AGM Statement & Board Changes

RNS Number:0940B
Biocare Solutions PLC
30 July 2007


               Biocare Solutions Plc (the "Company" or "Biocare")


                        AGM Statement and Board Changes


              New financing proposed and management reorganisation



The board of Biocare Solutions releases the following Chairman's statement in
advance of the Annual General Meeting of the Company which will take place at 
3:00 p.m. today:


"The Board is pleased to confirm that commissioning has started at the new
facility constructed at Ferrandina, in Italy, and the board expects to initiate
production during the next few weeks over the August holiday period. It is the
intention of the Company to gradually transfer all production from Meda, in
Northern Italy to the new facility over the next two months.


Sales from Meda in the first six months of the year were limited by the existing
plant's double shift capacity. Equipment delays and deferred operating permits
from local government agencies at Ferrandina held back the Company's ability to
meet demand for its products in all markets, but especially in Italy, where a
number of new customers are awaiting finalisation of the increased production
capacity. Thanks to the efficiencies and high standards of the new facilities at
Ferrandina we have agreed new technical specifications for future deliveries
with one of the largest retailers in Italy, who remain keen to work with the
Company to meet the demand for own label range products.


During the second quarter of 2007 the Company received certification for new
laundry products that meet exacting hypoallergenic standards and test negative
for skin irritation. These products are expected to be an important source of
future revenue and will provide a competitive advantage for Biocare.


As was stated in the preliminary results for 2006, published at the end of June,
the Company is currently trading at a loss pending the commissioning of the new
plant. Costs of double shift working in Meda and costs of building up for
production in Ferrandina remains higher than budget.  The Board commissioned
Martin Shelley, an Italian speaker who has considerable experience of finance,
accounting and general management in Italian businesses, to conduct a thorough
review of the financial position of Biocare Italia. Mr Shelley's report was
completed at the end of last week and considered by the Board. This report
confirmed the financial basis for the investment at Ferrandina. The Board are
confident that once the new plant is operational, refinancing plans for the
building and some of the equipment can proceed as planned.


During the build up of production, short term liabilities of the Company are
expected to peak in the third quarter, but to fall rapidly thereafter. Costs at
Ferrandina per unit of production are expected to produce efficiencies and
substantial overhead savings. The Company balance sheet has little gearing and
it is the aim of the board to minimise any potential dilution for shareholders
in the ongoing financing of the Company. To provide additional working capital,
the Company is arranging short term loan facilities with a major shareholder.


The completion of the expansion project provides the opportunity to reorganise
the management in Italy and to make further changes to the corporate management
of Biocare Solutions Plc. Tony Higson, Managing Director of Biocare Solutions
relocated to Italy earlier this year to manage Project Biotech SpA and to
oversee the delivery of the new facility at Ferrandina.  Nick Jenkins our
Finance Director has resigned with immediate effect and the Board expects to
confirm the appointment of Martin Shelley as finance director following today's
AGM. The Board has also accepted the resignation of Rebecca Wood, as
non-executive director, following the birth of a child.


I am delighted to say that William van Klaveren is joining the board as a
Non-executive director following today's AGM. I have known William van Klaveren
for many years. He had a long career at Reckitt and Colman's on the household
products sector including six years as Managing Director of Reckitt's Italian
operations. His experience will be invaluable to the Board.


As we have previously reported, the loss for the current year is expected to be
smaller than the loss reported for 2006 on a revenue base that is expected to be
higher. Thereafter with the cost efficiencies and higher production expected
from Ferrandina, the Board remain very confident about the future prospects of
the Company."


30th July 2007


Enquiries:


Biocare Solutions plc
Stuart Anderson, Chairman +44 (0)20 7448 5211
Tony Higson, Managing Director


KBC Peel Hunt
Richard Kauffer +44 (0)20 7418 8850


SPA Way
James Poole +44 (0)207 3540356
+44 7768991096







Notes for Editors:



Biocare Solutions Ltd develops, manufactures and sells effective natural
household cleaning and laundry products replacing the traditional active
chemical ingredients with natural surfactants and cleaning agents obtained from
plant extracts.  The Company recently commissioned a new facility at Ferrandina
in Southern Italy, to which it will gradually transfer production from existing
facilities also in Italy.


Its product line has expanded from five household cleaning products to include
floor cleaner and hypo-allergenic liquid laundry and fabric conditioners.
Distribution has increased in each of its current markets.  In Italy, Biocare is
now working with one of the largest Italian retailers on both the Biocare
branded range and a range of natural own label products.  In Malaysia, sales
have been achieved in both local stores and international supermarkets such as
Tesco and Carrefour.  In the UK distribution recently expanded to include
Morrison's the national supermarket chain.    .







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

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