What is a "food-derived bioactive technology" and a "functional food"?
It is becoming increasingly accepted by the scientific community that there are links between specific food groups and their capacity to help reduce the risk of certain diseases. For example, some compounds specifically found in broccoli have been shown to reduce the risk of some cancers. Consuming the actual food may be insufficient to maximise the health benefit due to a number of factors including: the quantity of the food that would need to be consumed; the frequency with which it would need to be consumed; and the way in which the food is prepared prior to consumption.

These health-promoting compounds can be extracted from the food source (called a food-derived bioactive technology) and reintroduced into consumer-friendly lifestyle products which are proven to maintain health (a functional food). Therefore, instead of eating four large servings of broccoli per week, the same benefit may be technically delivered via a 250ml orange juice drink containing the bioactive if consumed once per week.

How is Provexis differentiated from other companies in the market?
Provexis is an evidence-based business which means that we only develop food-derived bioactive technologies and functional food products that have been scientifically proven to deliver a health benefit. This is a different approach from those that promote functional food products in a more generic way with less scientific evidence. We believe that functional food products with strong scientific proof carrying health claims and endorsements will endure and prosper as this rapidly growing market matures.

Provexis is also differentiated with regard to our speed-to-market credentials and the fact that we can create shareholder value via a combination of technology licensing and own brand development.

What food-derived bioactive technologies are being developed by Provexis?
Provexis has developed Fruitflow, a patented extract from tomato that has been proven to inhibit blood platelet aggregation, thereby reducing the risk of thrombosis. A thrombosis is an aberrant blood clot that can lead to heart attack and stroke. Provexis has integrated Fruitflow into a fruit juice beverage called Sirco. When launched - initially in the United Kingdom - it will be the first functional food carrying the claim Helps maintain a healthy heart and benefit circulation with a measurable benefit within hours of consumption.

Provexis is developing a proprietary extract from a special breed of broccoli (non-GMO) which is enriched in compounds known to reduce the risk of specific cancers. Provexis intends to use this food-derived bioactive to underpin a new range of functional beverages with scientifically proven protective properties.

In addition, Provexis is developing a patented extract from plantain with a view to developing a novel medical food for the dietary management of Inflammatory Bowel Disease, specifically Crohns Disease in the first instance.

agreed global nomad. it does look like an over reaction but the news did spur the company to give an indication of how well sales are going in the other stores. i don't understand why they seem to be targeting the traditionally higher end supermarkets. what's wrong with asda/morrisons? surely they are not being snobbish? hopefully , the results will give some numbers rather than percentages. i hate percentages as they can be so misleading.

A minor hiccup. pxs has huge potential. Very short sighted of Sainsbury's to reject a potential 'brand name' product imho. It's not helped by the fact of being a single product company at the moment.

Nothing to say they won't re-instate in the future.

Patience.

jtf

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thanks for your time

Reckon Sainsbury is not significant in terms of the larger picture. Agree GlobNom (should that be lobGnome?) that this is really proof of concept for the larger licensing deals, particularly in US. Given its minor significance, lopping 1/6th off the sp makes little sense and gives a buying opportunity.

Eric

absolutely, stay on the rails GWR

Really surprised to see continual weakness given that the Sainsbury delisting was not that significant in the larger scenario: licensing deals; additional clients; US. Buying opportuntity.

Eric

Topped up today. It seems to me that the potential numbers from licensing deals could be way ahead of the cap. The current sp is one-third back from the peak following the announcement of the three super-market deals; suspect the Sainsbury setback is a mere hiccough. But my main argument is that we have not had an announcement for some time yet they are busy developing opportunities, particularly in the US. Such a deal must lead to a re-rating of the share.

Eric

I don't think the current price of PXS makes much sense. The drop on the Sainsbury news was on pretty low volume, signifantly less than a single day's trading in Novemeber and January. The price is approximately that before the news from the supermarkets but PXS has clearly made good progress since then with Sirco, US approval has been obtained and we also know now that talks are progressing re licensing the Fruitflow product for use with other drink which sounds potentially much more profitable than building up your own distribution business. My view is that the sp will return to around 10p, probably by the end of the month, and then take a significant jump when a licensing deal is done. I am in with a CFD so plan to accumulate as the sp rises.

Eric

I bought a small holding today... think the Nestle deal should be announced soon!
Also read in the metro yesterday that DVT is affecting computer users (so as long as PXS makes people aware that this helps blood thinning & circulation, think we have a potential BIG winner!)

some news today. does anyone else think that maybe the company is focusing too much on the science and less on sales?

