US

IP Group launches Modern Waste subsidiary

03 May 2007

IP Group plc (LSE: IPO) (“IP Group”), the intellectual property commercialisation company, is delighted to announce the launch of a new subsidiary, Modern Waste Limited (“Modern Waste” or “the Company”) to establish and exploit a portfolio of innovative sensing, monitoring and control technologies and apply them to the waste and recycling markets.

The creation of Modern Waste forms an integral part of IP Group’s strategy of establishing businesses, run by experienced and specialist management teams, to address particular issues affecting the global economy through the creation and management of a portfolio of intellectual-property based investments.

Modern Waste is the third subsidiary that IP Group has created to address issues of global importance, having launched Modern Water in December 2006 and Modern Biosciences in 2005. IP Group has committed £2 million in cash to Modern Waste and has a 66% stake in the Company.

Modern Waste is headed by Executive Chairman John Shepherd, the former Chief Executive Officer of First Technology plc, the sensing and safety and analysis business which was sold to Honeywell International Inc. Mr Shepherd, aged 53, has spent the last two years advising on private equity transactions including the bid for First Technology plc as well as the successful acquisition of First Technology Safety & Analysis, First Technology plc’s crash test dummies business, by Hg Capital for £50 million. He was Chief Executive of First Technology from March 2003 to June 2005 and remains Non-Executive Chairman of First Technology Safety & Analysis.

Prior to this, Mr Shepherd spent twelve years at Smiths Group plc in a number of senior positions including Managing Director of Smiths Detection where profits increased to £71 million from £2 million in his four-year post. He also oversaw three acquisitions during that period including the £235 million acquisition of Heimann Systems. Prior to joining Smiths he worked for British Aerospace from 1975 to 1990, during which time he spent 11 years in Germany.

Mr Shepherd is joined by Karen West as Business Development Director. Miss West previously worked with Mr Shepherd in strategic development roles at both First Technology plc and Smiths Detection. She has more than ten years experience helping hi-tech manufacturing companies develop organic and acquisitive growth strategies.

Alan Aubrey, Chief Executive of IP Group, said: "We are delighted to be announcing the launch of Modern Waste, our second new subsidiary in less than six months and the third of our ‘Modern-themed’ subsidiaries. With waste and recycling coming increasingly under the environmental spotlight, Modern Waste represents an important development in IP Group’s strategy. John has an excellent track record of building businesses both organically and by acquisition and we look forward to working with him to develop Modern Waste.”

John Shepherd, Executive Chairman of Modern Waste, said: "This is an excellent opportunity to work with IP Group which has built productive relationships with universities and which has a strong track record of successfully exploiting leading edge technologies. Modern Waste will build opportunities in the waste and recycling markets by applying sensing, monitoring and control technologies in innovative ways.”

For further information, please contact:

IP Group plc      020 7489 5200
Alan Aubrey, Chief Executive Officer
Liz Vaughan-Adams (communications)  020 7489 5206/07979853802

Buchanan
Tim Anderson, Mary-Jane Johnson, Mark Court 020 7466 5000

Notes for Editors

About IP Group

IP Group Plc is an intellectual property (IP) commercialisation company that specialises in commercialising university technology. Founded in 2001, IP Group listed on AiM in October 2003 and moved to the Official List in June 2006. It has made two acquisitions to date – Techtran, a company set up to commercialise university intellectual property under a long term contract with the University of Leeds, in 2005 and Top Technology Ventures, an investment adviser to early stage technology venture capital funds, in 2004.

The group has formed long-term partnerships with ten universities – the University of Oxford, King’s College London, CNAP/University of York, the University of Leeds, the University of Bristol, the University of Surrey, the University of Southampton, Queen Mary (University of London), the University of Bath and the University of Glasgow.

As at 31 December 2006, 53 spin-out companies had been created among the group’s university partners. Of those, eight have listed on the AiM market of the London Stock Exchange, one on PLUS Markets and there have been two trade sales.

For more information, please visit our website at www.ipgroupplc.com.