Change in Strategic Direction

Aortech International PLC 06 January 2003 AORTECH INTERNATIONAL PLC Change in Strategic Direction AorTech International plc announces a significant change to its strategic direction. The Board of Directors has concluded that future shareholder value lies within the Company's intellectual property portfolio which has recently been rigorously appraised. The Board has decided to concentrate future activity on the Company's biomaterials business and its research and development programme for the polymer heart valve. In both cases, the Board believes that AorTech's technology is unique and offers real opportunity for commercial exploitation. The impact on commercial operations of this strategic change will be as follows: Heart Valves The Company is at an advanced stage of negotiation to sell its commercial heart valve business, comprising both mechanical and tissue valves. It is expected that a further announcement confirming the terms of such a sale will be made very shortly. Critical Care The speed of uptake of the TruCCOMS Continuous Cardiac Output Monitoring System has been insufficient to justify continued investment in the technology. In view of the need for additional investment to fully develop the product, the Board has decided reluctantly to cease research and all commercial activity with immediate effect, and to seek a buyer or a partner for the intellectual property and the marketing rights. During the past six months, a number of steps have been taken to streamline the business in preparation for the changes announced today. These are the culmination of a planned strategy to reshape the Company. 6th January 2003 ENQUIRIES: AorTech International plc Tel: 01698 746 699 Bill Strachan, Chief Executive Ian Cameron, Finance Director College Hill Tel: 020 7457 2020 Nicholas Nelson Clare Warren This information is provided by RNS The company news service from the London Stock Exchange