Provexis PLC
16 May 2006


PROVEXIS PLC

('Provexis' or the 'Company')

SircoTM science to be published in leading scientific journal

Provexis, the nutraceutical company that develops scientifically-proven
functional and medical foods, announces a major international scientific
endorsement for its lead product SircoTM. Two scientific papers, which detail
the clinical efficacy of SircoTM, are to be published by the American Journal of
Clinical Nutrition (AJCN). The AJCN is internationally recognised as the
highest-ranked peer-reviewed journal in the nutrition field.

SircoTM, a chilled fruit juice, is the first heart health product to contain the
patented FruitflowTM technology. FruitflowTM is a natural bioactive extract from
tomato that works by reducing blood platelet aggregation within hours of
consumption. Platelet aggregation plays a significant role in the formation of a
thrombus (internal blood clot) which can cause a heart attack or stroke.

SircoTM is currently available in the UK in the chilled juice category in over
550 Tesco and Waitrose stores. The product is targeted at adults who are keen to
maintain cardiovascular health.

Commenting on the news of the acceptance by the journal, Dr Stephen Franklin,
CEO of Provexis, said:

'We are delighted that the science behind FruitflowTM has been accepted for
publication by the highest-ranked peer-reviewed scientific journal in the field.
We have remained resolute in our belief that the FruitflowTM technology is
world-class and that this would be recognised by the most stringent scientific
review process in the field of clinical nutrition.'

'The acceptance of two separate scientific papers, published in this
internationally accredited journal is a significant milestone for the Company
and an essential precursor to initiating a number of key commercial activities'.


For further information please contact:

Provexis plc

The science needs to be there to back up the claims especially when it comes to marketing - and not only to consumers but also to potential partners/licencees.

As far as I am concerned the more the better. we don't want this to come across as some b/s marketing or quack cure all.

The market is clearly split but many people who take care of themselves (or can afford to) are going to be educated enough to be curious about claims. A level of sceptisism about the credibility of some scientific claims and journals already exists but that is probably not an issue.

Various manufacturers in the past have had to withdraw products or marketing/ads when printed claims were found to be misleading and that seriously damages a products credibility. So ensuring that your claims can be substantiated is very important.

GN

gn , agreed. my point was that maybe the focus is on pleasing the scientists and not consumers. pxs have said that the problem they have found is in explaining to joe public the benefits of sirco without getting too scientific or gory. other companies have managed to find a way, actimel, benecol, mmmmmmm danone , etc. i'm sure if pxs started using some of that 2.5 million advertising budget they bragged about then maybe they too can find a way.

bos: I think you have misse the point that this is an American journal. Iexpect this is an essential point of the PXS marketing campaign with the objective of landing licensing deals. The scientists of companies like Nestle must the key players in landing such deals. Good to see the recovery from yesterday's fall on the back of this announcement.

Eric

nice day today for pxs. eric, i don't think i've missed the point. all i'm saying is that, when all is said and done, this is a product. the product has to sell. other companies have managed to get across the scientific message in their advertisements , so it can be done. it it would be a real pity if pxs used this difficulty in explaining the science to joe bloggs as an excuse for lacklustre sales. i mean, would sainsbury's have dropped it if it was flying off the shelves? i'm still holding .... i just don't understand why the company isn't advertising the product all over the tv!! that's all it needs.

Fair point, bos. My point though is that the real money will not be made from selling drinks through the UK supermarkets but from licensing the product which they are best doing in the US to get the volume; similar to the 'idea' of SEO and Greenseal but that might not be the best parallel! I think that is why the market has responded positively to the US Journal.

Eric

morning boys and girls....

What yesterdays sp performance showed us all was just how much this share will respond to news - whether we think the nature of yesterdays news was important or not. Clearly there are enough who think it marks a significant point - now imagine what will happen when a sales related news is issued ie a licencing agreement ..with a major company perhaps..

just thinking about all the actimel type drinks and how long they took to reach the point they are at now - certainly not in a few months - they have been around for several years and only really took off in a big way last year for all kinds of reasons..so brands do take time to build and it will happen...

GN

GlobNom Really perceptive post with which I fully agree. What is your view about possible value of a licensing deal: I would manage an up-front payment with an on-going royalty based on volume. If a deal were worth 10m then that would be effectively gross = nett and would justify an sp of double that present (on a one-off basis) or several times if repetetive. We could be dealing with some big numbers, which was the basis of my comment above to Bos.

