Admission to Trading on AIM

ReNeuron Holdings 12 August 2005 This announcement is not for release, publication or distribution, in whole or in part, in or into the United States of America, Canada, Japan, the Republic of Ireland or Australia or any jurisdiction where such announcement would be unlawful. ReNeuron Group Plc - Admission to Trading on AIM Guildford, UK, 12 August 2005: ReNeuron Group Plc ('ReNeuron' or the 'Company') announces that trading in the Company's ordinary shares and warrants will commence today at 08:00 on London's Alternative Investment Market ('AIM'), under the ticker symbols 'RENE.L' and 'RENW.L' respectively. ReNeuron is a leading, UK-based adult stem cell therapy business. The Company 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. The Company is also exploiting the non-therapeutic potential of its technologies with the intention of generating sustainable near-term revenue streams to contribute to the funding of its therapeutic programmes. The Company is planning to file for approval to commence initial clinical trials with its stem cell therapy for stroke in the first half of 2006, and hopes to commence these trials as soon as possible thereafter. The commencement of trading follows the placing of the Company's shares announced on 5 August 2005. The placing comprised a total of 38 million shares, all of which are new ordinary shares, placed with institutions and other investors in the UK by Collins Stewart and in the US by Harris Nesbitt Corp, at a price of 25 pence per share raising a total of £9.5 million. A total of 93.5 million shares will be in issue on admission. In addition to the funds raised in the flotation, the Company has also issued 19 million warrants, exercisable by 12 February 2007 at 30 pence, a 20% premium to the placing price. If exercised, these warrants will raise a further £5.7 million for the Company. Enquiries: Collins Stewart Tim Mickley Tel: 0207 523 8000 ReNeuron Michael Hunt, CEO Tel: 01483 302 560 John Sinden, CSO Financial Dynamics Lucy Briggs / David Yates Tel: 020 7831 3113 Notes to Editors ReNeuron is a leading, UK-based adult stem cell therapy business. The Company 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. The Company is also exploiting the non-therapeutic potential of its technologies with the intention of generating sustainable near-term revenue streams to contribute to the funding of its therapeutic programmes. The Company is planning to file for approval to commence initial clinical trials with its stem cell therapy for stroke in the first half of 2006, and hopes to commence these trials as soon as possible thereafter. ReNeuron has used its c-mycERTAM technology to generate genetically stable stem cell lines. This technology platform has multi-national patent protection and is fully regulated by way of a chemically-induced safety switch. Cell growth can therefore be completely arrested prior to in vivo implantation. The Company has tested a number of its neural stem cell lines in a series of validated pre-clinical efficacy models of stroke and Huntington's disease, with positive results. The efficacy data are being prepared for publication in a leading peer-reviewed journal and were presented at the Society of Neuroscience and American Neurological Association meetings in October 2004. To the best of the Directors' knowledge, this was the first disclosure of positive pre-clinical data in stroke using stable, expanded neural stem cells, thus providing evidence of the Company's strong competitive position in the field. As a result of this progress, the Company's lead stem cell therapeutic program, ReN001 for chronic stroke disability, has now moved into late pre-clinical development. The ReN001 cell product has been banked to Good Manufacturing Practice (GMP) standards, and pre-clinical safety studies are underway. Initial feedback from the US Food and Drug Administration has been encouraging. ReNeuron plans to commence initial clinical trials in stroke in the first half of 2006, with trials commencing as soon as possible thereafter. In addition to its ReN001 stroke programme, ReNeuron has broadened its product pipeline by initiating programmes to develop stem cell therapies to address Huntington's disease, Parkinson's disease, Type 1 diabetes and diseases of the retina. The Company recently announced that it had entered into an agreement with StemCells, Inc., a leading US adult stem cell development company, giving that company exclusive access to ReNeuron's c-mycER technology for use in the development of therapies for certain diseases targeted by StemCells. In return, ReNeuron gains exclusive access to StemCells' adult neural stem cell patent portfolio for the development of its own neural stem cell therapies. The agreement provides for reciprocal royalties and milestone payments on the achievement of various goals under the cross-licence. The potential market for stem cell and tissue engineering products is estimated to exceed $10 billion by 2013* and the diseases targeted by ReNeuron are chiefly characterised by large patient populations representing a major healthcare cost in terms of existing patient care. For most of the Company's targeted indications, there are currently no effective cures or treatments addressing the underlying cause of the condition. ReNeuron has also leveraged its stem cell technologies into non-therapeutic areas such as drug discovery - its ReNcell product. *Tissue Engineering & Stem Cell Technology Report 2003-2013, Visiongain, 2003. The contents of this announcement, which has been prepared and issued by and is the sole responsibility of ReNeuron Group plc, have been approved solely for the purposes of section 21 of the Financial Services and Markets Act 2000 by Collins Stewart Limited. Collins Stewart Limited is authorised and regulated in the United Kingdom by the Financial Services Authority, is acting for ReNeuron Group plc and for no-one else in connection with the matters described in this announcement and will not be responsible to anyone other than ReNeuron Group plc for providing the protections afforded to customers of Collins Stewart Limited or for advising them on the contents of this announcement or any matter referred to herein. This announcement does not, and no part of it shall, constitute or form part of any offer for sale or subscription of securities, or any solicitation of any such offer, not shall it, or any part of it, form the basis of or be relied upon in connection with any contract or commitment whatsoever. Any eventual acquisition of, or application for, shares in ReNeuron Group plc should be made solely on the basis of information contained in the admission document relating to ReNeuron Group plc to be issued in due course in connection with the proposed admission to trading of its shares (issued and to be issued) (the 'Shares') to AIM, a market of the London Stock Exchange. This announcement is not for release, publication or distribution, in whole or in part, in or into the United States of America, Canada, Japan, the Republic of Ireland or Australia or any jurisdiction where such announcement would be unlawful. These written materials are not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration under the US Securities Act of 1933 (the 'US Securities Act') or an exemption therefrom. ReNeuron Group plc has not and does not intend to register any Shares under the US Securities Act. The Shares will not be offered or sold to the public in the United States. 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 value of shares can go down as well as up. Past performance is not a guide to future performance. Persons needing advice should consult a professional adviser. This information is provided by RNS The company news service from the London Stock Exchange
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