Dechra Pharmaceuticals to develop drugs with LAB International

             Partnership agreement underpins Dechra's strategy
                 to develop its veterinary drug portfolio

MONTREAL, May 8 /CNW/ - Dechra Pharmaceuticals PLC ("Dechra" or "the
Group") have signed a veterinary drug development partnership agreement with
Canadian based, LAB International Inc. ("LAB"). 
LAB will provide research studies on selected therapeutic agents and
Arnolds Veterinary Products Limited ("Arnolds"), a subsidiary of Dechra, will
be responsible for the regulatory submissions of these products which will be
marketed and sold in the agreed countries under the Arnolds brand.
Manufacturing and formulation will be managed by Dechra's manufacturing
facility, Dales Pharmaceuticals Limited. 
Various product opportunities have been identified, including a canine
cardiac product that is already under development and is anticipated to be in
a position for commercial launch by the end of Dechra's financial year ending
Ed Torr, Executive Director, Dechra Pharmaceuticals and MD of Arnolds
"This partnership clearly underpins the Group's strategy to develop and
accelerate its licensed veterinary pharmaceutical portfolio. The relationship
with LAB will further enhance the international aspect of this strategy." 
"Arnolds success in developing licensing and branding our own products,
together with LAB's development expertise will enable both Companies to target
major established companion animal markets worldwide." 
Dr. Halvor Jaeger, CEO of LAB International added: 
"This development agreement provides an attractive opportunity for LAB
and creates a solid foundation on which to grow a lasting partnership. The
development of new veterinary products opens an additional market to LAB and
provides access to Arnolds' expert knowledge and skills related to the
marketing and distribution of therapeutic products." 
"LAB's expertise in drug development applies equally well to human and
veterinary based pharmaceutical products, however in the veterinary market
products can be delivered to market in a much shorter timeframe, providing LAB
with an additional pathway to near-term revenue." 
The agreement between Dechra, through its trading subsidiary, Arnolds
Veterinary Products Limited ("Arnolds") and LAB International Inc. will run
for an initial five-year period and provides Arnolds with territory
exclusivity in the UK, Ireland, France and Germany, with further options on
other geographical territories. 

    Editors Notes:
    About LAB

Established in 1998, LAB International Inc. (TSX: LAB) is a drug
development company, comprised of LAB Development with a pre-clinical contract
research organization (CRO), LAB Pre-Clinical. LAB Pre-Clinical is a growing,
profitable CRO with an experienced scientific team of more than 110 employees
in 75,000 sq. ft. of facilities. LAB Development is focused on developing
promising new and generic therapeutics. By leveraging the expertise,
infrastructure and stable revenue stream of LAB Pre-Clinical, LAB Development
offsets the costs and avoids the risks associated with traditional drug
research and development. LAB's common shares trade on The Toronto Stock
Exchange ("TSX") under the symbol "LAB" with 28.4 million shares outstanding. 

    About Dechra

Dechra Pharmaceuticals are specialists in the UK and international
veterinary and animal healthcare markets. 
Quoted on the London Stock Exchange (under pharmaceuticals and biotech:
Reuters: DPH.L), the business is split into four businesses: National
Veterinary Services ("NVS"), Arnolds Veterinary Products ("Arnolds"), Dales
Pharmaceuticals Limited ("Dales"), NationWide Laboratories/Cambridge
Specialist Laboratory Services. 


Arnolds is one of the most well respected and recognised brand names in
the veterinary markets and holds a leading position in several specialist
veterinary pharmaceutical sectors of the UK market such as endocrinology,
local anaesthesia and equine anti-inflammatory with strong positions in
several other companion animal sectors. 
The success of recent introductions to Arnolds' licensed product
portfolio, including Vetoryl(R) and Felimazole(R), provides exciting
opportunities for the future. Already, preparation is underway to license
these products in other key markets. 


Dales Pharmaceuticals, the Group's manufacturing arm is a fully licensed
M.C.A. approved plant. It produces veterinary pharmaceuticals on behalf of
Arnolds, and human pharmaceuticals for third parties on a contract
manufacturing basis. 
-0-                           05/08/2003 
/For further information: Enquiries: Dechra(R) Pharmaceuticals PLC - Ian 
Page, Chief Executive,, Tel: +44 (0) 1782 771100;
Ed Torr, Executive Director, Ed.torr(at), Tel: 
+44 (0) 1743 441632; Simon Evans, Group Finance Director, Tel: 
+44 (0) 1782 771100,; LAB International Inc. - Dr Michael 
Hemprich, Vice President, LAB Development, Laval, Quebec, Canada,
hemprichm(at), Tel: +1-450-973-2240; James Smith, M.Sc,
The Equicom Group, Tel: +416-815-0700, jsmith(at),; Citigate Dewe Rogerson - Fiona Tooley/Katie Dale,
Tel +44 (0) 121 455 8370, fiona.tooley(at) 
CO:  Lab International Inc.
ST:  Quebec
-0- May/08/2003 14:23 GMT
Press spacebar to pause and continue. Press esc to stop.