Eric

Useful rise Friday with some buying although not alrge volumes. I expect to see a steady rise in anticipation of a licensing deal in the US.

Eric

results day .

Provexis PLC
15 June 2006



PROVEXIS plc
('Provexis' or the 'Group')

PRELIMINARY RESULTS FOR THE YEAR ENDED 31 MARCH 2006

Provexis plc the nutraceutical company that develops scientifically-proven
functional and medical foods, announces its unaudited preliminary results for
the year ended 31 March 2006.

Financial Highlights

Results in-line with expectations

Sales of lead product SircoTM of 140,000 in first 3 months since launch

Total turnover of 268,000, decreased by 56 per cent. (2005: 609,000);
mainly due to the decrease of a one time non recurring fee paid by
Nutrinnovator Holdings to Provexis Limited in the prior year

Adjusted loss before interest, goodwill amortisation, share compensation
expense and tax of 2,528,000, increased by 320 per cent. (2005: 601,000)

Cash balance 2,166,000 (2005: 1,106,000)

Operational Highlights

Completion of reverse takeover of Nutrinnovator Holdings plc, placing
and admission of Provexis plc to trading on AIM

Lead product SircoTM launched in major UK supermarkets in January 2006
US patent granted for FruitflowTM technology

Product endorsement agreement with HEART UK for lead product SircoTM

Independent Expert Panel in United States affirmed that FruitflowTM
technology is Generally Recognised as Safe ('GRAS'), paving the way for
products containing FruitflowTM to be marketed in the North America

Collaboration agreement with leading global clinical nutrition company
for the development of Provexis' Crohn's disease technology

Awarded 180,000 research grant for Crohn's Disease Technology from
North West Development Agency

Post year-end achievements

International scientific endorsement for clinical efficacy of SircoTM
from the highest-ranked peer-reviewed journal in the nutrition field

Single serve 250ml bottle of SircoTM to be launched on schedule this
summer, initially in 150 Holland and Barratt stores with further
distribution in independent health food stores

Licence negotiations for FruitflowTM technology at an advanced stage
Secured a Standby Equity Distribution Agreement with a capital provider
for 3 million, to be utilised at our discretion


Dr Stephen Franklin, Chief Executive Officer of Provexis plc, commented:

'In line with our targets, we have succeeded in launching our lead product
SircoTM into major retailers in the UK. Furthermore, in the United States, our
FruitflowTM technology has secured a vital patent grant and has made a
significant advance towards its regulatory clearance. The FruitflowTM technology
has also received a major scientific endorsement by being accepted for
publication by the highest ranked peer reviewed journal in the nutrition field.

These achievements are major milestones in the development of the company and
unlock significant global commercial opportunities. Negotiations regarding the
licensing of the FruitflowTM technology are at an advanced stage and further
details will be announced in due course.

In addition to the progress made with our lead product SircoTM and the
FruitflowTM technology we have also continued development of our product
pipelines with two other technology platforms - a glucosinolate-enriched
broccoli extract to reduce the risk of specific types of cancer, and a patented
plantain based extract for the treatment of Crohn's Disease.

I am pleased with the progress that the Company has made since its admission to
AIM in June 2005 and believe that the Company is well-positioned to continue its
growth during the next 12 months and to capitalise on worldwide opportunities in
the rapidly growing functional food market.'

-ends-


For further information please contact:


Stephen Franklin, Chief Executive
Provexis plc Tel: 020 8392 6631

Victoria Geoghegan
Bell Pottinger Corporate & Financial Tel: 020 7861 3232

Tom Griffiths/Richard Dunn
Arbuthnot Securities Limited Tel: 020 7012 2000



Chairman's statement

The Company has made considerable progress in the year ended 31 March 2006.
Since the reverse takeover of Nutrinnovator Holdings plc, we have successfully
integrated the two businesses whilst remaining focussed on the delivery of
several major milestones. Provexis combines excellent scientific, marketing and
sales talent which enables us to develop and commercialise new functional food
technologies via a combination of licensing and new brands.

In 1998, Professor Asim Dutta-Roy made the discovery that the clear fraction of
tomatoes contained compounds that inhibited blood platelet aggregation, thereby
helping to maintain a smooth blood flow and as a result maintain a healthy heart
and circulation. After seven years of development, it has been extremely
rewarding during this period to witness the emergence of this technology in the
market place. The technology is now known as FruitflowTM, and the first product
to contain this bioactive is the fruit juice drink, SircoTM. SircoTM, endorsed
by the charity HEART UK, was launched on schedule in major UK supermarkets in
January 2006.

