Trading Update and Notice of Results

12 January 2015

Instem plc
("Instem" or the "Company")

Trading Update and Notice of Results

Instem plc (AIM: INS), a leading provider of IT solutions to the global early development healthcare market, announces its pre close trading update for the year ended 31 December 2014.

The final quarter of 2014 has been very encouraging such that the performance for the full year is expected to be in line with current market expectations. In addition, strong order intake has resulted in an opening backlog position for 2015 greater than in any previous year.

Contracts signed in the final quarter include the recently announced extension with WIL Research, worth in excess of $7m over four years, to provide Instem's Provantis and Centrus-submit™ solutions. The Centrus-submit solution, which ensures compliance with the Food and Drug Administration ("FDA") electronic submission standard for the exchange of non-clinical data ("SEND"), was also recently purchased by another top 20 pharmaceutical company.

On 18th December 2014, the FDA announced definitive guidance, mandating the dates when new drug submissions must adhere to SEND. This is expected to further increase demand for Instem's Centrus-submit solution.

Instem will announce preliminary results for the year ended 31 December 2014 on 31 March 2015.

Phil Reason, CEO of Instem plc, commented: "We are pleased to report that trading has been in line with market expectations for the full year 2014. Instem experienced strong demand for its offerings during the fourth quarter of the year and, in addition, its Centrus-submit solution should now attract increasing opportunities as the deadlines for SEND compliance approach. We have opened 2015 with our largest ever opening backlog and this, combined with our high contract renewal rate, gives us confidence for the coming year."

For further information, please contact:

Instem plc www.instem.com
Phil Reason, CEO +44 (0) 1785 825600
Nigel Goldsmith, CFO  
N+1 Singer (Nominated Adviser & Broker) +44 (0) 20 7496 3000
Richard Lindley  
Nick Owen  
James White  
Wallbrook Financial PR Tel: +44 (0) 20 7933 8000
Paul Cornelius or instem@walbrookpr.com
Sam Allen  
Helen Cresswell  
Paul Whittington  

About Instem

Instem is a leading supplier of IT applications to the early development healthcare market delivering compelling solutions for data collection, management and analysis across the R&D continuum. Instem applications are in use by customers worldwide, meeting the rapidlyexpanding needs of life science and healthcare organisations for data-driven decision making leading to safer, more effective products.

Instem’s portfolio of software solutions increases client productivity by automating study-related processes while offering the unique ability to generate new knowledge through the extraction and harmonization of actionable scientific information.

Instem supports over 450 clients through full service offices in the United States, United Kingdom and China with additional locations in Japan and India.

To learn more about Instem solutions and its mission, please visit instem.com.