US Government Contract Win

28 February 2013

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

US Government Contract Win

Provantis Preclinical Software Chosen for National Toxicology Program by National Institute of Environmental Health Sciences

Instem (AIM:INS), a leading provider of IT solutions to the global early development healthcare market, announced today that the National Institute of Environmental Health Sciences (NIEHS), part of the National Institutes of Health (NIH), has purchased the Provantis 9® preclinical software suite via SaaS (Software-as-a-Service) to support National Toxicology Program studies. These Reproductive, Immunotox, Neurobehavioural, Sensitisation and Carcinogenicity studies are primarily carried out at contractor laboratory sites throughout the United States.

The value of the award to Instem, funded completely by the US government, is approximately $870,000 in the first year, with potential to extend and expand the agreement up to a further 9 years, giving a possible total contract value for all 10 years of between $6.2m-$7.6m. The contract also includes the ability to expand to a larger number of additional sites on the same terms, which could result in further material increase in revenue.

The National Toxicology Program (NTP) is an interagency program established in 1978 to coordinate toxicology research and development across the Department of Health and Human Services. The program was also created to strengthen the science base in toxicology, develop and validate improved testing methods and provide information about potentially toxic chemicals to health regulatory and research agencies, scientific and medical communities, and the public.

Headquartered at NIEHS, the NTP is managed by the NIEHS and supported by the United States Food and Drug Administration and the Centers for Disease Control and Prevention.

Phil Reason, CEO of Instem plc, commented, “Such a significant contract with the US government, won through a competitive tendering process, is not only a fantastic endorsement of Instem’s innovative software but also of our strategy to support collaborative working practices. Our SaaS delivery model enables the sharing of the software between dispersed communities from multiple organisations, The accessibility of Provantis data will also enable the National Institute of Environmental Health Sciences to meet a key goal of combining study information with a broader set of biology information to improve scientific insights.

“This long term contract will also provide funding for the development of the Provantis suite in areas specific to the National Toxicology Program, adding further depth to our market leading study management platform and positioning Instem well for anticipated contract extensions and any similar future projects.”

For further information, please contact:

Instem plc
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
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