MANCHESTER, UNITED KINGDOM --(Marketwire-September 23 2008) - Epistem plc (LSE: EHP), the UK biotechnology and contract research company, will present preclinical results from its recently completed plucked hair biomarker study at the American Association for Cancer Research (AACR) conference, “Molecular Diagnostics in Cancer Therapeutic Development: Fulfilling the Promise of Personalized Medicine” in Philadelphia on 23^rd September 2008.  This study was completed successfully on a candidate oncology drug from Ortho Biotech Oncology Research and Development (ORD), a Division of Janssen Pharmaceutica, N.V.

Data will be presented by Dr. Ged Brady in a poster and as an oral presentation to an audience at the AACR conference.  The data will demonstrate drug-induced changes in gene expression observed in plucked hairs following drug treatment.  Using this proprietary minimally invasive technique developed by Epistem, researchers have identified a “core gene set” for the oncology compound.  The gene biomarkers identified provide pharmacodynamic (PD) information indicative of biological response for ORD’s compound, which acts on the c-Met pathway.

This biomarker information can potentially assist the drug development process by providing a quantitative measure of drug exposure, helping to identify the appropriate dose and treatment schedule.

“Epistem’s proprietary plucked hair biomarker platform provides a simple and effective means of measuring biological response in epithelial tissue.  Hair sampling is a minimally-invasive technique and well tolerated by clinical subjects, compared to collection of blood or other tissues,” stated Lydia Meyer Turkson, Director of Biomarkers at Epistem.  “We are extremely pleased with the results from this preclinical stage of the collaboration,” she added.

The abstract will be available on request following the presentation at AACR.  For further information on the Company please visit www.epistem.co.uk or contact:

Dr. Danielle Hargreaves                                      +44 (0)161 606 7258

Public Relations                                                 +44 (0) 7920 815603

Epistem plc.                                                      info@epistem.co.uk

Mike Wort / Anna Dunphy                                   +44 (0) 207 861 3838

Financial PR/IR

De Facto Communications

Notes to Editors:

About Epistem

Epistem is a biotechnology company commercialising its expertise in epithelial stem cells in the areas of oncology, gastrointestinal diseases and dermatological applications. Epistem develops innovative therapeutics and biomarkers and provides contract research services to drug development companies. The Group’s expertise is focused on the regulation of adult stem cells located in epithelial tissue, which includes the gastrointestinal tract, skin, hair follicles, breast and prostate. Epistem does not conduct research in the areas of embryonic stem cells or stem cell transplantation.

Epistem operates three distinct business divisions, Contract Research Services, Novel Therapies and Biomarkers.

Biomarkers

The Biomarker division provides services to drug development companies using its plucked hair biomarker technology. The Company’s knowledge of the behaviour of epithelial cells and drug-induced gene expression change is used to measure drug effects during treatment.  Changes in gene expression can be detected within hours and at low levels of chemotherapy or radiation. The highly sensitive Biomarker technology is based on using mRNA extracted from the bulb of cells at the base of a single hair follicle as a minimally invasive process to measure gene expression changes in epithelial tissue.