PRESS RELEASE

Nicholas Piramal Seals an In-Licensing Agreement with
Genzyme Corporation for the Indian Market.

Mumbai 5 August 2004:  Nicholas Piramal India Limited today announced the completion of its in-licensing agreement with Genzyme Corporation, USA for Synvisc Viscose Supplementation for the Indian market. This in-licensing agreement is poised to augment NPIL’s presence in the field of Orthopedics.

Agreement with Genzyme Corporation, USA:

Nicholas Piramal’s in-licensing deal with Genzyme Corporation is a five-year exclusive strategic alliance for Synvisc Viscose Supplementation for the Indian market. Genzyme Corporation, Cambridge, USA, which is the 4th largest biotech company with a revenue base of $1.6 billion, has a strong presence in the fields of Orthopedics, Renal diseases, Lisosomal Storage disorders and Adhesion prevention.

Synvisc is a therapy for the local treatment of pain associated with osteoarthritis (OA) of the knee. Synvisc is a widely accepted, safe and effective therapy that can provide long lasting pain relief for knee OA.

Synvisc is a pill-free treatment that is injected directly into the knee. Successful treatment with Synvisc can help reduce or stop pain in an osteoarthritic knee, may increase mobility, and may allow for a higher and more comfortable level of activity. Pain relief can last for up to six months and one may begin to feel relief after the first injection, but maximum results usually occur 8-12 weeks after the first injection.

The product has global sales of US$ 250 million, and is superior due to higher molecular weight of 60 lakh Daltons vs. 5 - 6.5 lakh Daltons of currently available products. The Indian market size for this drug is estimated at Rs. 20 Crores. NPIL will market & distribute the product in India on exclusive basis.

Currently NPIL’s Ortho-therapy area includes two divisions – MS and Speciality (a division of the erstwhile Sarabhai Piramal Pharmaceuticals Pvt. Ltd.). NPIL is the third largest player in the ‘pain’ market, with a 5.5% share of the therapy. Their leading brands include Vah and Valto, Rejoint, Rocaltrol, Esgipyrin, Biozobid range, Suganril range and Contramal.

Nicholas Piramal India Limited is one of India’s Leading Pharmaceutical Companies with a diverse portfolio of Branded Formulations, Vitamins, APIs and Diagnostics. The Company had FY2004 Net Sales of Rs. 12.7 billion. Nicholas Piramal is ranked fourth in domestic formulations sales and second in total domestic pharmaceuticals sales.

For further information please contact

Vijay Sathye
Vice President, Investor Relations and M&A
Nicholas Piramal India Ltd.
Tel: 9122 - 56637899
M# - 9324689774
E-mail: vsathye@nicholaspiramal.co.in

Piyush T Suraiya
Branch Head
Imprimis Life PR
Tel: 9122 - 24380264
M# 98201 23502
E-mail: psuraiya@imprimispr.com