GNOS Genosis

RNS Number:8303W
Genosis PLC
18 May 2007


For Immediate Release                                                18 May 2007



                                  GENOSIS PLC

                     #2.3 MILLION FUNDRAISING SUBSCRIPTION

                        - Augments US expansion plans -


Genosis PLC (AIM - GNOS), the AIM listed company, specialising in consumer
products for reproductive health, is pleased to announce a successful
fundraising raising #2.3 million (before expenses).

The Company will be issuing 17,834,611 new Ordinary Shares at 13 pence per share
(the "Subscription Price") through a subscription by the Company (the
"Subscription"). The new Ordinary Shares are being placed with existing and new
institutional and private investors.

Use of Funds

As part of Genosis' critical US expansion strategy we have over the year
strengthened our marketing team in the US in preparation for the launch of
Fertell. Fertell is the only FDA cleared OTC fertility test for couples. We
announced in April 2007 that CVS, the largest chain drug store in the US with
over 6,000 stores across 43 states, will be selling Fertell for the first time.
Additionally, we announced in May 2007 that Longs Drugs, headquartered in
California, with over 500 stores on the West Coast of the US, will also be
selling Fertell.

The Fertell couples test is ideally suited for the US market. Each year, in the
US, it is estimated that there are over three million couples aged 25 to 40 that
are trying to conceive. At-home fertility screening is an important and logical
first step for couples who want more information about their fertility status.

Genosis anticipates that during this year additional distribution in the US will
be made with other chain drug and retail stores for them also to include the
Fertell product as part of their fertility merchandising programmes.

The Company will use the proceeds from the fundraising to increase its marketing
spend in the US in 2007 by approximately $2 million. Genosis plans to invest in
total around $5 million on its US marketing campaign in 2007. The spend on
advertising in 2008 will also be increased. US consumers will be alerted as to
the availability and benefits of Fertell through print advertising, web media
and PR.

The Subscription

The Company will be issuing 17,834,611 new Ordinary Shares at 13 pence per share
through a subscription by the Company. The new Ordinary Shares are being placed
with existing and new institutional and private investors. These new Ordinary
Shares will represent approximately 53 per cent. of the enlarged issued share
capital of the Company. The Subscription Price represents a discount of 28 per
cent to the closing middle market price of the Company on 17 May 2007 (being the
date prior to the release of this announcement).

The Subscription is conditional, among other matters, upon the Company obtaining
Shareholder approval from its Independent Shareholders for the Waiver, approval
from its Shareholders to disapply pre-emption rights and to grant the Board the
necessary authority to allot the Subscription Shares, at an Extraordinary
General Meeting convened for 11.00 a.m. on 13 June 2007. A circular, containing
a notice of EGM, has today been sent to Shareholders.

As part of the Subscription Jonathan Pockson and Dr Gordon Forrest, both
Directors of the Company, will be subscribing for 153,846 and 38,461 new
Ordinary Shares respectively. Upon Admission, Mr Pockson and Dr Forrest will
have a beneficial interest in 156,846 and 137,517 Ordinary Shares respectively,
representing 0.46 per cent. and 0.41 per cent. of the enlarged issued share
capital.

International Biotechnology Trust plc, SV Life Sciences Fund I, SV Life
Sciences, Managers LLP and/or its associated entities, Schroder Ventures Manager
Limited and Schroder Ventures Manager Inc. are deemed to be a concert party
under the definitions of the Takeover Code. Under the terms of a Subscription,
International Biotechnology Trust plc has conditionally agreed to subscribe for
11,538,461 Subscription Shares representing approximately 34.61 per cent. of the
issued share capital of the Company immediately following Admission, as enlarged
by the issue of such shares. Following the Subscription, the Concert Party will
have a beneficial interest in 15,946,950 Ordinary Shares, representing
approximately 47.83 per cent. of the issued share capital of the Company
immediately following Admission.

Subject to approval of Independent Shareholders, the Panel has agreed to waive
the obligation to make a general offer that would otherwise arise as a result of
the Subscription. Accordingly, a resolution is being proposed at the EGM and
will be taken on a poll. No member of the Concert Party will be entitled to vote
on the Waiver Resolution.


Application will be made to the London Stock Exchange for the Subscription
Shares to be admitted to trading on AIM. It is expected that Admission will
become effective on or before 8.00 a.m. on 19 June 2007.


Commenting on this announcement, Chief Financial Officer, Jonathan Pockson,
stated "We, at Genosis, are delighted to have received the continuing support in
this secondary funding round from our existing shareholders as the Company
launches Fertell into the vital United States market. We are also very pleased
to welcome a number of new investors to the Company."

Defined terms in this announcement are to have the same meaning as in the
circular sent to Shareholders today.


For further details, please contact:

Genosis           Paul Bateman, CEO/Jonathan Pockson, CFO   +44 (0)1483774050
Buchanan
Communications    Lisa Baderoon                             +44 (0)2074665000
Evolution
Securities        Tim Worlledge/ Bobbie Hilliam             +44 (0)2070714300


NOTES TO EDITORS

Genosis is a consumer products company focused on reproductive health. Genosis'
first product Fertell , an at-home fertility testing kit for men and women, went
on sale in the UK in January 2006 and will be on sale in the US in May 2007.
Fertell was designed and developed by Genosis and is the first and currently the
only FDA cleared OTC product on the high street that allows couples to
accurately test both male and female fertility quickly and simply in the privacy
of their own home. Genosis' product Fertell makes the breakthrough of taking
accepted technology from the laboratory into easy to use fertility testing
devices for testing at home.

Fertell is easy to use. The woman's test is used in a similar way to a pregnancy
test but, unlike any other test that is available for use at home, it assesses
the quality of the egg she releases. For the male test, the man has to produce a
sample, push a button and twist a switch and, in just over an hour, the test
will show him if he has enough motile sperm that can swim to reach an egg (based
on WHO standards). Fertell has been through clinical trials in the UK and the US
and has been shown to be more than 95% accurate when compared with standard
laboratory tests run in fertility clinics. Fertell has been cleared for sale in
the US by the FDA and has received CE marking for sale in Europe.

The Company has a UK distribution agreement with Boots, the UK's biggest
healthcare retailer with more than 1200 stores nationwide. The Boots
Distribution Agreement is exclusive for the UK until November 2008. Boots sells
Fertell through its high street branches in the UK and the Republic of Ireland.
The Fertell kit is also available through www.boots.com and through Genosis' own
website, www.fertell.co.uk. In the US, the national drug store chains, CVS and
Longs will be distributing Fertell from May 2007 through their stores and
websites. Sales will also be made through the Company's own US website,
www.fertell.com.

The potential market for Fertell is estimated to be in excess of US $500 million
per annum (Western Europe, North America and Japan). There are in excess of 500
million couples of reproductive age worldwide, and approximately 1 in 7 or about
80 million couples have problems conceiving. There is a significant increase in
the industrialised world in the number of women deferring childbearing until
after 30. This has a marked effect on fertility. Although male factor
infertility is the single most common cause of infertility, the key prognostic
indicator of a couple's fertility is the age of the female partner, with
fertility rates, upon treatments such as IVF, halving between the ages of 30 and
38. In the UK, couples most frequently turn to their medical providers for
assistance, but typically are advised to wait and try to conceive for a further
period of up to 12 months before returning for tests and treatment. The key
benefit of Fertell is that it allows men and women to assess their fertility
status in the privacy of their own home and, the earlier couples can identify
whether a problem exists, the earlier they can seek treatment and the more
likely they are to conceive.

www.genosis.com www.fertell.co.uk www.fertell.com



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