New Cambridge Facility

Stem Cell Sciences plc 18 December 2006 18 December 2006 Stem Cell Sciences Opens New Cambridge Stem Cell Production Facility ("Stem Cell Sciences" or "SCS") Stem Cell Sciences plc (AIM:STEM), the global biotechnology company focused on the commercialisation of stem cells and stem cell technologies in research and novel cell-based therapies, is pleased to announce that it has opened its new automated stem cell production facility at the Babraham Research Campus in Cambridge. SCS' new facility will enable the Company to grow and supply its novel stem cell based drug screens and assays for the world pharmaceutical industry using state of the art robotic cell culture equipment, including the CompacT SelecT TM. Combined with the company's range of stem cell lines, cell culture media and sophisticated stem cell engineering tools, it now means SCS will be able to supply the right quantity as well as quality of "cells in wells" needed for advanced pharmaceutical research and development. The company cell lines now include embryonic stem cells, neural stem cells that can produce neurons, astrocytes and oligodendrocytes, and hMADS cells (fat derived stem cells) that can produce adipocyte (fat) and osteoblast (bone) cells. Commenting on the opening of the new facility, SCS' Chairman, Dr Michael Dexter, said: "The opening of this facility is another step along the way to bringing stem cells from the research bench to industry. Our investment at the Babraham Research Campus gives SCS the capability to supply our stem cell based products to the pharmaceutical industry in reproducible and cost effective ways, and is an exciting step forward in the company's continuing development." The new facility was formally opened on December 15th by Dr Mary Archer, Chair of the East of England Stem Cell Network Steering Group and Chair of Cambridge University Hospitals NHS Foundation Trust, who said: "One of the bottlenecks in drug development is the time it takes to screen candidate drugs for efficacy. The use of stem cell-derived cell lines for screening promises much greater speed and efficiency than current methods, as well as a reduced need for animal testing in pharmaceutical research and development. I am delighted to see SCS introduce this new facility at Babraham." - Ends - For further information, please contact: Stem Cell Sciences plc Hugh Ilyine, Vice President and Chief Operating Officer 0131 662 9829 Sue Furber, Director of Finance & Company Secretary Weber Shandwick | Square Mile Louise Robson 020 7067 0700 James White Notes to Editors Stem Cell Sciences plc (SCS, AIM: STEM) is a global biotechnology company, established in Melbourne, Australia in 1994, providing products in the burgeoning stem cell research and drug discovery markets, in addition to the targeted development of cell-based therapies for neurodegenerative disease and injury. The Company has established a leading intellectual property (IP) and technology portfolio that enables the commercial application of stem cells in drug discovery, providing the Company with early-stage revenue streams and technology development for at scale cell production of SCS cell-based therapeutics. SCS principal focus is in neurological disease. Revenues in the neurotech market, including pharmaceuticals, devices and diagnostics, grew 10% in 2005 to US$110 billion (Neurotech Insights, Volume 2/3 April 30 2006). SCS operates as a group of independent operations with laboratories in Scotland, Japan and Australia, each of which is affiliated with an academic centre of excellence. These include the Institute of Stem Cell Research (ISCR), Edinburgh, UK, RIKEN Centre for Development Biology, Kobe, Japan and the Australian Stem Cell Centre, Melbourne, Australia. SCS has four business units focused on key sustainable business strategies. SC Proven(R) provides cell culture media (liquid formulations) and reagents that enable the growth and differentiation of stem cells. The first commercially available product, a novel, serum free, stem cell growth medium, has been exclusively licensed for manufacture and marketing to Chemicon, part of Millipore Corporation. SC Licensing licenses SCS proprietary technologies, such as Internal Ribosome Entry Site (IRES) and Stem Cell Selection, for application in laboratory-based research and discovery. SCS has licensed technology to major pharmaceutical and biotechnology companies including Pfizer, Sanofi Aventis, GSK, Deltagen Inc and Lexicon Genetics Inc. SC Services provides specialised stem cell production for basic research and drug discovery, including high-throughput applications. SC Therapies' goal is to develop safe and effective cell-based therapies for currently incurable diseases. SCS is conducting preclinical evaluations of its neural stem cell lines in a number of therapeutic applications. The first preclinical programme is being undertaken by SCS' Japanese affiliate, which recently announced the exclusive licensing of human multi-potent adipose-derived stem (hMADS) cells for therapeutic purposes. SCS KK will conduct preclinical studies for the treatment of Duchenne Muscular Dystrophy in 2007-8. For further information on the company please visit: www.stemcellsciences.com This information is provided by RNS The company news service from the London Stock Exchange

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