Interim results for the six months to 30th September 2003

Micap plc (“Micap” or the “company”) today reports its maiden interim results for the six months to 30th September 2003. Micap’s principal business activity is the development, production and licensing of micro encapsulation technology based on single cell organisms, in particular yeast. These organisms can be used as capsules to protect and deliver actives including flavours, agrochemicals and pharmaceuticals.

HIGHLIGHTS • Admission to the Alternative Investment Market in August 2003 raising in excess of £5.37 million before expenses (£4.64m net) through a successful placing at £0.55 a share. • Loss after tax of £0.57 million (six months to 30th Sept 2002 - loss £0.84m) • First commercial licensing deal signed with Firmenich, the world’s third largest flavour and fragrance company, in the field of savoury flavours • Proof of principle obtained for oral and topical pharmaceutical applications • Feasibility studies underway with AstraZeneca and a division of The Boots Company Plc • Research programme established with Lallemand Inc, a world leader in yeast and bacterial technology • Strong cash position of £3.25 million at 30th Sept 2003 (2002: £0.14m)

Commenting on the results, Michael Brennand, Chief Executive of Micap, said: “Since our flotation in August, Micap has made good progress in its major fields of operation, including flavours, healthcare and agrochemicals, and has identified new market opportunities where the technology is expected to have significant benefits. Micap is now generating revenues through development, option and licensing agreements, and we remain confident of the ultimate commercialisation of the Micap technology in all its core market sectors”.

For the full text of this announcement, please click on the link to the London Stock Exchange on the Investor Information page, and go to the RNS section