We are encouraged by the steady increase in the rate of sale of SircoTM and
favourable performance benchmarks against other functional fruit juices in the
market. In Tesco, we are encouraged by the fact that SircoTM now enjoys a rate
of sale which is comparable to many more established brands.

SircoTM has been strategically important to Provexis as a demonstrable example
of the FruitflowTM technology in action and there is little doubt that launch of
the brand in the UK has facilitated global licensing discussions with major food
and beverage companies. The Directors believe a successful licensing strategy,
across foods, supplements and medical products, is central to maximising the
value from the FruitflowTM technology and I am pleased with the advanced status
of these negotiations.

We recently received notice from the American Journal of Clinical Nutrition
('AJCN') that they have accepted for publication two scientific papers which
detail the clinical efficacy of SircoTM. The AJCN is internationally recognised
as the highest ranked peer-reviewed journal in the nutrition field and this
represents a major endorsement for the technology. This development is key to
implementing an effective and credible PR campaign and over the coming months
activity in this area will be escalated.

In conjunction with the University of Liverpool and Professor Jon Rhodes, the
Company continues to develop a medical food, based on a patented extract from
the plantain banana, for the dietary management of Crohn's disease, a condition
for which there is currently no cure. We also entered into a collaboration with
a global clinical nutrition company and secured a substantial research grant
from the North West Development Agency. The product enters clinical trials, on
schedule, this summer.

Provexis continues to work closely with Plant Bioscience Limited the
intellectual property arm of The Institute of Food Research in Norwich, to
develop a functional food product enriched in cancer-protective compounds
extracted from broccoli.

The functional food sector continues to grow strongly in all major markets
worldwide and I believe that Provexis, with its evidence-based approach, is
uniquely positioned to be a significant source of innovation for the industry.
We look forward to making yet further progress during the next year.


Dawson Buck
Chairman


Management review

The Provexis business model is to develop patented extracts from food which have
clinically proven health benefits. The intention is to commercialise these
technologies in the functional food and medical food markets via a combination
of new brand development and licensing to major brand-holding food and clinical
nutrition companies.

Year's highlights

During the year ended 31 March 2006 we have made considerable progress with our
technology pipeline and, importantly, have also integrated the two businesses
following the reverse takeover of Nutrinnovator last summer.

The launch of our lead product SircoTM in the UK, on schedule in January 2006,
represented an important milestone in the Company's progress. The SircoTM
trading business is significant in its own right, but the wider ambition for the
launch was to act as a catalyst for the global commercialisation of the
underpinning FruitflowTM technology. We have made very encouraging progress in
licensing negotiations, some of which are at an advanced stage, with major food
and beverage companies.

In addition to the successful development of our lead product, the Company also
secured a US patent for the FruitflowTM technology and subsequently an Expert
Panel in the United States affirmed that the ingredient was GRAS. These are two
critical developments in realising our licensing ambitions and enabling us to
penetrate our largest target market with FruitflowTM containing products. The US
functional food market is expected to reach US$34 billion of sales by 2010.

Financial Review

Total turnover for the Group for the year ended 31 March 2006 was 267,660.
Group turnover from continuing operations was 139,972 for the year ended 31
March 2006, arising from the sale of SircoTM. SircoTM was launched in three of
the UK's supermarket chains during the first quarter of 2006. Group turnover
from discontinued operations for the year ended 31 March 2006 was 127,688.

The turnover decrease from continuing operations of 55 per cent. for the year
ended 31 March 2006 compared to the year ended 31 March 2005 was principally due
to the one-off fee of 310,000 paid by Nutrinnovator Holdings plc to Provexis
Limited in the year ended 31 March 2005 partially offset by sales from the
launch of Sirco during the fourth quarter of fiscal 2006.

The turnover decrease from discontinued operations of 57 per cent. for the year
ended 31 March 2006 compared to the year ended 31 March 2005 is due to the sale
of the Altu food bar business on 4 October 2005.

Other administration expenses for the year ended 31 March 2006 were 2,940,992
compared to 1,441,158 for the year ended 31 March 2005. The increase was due to
increased overheads for the new group following the reverse acquisition in June
2005. In addition, exceptional re-organisation costs of 119,850 have been
charged to the profit and loss account.

