercial and managerial roles. The Chief Financial
Officer, Nicholas Badman, is a chartered accountant with 10 years' experience in
corporate finance including positions at investment banks HSBC and Schroder
Salomon Smith Barney.




                      This information is provided by RNS
            The company news service from the London Stock Exchange