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CeNeS Pharmaceuticals plc: Update on Successful Phase III results,announced on Lead Product M6G

short term income and recurring revenue streams from a successful product launch in the future.

Regulatory strategy

CeNeS preferred strategy is for a partner to be involved in the key decisions regarding regulatory filing strategies both in Europe and in United States. The strategy in the USA is clear. The strong data obtained from the most recent Phase III study validates the proposed product profile of M6G and strengthens CeNeS position with potential North American partners. Registration could be achieved in the USA in 2009 after conducting two Phase III studies to the requirements of the FDA. It is important to note that the quality and robustness of the clinical data produced by the current study significantly reduces the risk for the development of M6G by enabling optimal trial design and the selection of endpoints in the remaining Phase III studies.

In Europe the narrow failure to achieve statistical significance with the second chosen primary endpoint of incidence and severity of nausea (p=0.052 not p<0.050) offers three options:

1) Pursue a filing application in certain European countries with the comprehensive clinical data package that CeNeS has assembled. 2) Further strengthen the European package by conducting an additional European Phase III study which would complete in 2008 with product filing in 2009. 3) Use the USA Phase III trials to support the European application, potentially with a global partner.

CeNeS will continue to discuss the above strategies with regulatory consultants and potential partners.

Neil Clark, Chief Executive of CeNeS commented "The ongoing analysis of the Phase III results further confirms our belief in the excellent potential of M6G as a novel product for post- operative pain. The quality and breadth of the data contained in this large study supports M6G's anticipated product profile.

The potential for reduced anti-emetic drug costs combined with the reduction in medical assi
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