Related party loan

RNS Number:0913O
Physiomics PLC
15 February 2008


                 Physiomics plc ("Physiomics" or "the Company")

                               Related party loan



Physiomics announces the that it has secured funding  of £50,000 from Billam
plc, a substantial shareholder, in the form of 7% loan notes that expire on 31
December 2009 but are repayable on demand. These loan notes are secured on the
assets of the Company. The loan is convertible into Physiomics shares at the
option of Billam plc at the lower of 0.3p per share or a future placing price


As Billam plc is a substantial shareholder, this transaction falls to be
disclosed as a related party transaction under Rule 13 of the AIM Rules for
Companies.


The Physiomics directors consider, having consulted with the Company's nominated
adviser, that the terms of the transaction are fair and reasonable insofar as
its shareholders are concerned.


The funds that are being made available are intended to provide additional
working capital until the Company secures additional funding which needs to take
place by the end of March 2008.


The Company has also extended the period of an unsecured loan facility of up to
£100,000 from another shareholder, EiRx Pharma Limited, which has been largely
utilised, to 31 December 2009. The loan is convertible into Physiomics shares at
the option of EiRx Pharma Limited at the lower of 0.3p per share or a future
placing price.


For further information:

Physiomics plc                                         [phone]

Dr Paul Harper

E-mail: [e-mail]

Grant Thornton Corporate Finance                       [phone]

Philip Secrett, Colin Aaronson


About Physiomics plc

Physiomics plc (AIM:PYC) is a computational systems biology services company
applying simulations of cell behaviour to drug development to reduce the high
attrition rates of clinical trials. As 80-90 per cent of all clinical drug
candidates fail to reach the market, estimates1 show that an overall ten per
cent improvement in success rates could reduce the cost of one drug's
development by as much as $242 million, from the current estimate of around $800
million.

Physiomics develops computational systems biology models to predict and
understand cancer drug efficacy from pre-clinical research to clinical
development. Physiomics has created detailed mathematical models incorporating
most important molecular events taking place during the human cell cycle and
apoptosis processes. Physiomics developed SystemCell(R) technology, a
multi-cellular environment software, which enables the simulation of population
of "virtual cells".

Physiomics, based in Oxford, UK, was founded in 2001, and floated on AIM in
2004. For further information, please visit www.physiomics-plc.com



SystemCell(R) is a registered trademark of Physiomics plc

1Tufts Centre Impact Report 2002


                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

MSCFKPKNDBKDKBD