2 Global Strategic Alliances

RNS Number:7386P
BioProgress PLC
15 September 2003



Press Release                                                  15 September 2003


                                BioProgress plc

Letter of Intent & Final Discussions on Two Major Global Strategic Alliances


BioProgress plc ("BioProgress" or the "Company"), a provider of innovative
delivery mechanisms for the pharmaceutical oral dosage markets, announces today
it has executed a letter of intent with one company and is in late-stage
detailed discussions with a second to enter into global strategic alliances.

The Company is pleased to announce that it is in late-stage detailed discussions
with a major international supplier of products to the pharmaceutical industry
with regard to the sale of an exclusive global license in respect of one of the
Company's technologies.  It is anticipated that a formal contract will be
executed on or before November 30th 2003.

BioProgress CEO Graham Hind said, "We have been in discussions with several
potential partners who will enable us to have a true global reach for our
technologies, ensuring we can meet and satisfy all the expectations of our
customers and give them the confidence to transfer their major products into our
dosage form technologies".

The second strategic alliance announced today is with Harro Hoefliger, the
German pharmaceutical production machine builder.  Established twenty-five years
ago, Harro Hoefliger is a world-class pharmaceutical machine and production
process supplier whose existing customer base includes ninety percent of the
leading global pharmaceutical companies.  Harro Hoefliger has a global network
for machine supply, installation and servicing.  BioProgress has executed a
letter of intent with Harro Hoefliger and the formal agreement is expected to be
executed on or before October 31st 2003.

The formal agreement will provide for Harro Hoefliger to be the exclusive
builder, supplier, servicer and warranty provider for all BioProgress TABWRAP
(R), SWALLOW, SEPTUM(R) and NROBE(R) machines.  BioProgress will receive a
margin on all machines sales and a royalty on all revenues generated by Harro
Hoefliger from the service activities.

Alan Holmes of Harro Hoefliger said, "We have entered into the agreement with
BioProgress because we believe the XGEL(R) technologies offer tremendous
potential for the sale of pharmaceutical machines in significant volume
world-wide.

Harro Hoefliger is experienced in designing, installing and maintaining
pharmaceutical processes that deliver liquids, solids or powders reliably in
high volume.  We have examined the BioProgress designs and prototype machines in
detail and we believe we can build and deliver the first generation versions of
the XGEL(R) technology.  We also believe, by working closely with BioProgress
using our experience, we can enhance and improve the performance of future
versions of the XGEL(R) machines even further.  This is a very exciting
opportunity."

Graham Hind BioProgress CEO said, "Harro Hoefliger is world class and well
respected as machine and process suppliers to the pharmaceutical industry.  Its
engineering is of the highest quality.

It is important for our customers that our machines are built by a company with
a reputation for high quality build and installation but most importantly for
service and back up support.  Our appointment of Harro Hoefliger as our
exclusive manufacturer is another important strategic alliance that will give
our existing and new customers great confidence and give us a truly global
capability in machine installation and service.  Harro Hoefliger has satisfied
us that it has the resources to meet the roll-out of upwards of fifty of our
XGelTM systems at the pace necessary to meet our business goals.  This is a key
strategic alliance for BioProgress as, by working with Harro Hoefliger, we
believe we can generate further machine revenues by future performance upgrades
to installed machines.  By increasing the speed and throughput on existing and
future machines, we also anticipate film revenues to increase from the current
machine average of around #1 million per installed machine per year."


                                    - Ends -


For further information:
BioProgress plc

Graham Hind, Chief Executive                           Tel: [phone]
[e-mail]                                   www.bioprogress.com


Media enquiries:
Bankside

Heather Salmond / Julian Bosdet                        Tel: [phone]
[e-mail]                                    www.bankside.com


Notes to editors:

BioProgress listed on AIM in May 2003 and is engaged in the research,
development, and design of patented encapsulation systems that use water soluble
and biodegradable films for the dietary supplement, pharmaceutical and other
sectors.  The Company holds 15 patents with a further 38 pending and has product
development agreements with several global companies.  BioProgress aims to
provide a cost effective and animal-free encapsulation process for
pharmaceutical drugs in liquids, tablets and powders, thereby addressing the
needs of the entire market for oral dosage forms while providing novel delivery
mechanisms not possible with traditional processes.

The Company has also developed, patented and licensed the world's first
flushable ostomy pouch that offers a newly enhanced quality of life not
previously possible for the end user.  Market research shows the global ostomy
market to be worth $1 billion annually.

The Company's business model provides it with several significant revenue
streams including sales of encapsulating machines and film, plus licence and
fees for research development services.



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