Operating loss before interest and taxation from continuing operations for year
ended 31 March 2006 totalled 3,346,385 compared to an operating loss of
1,106,715. The increase in operating loss is mainly due to the decrease in
revenues for the year and the new group structure following the reverse
acquisition of Provexis Limited in June 2005. Share option compensation expense
of 455,446 was charged to the profit and loss account during the year in
connection with share options granted at exercise prices that were lower than
market price on the date of grant. Also, included in operating loss is
amortisation of goodwill arising from the reverse acquisition of Provexis
Limited in the amount of 363,264.

Operating loss before interest and taxation from discontinued operations for the
year ended 31 March 2006 totalled 172,003. The Altu food-bar business was sold
to Altu Limited, trading as Go Lower Limited in October 2005. A provision of
32,756 was recorded in September 2005 in connection with certain write-offs
following the sale of the Altu business.

Cash at bank as at 31 March 2006 was 2,166,243 compared to 1,105,689. To
strengthen liquidity and capital resources the Company has secured a Standby
Equity Distribution Agreement with a capital provider for 3 million. Under the
agreement the Company may, at its discretion and throughout its term, sell
Ordinary shares up to the amount of 3million.

SircoTM heart health juice

During the period the industrial scale manufacturing process for the FruitflowTM
ingredient was finalised and the Company has successfully developed and launched
SircoTM, the first heart health drink to contain the active ingredient.
FruitflowTM works by reducing blood platelet aggregation, a significant
contributing factor to a thrombosis (internal blood clot) which can cause heart
attack or stroke.

SircoTM was launched during January 2006 in Tesco, Sainsbury's and Waitrose.
Since the year end Sainsbury's has de-listed SircoTM as part of its wide ranging
rationalisation of chilled juice brands reducing the distribution base. However,
the product continues to be sold in 550 Tesco stores and 120 Waitrose stores,
and we are witnessing an increasing rate of sale in both. In particular, the
steady growth of rate of sale in Tesco is encouraging and is comparable to many
of the more established brands.

Licensing of FruitflowTM technology

The Company is implementing a global licensing strategy for the FruitflowTM
technology in different areas of application ranging from food and supplements
to medical categories.

Negotiations are at an advanced stage with global food companies and further
details will be announced in due course.

Altu food bar

During the period, we completed the disposal of the Altu food-bar business in
order to focus on the core business of developing and commercialising functional
foods.

New product development

The Company entered into a collaboration agreement with a global clinical
nutrition company in order to facilitate the development of a novel medical
food, based on a patented extract from plantain, for the dietary management of
Crohn's disease. Crohn's disease is a chronic, relapsing disease of the
intestine which affects 1 in a 1000 people in the UK. The disease is incurable
and management of the condition is currently restricted to various drug regimes
and surgery. Furthermore, the Company secured a 180,000 research grant, after a
competitive pitch, from the North West Development Agency.

We continue to work closely with the technology transfer organisation of The
Institute of Food Research to develop a bioactive ingredient, sourced from
broccoli, associated with a reduced risk of developing certain types of cancer.
We are currently reviewing the relative merits of launching a new brand in the
UK followed by a global licensing strategy, or alternatively moving straight to
licensing arrangements.

The Group is eighteen months into a three year technology acquisition agreement
with Plant Bioscience Limited who continue to access their global network of 35
research institutes to find further functional food opportunities.

Outlook

In summary, we have made good progress during the period and met the milestones
that we set out to achieve at the time of our admission to AIM. The prospects
for the next twelve months are very encouraging. Most recently we have secured
another vital endorsement from the most highly regarded peer-reviewed
publication in the field of nutrition, the AJCN. This represents a major
validation of the quality of the science behind FruitflowTM.

We are delighted to announce that the single-serve 250ml version of SircoTM will
be launched this summer, on schedule, in independent health food stores and an
initial distribution base of 150 Holland and Barrett stores. We remain in
ongoing discussions with a number of retailers regarding new listings for both
the existing 1 litre and the new 250ml format.

We are currently in a very important period for the business with regard to
securing the first licensing agreement for the FruitflowTM technology and
thereby validating our business model. We remain confident of securing the first
of these arrangements in the short-term and believe that the Company is well
positioned to take advantage of the increasing global demand for functional
foods.


Stephen Franklin
Chief Executive Officer


full link

So the reaction to the Prelims is a fall in sp. This despite a positive chairman's statement. Note in particular (last para.) the 'confidence in securing the first (licenseing agreement) in the short-term... Suspect that the short-termers are out with their small profits. How short is short-term? Three months? News at AGM if not before? The point about a licensing deal is that it will be more or less gross equals nett and should certainly be very significant in terms of the current market cap. Good time to buy / top up.

Eric