Commonwealth Biotechnologies, Inc. Completes Acquisition of Tripos Discovery Research Ltd



    RICHMOND, VA., June 6 /CNW/ - Commonwealth Biotechnologies, Inc (CBI),
(NASDAQ:   CBTE) today announced that it has completed the acquisition of all of
the outstanding capital stock of Tripos Discovery Research Limited, an English
limited company ("TDR"). TDR is a world leader in medicinal and combinatorial
chemistry and provides products and services that are complementary to CBI's
existing offerings in biologics and custom peptides. The TDR acquisition
provides CBI with a strategic production and sales and marketing site in the
United Kingdom and is designed to accelerate the CBI's revenue and earnings
growth. On a pro-forma basis, the acquisition of TDR represents an increase in
CBI's 2006 revenues to $16.4 million and upon closing increases CBI's cash
position to $5.36 million.

    CBI's CEO, Dr Paul D'Sylva said, "CBI's acquisition of TDR is in line
with our company's strategy to expand its drug discovery and development
services in the field of pre-clinical chemistry and to extend the sale of its
full suite of products and services into Europe. With the additional technical
and commercial capabilities and resources that TDR brings, CBI anticipates
that it will be able to grow a powerful, robust and diverse drug discovery
services franchise servicing the growing global drug discovery market.
Immediate cost and revenue synergies are expected from this transaction, which
will accelerate CBI's continued growth."

    Under the terms of the transaction, which was unanimously approved by
CBI's Board of Directors, CBI has acquired all of the outstanding capital
stock of TDR for an up-front payment of $350,000 followed by payments of up to
$1.8 million from TDR receivables and billings. Concurrent with this
transaction, TDR is entering into a sale-leaseback transaction with the South
West of England Regional Development Authority ("SWERDA") for a 12 year lease
of the facilities in Bude renewable every 3 years, and has been released from
grant repayment obligations with the English Department of Trade and Industry
and various inter-company advances from TDR's former parent organization,
Tripos, Inc., a Utah corporation.

    CBI's Chairman Dr Richard Freer said, "TDR is widely acknowledged as one
of the premier drug discovery service companies in the world. With this
transaction, the CBI group now offers comprehensive discovery products and
services across the three major drug classes of biologics, peptides and small
molecules. We at CBI are very excited about the potential this transaction has
to grow our top line revenue and bottom line result."

    About Tripos Discovery Research Limited

    Tripos Discovery Research Ltd ("TDR") is a leading knowledge driven, drug
discovery services business that provides pharmaceutical and biotechnology
companies with novel approaches to drug discovery. Applying proprietary
computational design and therapeutic medicinal chemistry tools and expertise,
TDR is able to reduce drug discovery timelines by up to 30%. Since 1997, TDR
has been offering compound libraries under the LeadQuest(R) brand, screening
libraries under the LeadScreen(R) brand and custom de novo compound libraries
under the LeadSelect(R) brand.

    About Commonwealth Biotechnologies, Inc

    The CBI group offers cutting-edge R&D products and services to the global
life sciences industry. CBI now operates four distinct business units: (1) CBI
Services, a discovery phase contract research organization, (2) Fairfax
Identity Laboratories, a DNA reference business; (3) Mimotopes, a peptide and
discovery chemistry business; and (4) TDR, a medicinal and synthetic discovery
chemistry business. Collectively, CBI companies employ over 140 staff in
world-class laboratories in the U.S., U.K., and Australia.

    Forward Looking Statements

    The statements contained in this press release that are not purely
historical are forward-looking statements within the meaning of Section 21E of
the Securities and Exchange Act of 1934, as amended, including statements
regarding CBI's expectations, beliefs, intentions or strategies regarding the
future. Forward-looking statements include, but are not limited to, express or
implied statements regarding future revenues, revenue growth and
profitability, and the markets for its services. All forward-looking
statements included in this press release are based upon information available
to CBI as of the date hereof. CBI assumes no obligation to update any such
forward-looking statements. Forward-looking statements involve risks and
uncertainties, which could cause actual results to differ materially from
those projected. Actual results may differ materially due to a number of
factors including the perceived need for CBI's services, CBI's ability to
efficiently incorporate TDR into its operations and macro economic conditions.
These and other risks relating to CBI's business are set forth in CBI's Form
10-KSB filed with the Securities and Exchange Commission on March 30, 2007,
and CBI's Form 10-QSBs and other reports filed from time to time with the
Securities and Exchange Commission.

    MULTIMEDIA AVAILABLE:
http://www.businesswire.com/cgi-bin/mmg.cgi?eid=5420558




For further information:

For further information: Commonwealth Biotechnologies, Inc. Dr Paul
D'Sylva, CEO, 858-699-0298

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COMMONWEALTH BIOTECHNOLOGIES, INC.

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