TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES

1. Identity of the issuer or the underlying issuer of existing shares to which voting rights are attached:

Vernalis Plc

2 Reason for the notification (please tick the appropriate box or boxes):

An acquisition or disposal of voting rights

An acquisition or disposal of qualifying financial instruments which may result in the acquisition of shares already issued to which voting rights are attached

An acquisition or disposal of instruments with similar economic effect to qualifying financial instruments

An event changing the breakdown of voting rights

Other (please specify):

  IN SPECIE TRANSFER

X

3. Full name of person(s) subject to the notification obligation:

GAM International Management Limited

4. Full name of shareholder(s) (if different from 3.):

5. Date of the transaction and date on which the threshold is crossed or reached:

2 August 2011

6. Date on which issuer notified:

4 August 2011

7. Threshold(s) that is/are crossed or reached:

4% and 8%

8. Notified details:

A: Voting rights attached to shares

Class/type of

shares

if possible using

the ISIN CODE

Situation previous

to the triggering

transaction

Resulting situation after the triggering transaction

Number

of

Shares

Number

of

Voting

Rights

Number

of shares

Number of voting

rights

% of  voting rights

Direct

Indirect

Direct

Indirect

Ordinary 1p Shares

8,312,413

8,312,413

7,859,388

7,859,388

7.892%

GB00B3Y5L754

B: Qualifying Financial Instruments

Resulting situation after the triggering transaction

Type of financial

instrument

Expiration

date

Exercise/

Conversion

Period

Number of voting

rights that may be

acquired if the

instrument is

exercised/ converted.

% of voting

rights

 None

C: Financial Instruments with similar economic effect to Qualifying Financial Instruments

Resulting situation after the triggering transaction

Type of financial

instrument

Exercise

price

Expiration

date

Exercise/

Conversion

period

Number of voting

rights instrument

refers to

% of voting rights

None

Nominal

Delta

Total (A+B+C)

Number of voting rights

Percentage of voting rights

7,859,388

7.892%

9. Chain of controlled undertakings through which the voting rights and/or the

financial instruments are effectively held, if applicable:

GAM International Management Limited as discretionary manager holdings are broken down over the following funds:

Individual fund holdings:

Situation previous     to the triggering transaction

Shares held:

Resulting situation after the triggering transaction

Shares held :

Resulting

Percentage held:

GAM UK Diversified

2,117,117

2,117,117

2.126%

GAM Global Diversified

4,292,337 (4.310%)

3,839,312

3.855%

GAM Exempt Trust

1,902,959

1,902,959

1.911%

TOTAL

8,312,413 (8.347%)

7,859,388

7.892%

Proxy Voting:

10. Name of the proxy holder:

11. Number of voting rights proxy holder will cease to hold:

12. Date on which proxy holder will cease to hold voting rights:

13. Additional information:

14. Contact name:

David Mackney, CFO

15. Contact telephone number:

0118 989 9360