RNS Number:3754P
Biotrace International PLC
04 September 2003


For Immediate Release:                       07.00am - Thursday 4 September 2003



                           BIOTRACE INTERNATIONAL PLC

                          EXPANDS INDUSTRIAL BUSINESS


  Acquisition of International BioProducts Inc. a leading US manufacturer and
        supplier of industrial microbiology products for an initial $10m



Biotrace International Plc ("Biotrace", "the Company" or "the Group"), a leading
manufacturer and provider of industrial microbiology products and related
services and a developer and marketer of specialist life science products, today
announces the acquisition of International BioProducts Inc., subject to
shareholder approval.  A circular has been sent to all shareholders today
including notice of an EGM to be held on 22nd September 2003.

International BioProducts Inc. ('IBP') is headquartered in Seattle, Washington,
USA with a manufacturing plant in Muncie, Indiana, USA.   IBP develops,
manufactures and markets a range of industrial microbiology products, which
include dehydrated and pre-prepared culture media and an extensive range of
products for sample collection and preparation.  In the US IBP also exclusively
distributes a leading range of pathogen tests for the rapid detection of
Salmonella and Listeria in food.

Key Points

  * Access to extensive (3300) North American food industry customer base
  * Well established national sales organisation
  * Combined broad product line including a number of leading brands
  * Provides North American manufacturing base for the Group's products
  * Virtually all turnover is derived from sales of consumable products
  * Opportunity to sell IBP products through the Group's European direct sales
    organisation and network of distributors
  * Acquisition expected to be earnings enhancing


This acquisition, together with Biotrace's existing industrial business,
provides critical mass in the world's largest market for industrial diagnostics.
The combined turnover of the USA organisation will be greater than $22M (#15m),
which establishes Biotrace as a major supplier of industrial microbiology
products.

IBP had sales of $16M (#10M) and made a pre-tax profit of $0.9M (#0.6M) in the
year ended 31 December 2002.  IBP had net assets of $3.55M (#2.21M), and had
borrowings of $1.32M (#0.82M) as at 31 December 2002. The consideration for IBP
has been satisfied by an initial payment of approximately $10M (#7M), being $7M
(#5M) in cash and approximately $3M (#2M) in Biotrace ordinary shares of 10p
each. There is potential to pay an additional sum of up to $4.75M based upon the
achievement of certain profit targets by March 2005.   IBP's Co-Founder, Mr
Irving Becker is retiring as of today, however, his fellow Co-Founder, Dr Robert
Ward will take up the position of President of the newly acquired North American
company, 'Biotrace International BioProducts Inc.'.  It is expected this
acquisition will lead to a restructuring of the Enlarged Group's businesses in
North America.


Ian Johnson, Chief Executive of Biotrace, commented:

"With this latest acquisition, Biotrace has significantly strengthened its
customer access and product breadth.  The US market accounts for 30% of the
global industrial diagnostics market, with many multinational customers
headquartered in the territory.  IBP has built an impressive customer base and
has achieved market leadership in a number of product lines, which complement
the existing products of the Group.  The combined customer base and enhanced
product line up will provide a very competitive platform for continued growth in
sales and profits.   I look forward to working with Bob Ward and the staff of
IBP to continue to pursue vigorously the opportunities that exist to build the
business in the Americas and to expand the worldwide sales of IBP products
through the Group's international sales network."




Further information:

Biotrace International                                Tel: +44 (0) 1656 641 400
Ian Johnson, Chief Executive Officer
Peter Morgan, Finance Director

Buchanan Communications                               Tel: +44 (0) 207 466 5000
Tim Anderson / James Strong



Notes to editors:

Biotrace International Plc is a leading manufacturer and supplier of rapid
microbiology instrumentation and test reagents to food, industrial, healthcare
and defence markets.  Biotrace is the acknowledged leader in rapid hygiene
testing and the continuous real-time detection of airborne biological weapons.

Many of the world's leading food manufacturers and catering companies, including
19 out of the top 20 world food groups now rely on Biotrace as an essential part
of their quality procedures. Industrial customers include many of the world's
largest water treatment chemical multi-nationals.  Biotrace also supplies highly
specialised workstations to hospitals, public health laboratories and medical
research institutes for the examination of micro-organisms and diseases.   A
significant part of the Company's business is the manufacture and supply of
equipment and reagents to the UK MoD for the detection of biological weapons.

Formed in 1988 and floated on the London Stock Exchange in 1993, Biotrace
intends to continue to broaden its business base through organic growth and
acquisition of products and distribution to become a 'one stop shop' for its
large and growing customer base.




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