Adjuvantix receives investment from the White Rose Technology Seedcorn Fund

Adjuvantix Limited, a new company set up to develop the research of Dr Andrew Heath of the Division of Genomic Medicine at Sheffield University, today received an investment from the White Rose Technology Seedcorn Fund. Murray Johnstone Private Equity, managed the investment process.

Adjuvantix Limited was set up by Sheffield University Enterprises Limited, the University's wholly owned technology transfer subsidiary, to develop Dr Heath's research into the use of adjuvants in vaccines, a major area of vaccine development. Dr Heath's technology could have substantial advantages over other adjuvants currently in use, as his research has produced adjuvants based on the body's own immune system. Due to this, the Adjuvantix products should significantly reduce side effects, and also the opportunity to develop new vaccines and to reduce the number of doses required. This is important in economic terms as the labour costs of multiple dosings are a significant part of any vaccination programme.

The market for vaccines is already huge, at current estimates the market size of $4.3 billion in 1998 will grow to $10 billion by 2005. Despite the fact that vaccination is generally an extremely cost-effective form of disease prevention, there are currently only vaccines generally available for 15-20 diseases, some of which have serious potential side effects. Significant opportunities exist to reduce healthcare costs by extending the number of vaccines available. A large amount of funding is going into developing these new vaccines, but their chances of success will be greatly aided by the use of improved adjuvants which can boost the immune response against the vaccine components.

Commenting on the investment, Gerry White, Investment Director, Murray Johnstone Private Equity said: "Adjuvantix work, pioneered by Dr Andrew Heath will have an important impact on the cure and prevention of disease through vaccines. As well as enhancing the response to existing and new vaccines against infectious diseases, there is also the opportunity to produce therapeutic vaccines for disorders of the human immune system such as auto-immune diseases, and allergy, or for the treatment of cancer. The White Rose Seed Corn Technology fund was set up to provide funding for exactly this type of ground breaking research and we wish the team every success."

Dr Andrew Heath added: "The work is still at an early stage, but has great potential. We hope, with the aid of the WRTSF funding that it can be taken closer to the stage at which it will be of great social benefit"

For further information please contact: Gerry White, Murray Johnstone Private Equity 0113 242 2644 Lindsay Vetch, Lansons Communications 020 7 490 8828

NOTES TO EDITORS

Murray Johnstone Private Equity

Murray Johnstone provides equity finance for expansions, MBOs, MBIs, acquisition finance, refinancing bank debt, rescue/turnaround, secondary purchase/replacement capital and, occasionally, start-ups.

Murray Johnstone invests in a wide range of industry sectors, primarily in the UK, seeking to invest from £500,000 to £20 million in small mid market companies, up to a market capitalisation of £50 million. There are 28 executives working from six regional offices in Birmingham, Glasgow, Leeds, London, Manchester and Sheffield.

Murray Johnstone manages two Limited Partnerships, four Venture Capital Trusts (VCTs) and several segregated portfolios. In addition, it also manages an Asean private equity fund management company in Singapore, Murray Goh Private Equity Pte Ltd., a joint venture between Murray Johnstone, GK Goh and BancBoston Capital.

Visit our website at www.murrayjohnstone.com

Murray Johnstone Private Equity is an appointed representative of Murray Johnstone Limited (regulated by IMRO)

Murray Johnstone

Murray Johnstone Limited is a leading Scottish Investment management group managing around £4.1 billion for a broad range of UK and international clients. These include investment trusts, Venture Capital Trusts, private equity, OEICs, unit trusts, institutional and charity funds and private clients. With no other business activities to distract it from its investment role, its sole intention is to maximise returns for its clients. Murray Johnstone Limited has six offices in the UK as well as offices in Chicago, Singapore and Bahrain. The company's headquarters are in Glasgow where most of the investment management is undertaken.

Murray Johnstone's origins date back to the early years of the 20th Century when the Glasgow-based firm of chartered accountants, Brown, Fleming and Murray, in 1907 pooled its clients' investments into an investment company, the Scottish Western Investment Company. Four other similar companies in the ensuing years provided the base for Murray Johnstone, the investment management company. Already known for its investment skills in American markets, it soon developed a strong reputation for managing specialist funds in other parts of the world.

In 1974 Murray Johnstone was bought from the successors of the original accounting practice by a consortium of investment trusts. In 1993, Murray Johnstone was acquired by United Asset Management (UAM), a US public company.

On the 19 June 2000, UAM and Old Mutual PLC announced an agreement for Old Mutual to acquire UAM and the acquisition was completed on 26 September 2000. On the 11 October 2000, the boards of Old Mutual PLC and Aberdeen Asset Management PLC announced the signing of a binding agreement on the terms of the sale by Old Mutual of Murray Johnstone to Aberdeen to create Scotland's largest independent fund management business with over £27 billion in funds under management.