Global launch by flavour partner Firmenich - 1st June 2004

Micap plc announces the global commercial launch of flavour products by its licensee, Firmenich., Micap plc, the technology licensing company specialising in the microencapsulation of active ingredients in yeast cells, today announces the global commercial launch of encapsulated flavour products by its licensee Firmenich, the world's largest privately owned flavour & fragrance company. The products are based on both the sound technology platform supplied by Micap and the improvements developed jointly throughout the course of the project. The technology will be used to protect flavours during cooking processes and provides an intense, lingering flavour in the mouth during eating.

Michael Brennand, CEO of Micap said: 'This is a very significant step for Micap. It represents the first global commercialization of our technology and it will be extremely satisfying in the coming weeks to see everyday products on supermarket shelves using Firmenich flavours with this novel technology. This product launch has only been made possible by the hard work and cooperation of many people in the development teams in Micap and Firmenich over many months'

Touran Cheraghi, Vice-President, Global Strategic Planning, Savory at Firmenich said: 'After a long period of development with Micap, we are delighted to launch this new encapsulation technology, which Firmenich has trademarked as ThermaromeŽ. It will be marketed to our global customers throughout Firmenich's commercial network, and will strengthen our position as the leading supplier of encapsulated flavour solutions to the food industry'.

Firmenich will pay royalties to Micap on all sales of products incorporating the encapsulation technology. Micap continues to develop relationships with partners in other fields, including SkyePharma plc, its initial licensee in pharmaceuticals, AstraZeneca, Fertin Pharma A/S and confidential partners in areas as diverse as biocides, agrochemicals, cleaning products and natural remedies.