Oxford, UK – 10 March 2006: Oxford BioMedica (LSE: OXB), the leading gene therapy company, and VIRxSYS Corporation (Gaithersburg, Maryland USA) today announce a licence agreement for Oxford BioMedica’s VSV-G viral envelope technology for gene delivery. The agreement provides VIRxSYS with rights to utilise this technology in the production process of VIRxSYS’s anti-HIV/AIDS product VRX496 which is currently in Phase II trials. Under the agreement, Oxford BioMedica receives an upfront licence fee and annual maintenance payments. In addition, Oxford BioMedica will receive payments on the achievement of clinical and regulatory milestones by VIRxSYS and product royalties. Further financial details were not disclosed. 

Oxford BioMedica’s CEO, Professor Alan Kingsman, said: “We are delighted to welcome VIRxSYS to the growing list of Oxford BioMedica’s technology licensees. This agreement further underlines the breadth and strength of our proprietary gene delivery technologies.”

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For further information, please contact:
Oxford BioMedica plc: Professor Alan Kingsman, Chief Executive	Tel: +44 (0)1865 783 000
City/Financial Enquiries: Lisa Baderoon/ Mark Court/ Mary-Jane Johnson Buchanan Communications	Tel: +44 (0)20 7466 5000
Scientific/Trade Press Enquiries: Katja Stout/ Gemma Bradley Northbank Communications	Tel: +44 (0)20 7886 8150

 Notes to editors:

1. Oxford BioMedica

Oxford BioMedica (LSE: OXB) is a biopharmaceutical company specialising in the development of novel gene-based therapeutics with a focus on the areas of oncology and neurotherapy. The Company was established in 1995 as a spin out from Oxford University, and is listed on the London Stock Exchange.

Oxford BioMedica has core expertise in gene delivery, as well as in-house clinical, regulatory and manufacturing know-how. In oncology, the pipeline includes an immunotherapy and a gene therapy in multiple Phase II trials, and a preclinical targeted antibody therapy in collaboration with Wyeth. In neurotherapy, the Company’s lead product is a gene therapy for Parkinson’s disease, which is expected to enter clinical trials in 2006, and four further preclinical candidates. The Company is underpinned by over 80 patent families, which represent one of the broadest patent estates in the field. 

The Company has a staff of approximately 70 split between its main facilities in Oxford and its wholly owned subsidiary, BioMedica Inc, in San Diego, California. Oxford BioMedica has corporate collaborations with Wyeth, Intervet, Sigma-Aldrich, Viragen, MolMed and Kiadis; and has licensed technology to a number of companies including Merck & Co, Biogen Idec and Pfizer. 

Further information is available at www.oxfordbiomedica.co.uk 

2. VIRxSYS Corporation

VIRxSYS’ mission is to become the leading technology company for delivering biologic and gene therapies into cells. The Company has created a lentiviral gene delivery technology which is the critical link to delivering genetic medicines for the treatment of a broad range of life-threatening diseases such as HIV/AIDS and cancer.

The Company expects that its genetic medicines will provide dramatically improved patient outcomes, including disease remission and possibly permanent cures. While VIRxSYS' initial focus is on cellular therapies for HIV/AIDS and various cancers, the Company's numerous collaborations include work towards vaccines for those terrible diseases. Eventually, the Company intends to apply the Company's technology to other diseases as well as possibly to countering bioterrorism and functional genomics.

Delivery of the Company's products will initially use ex-vivo cell processing, followed in time by in-vivo injectables and other techniques for the most effective delivery to the targeted cells and diseases. VIRxSYS plans to select strategic partners to significantly advance the Company's research and development and manufacturing scalability. In addition, such partners may also be used for sales, marketing and delivery of the Company's products. 

Further information is available at http://www.VIRxSYS.com