Evolutec Group PLC
2 August 2004

                               EVOLUTEC GROUP PLC

       First Day of Dealings on the Alternative Investment Market ('AIM')

Evolutec Group plc ('Evolutec' or 'the Company') (LSE: EVC), the
biopharmaceutical company developing novel products for the treatment of
allergic, inflammatory and autoimmune diseases, is pleased to announce its
flotation on the Alternative Investment Market of the London Stock Exchange 
('AIM') today.

  •  Evolutec isolates potential drugs from the saliva of ticks, which contain 
     an array of novel molecules that suppress mammalian immune responses.  
     These molecules offer the potential of treating human diseases caused by 
     over-responsiveness of the immune system and have evolved over millions of 
     years to enable ticks to take blood from their hosts.

  •  The Company's lead product, rEV131, is a recombinant histamine-binding 
     protein.  The Directors believe rEV131 is the only product in clinical 
     trials that impacts the recently discovered H4 receptor. rEV131 has 
     completed preliminary phase II clinical trials in allergic conjunctivitis, 
     rhinitis and ocular inflammation.

  •  £6.0 million (gross) was raised for Evolutec via a Placing at the price of 
     125 pence per share and via the exercise of outstanding warrants.

  •  Collins Stewart is the Company's nominated advisor and broker.  Elixir
     Securities acted as research consultants.

  •  On Admission, the market capitalisation of Evolutec at the Placing
     Price will be £12.7 million (post new money).

  •  The proceeds will be used to fund proof of concept phase II clinical trials 
     in allergic rhinitis and phase II and III trials in post-cataract surgery
     for rEV131 and to fund the development of the Company's pipeline.

  • ISIS Asset Management plc, one of Evolutec's principal shareholders, has
    invested £1.8 million in the Fundraising.

  • Evolutec's directors have invested £217,500 in the Fundraising.

FUNDRAISING STATISTICS

Placing Price                                                     125p per share
Number of Ordinary Shares placed on behalf of the Group         4,560,000 shares
Gross proceeds of the Placing                                       £5.7 million
Proceeds from exercise of Warrants                                  £0.3 million
Net proceeds available to the Company                               £5.1 million
Market capitalisation at the Placing Price on Admission            £12.7 million
Issued Share Capital after issue                               10,198,048 shares

Commenting on the announcement, Dr Mark Carnegie Brown, Evolutec's Chief
Executive Officer, said: 'I am delighted that Evolutec has joined AIM today.
Our support from investors has been extremely strong - both from new and
existing institutions.  We look forward to building value for our shareholders
and reporting positive news back to the market.'

                                      ENDS

For further information:

Evolutec                                                          01865 784070
Mark Carnegie Brown, Chief Executive Officer
Nicholas Badman, Chief Financial Officer

www.evolutec.co.uk