MDY Mdy Healthcare

RNS No 5683w
MEDISYS PLC
28th September 1998

       Announcement of the results of the Extraordinary General Meeting
                       and of the Placing and Open Offer
                                       
The Board of Medisys PLC ("Medisys") announces today the result of the Placing
and Open Offer, raising approximately #13.5 million after expenses through an
issue of Convertible Bonds ("the Bonds") due 2002, and Warrants, managed by
Nomura International plc ("Nomura").  The Board also announces the final
interest rate and conversion price relating to the Bonds; the result of the
Extraordinary General Meeting of shareholders of Medisys at which resolutions
regarding the Bonds and Warrants were approved; and the result of the meeting
of the holders of common stock of Lukens Medical Corporation ("Lukens").

Result of the Placing and Open Offer

By 3.00pm on 23rd September, 1998, being the latest time and date for
acceptance and payment in full of the Bonds and Warrants, #5 million of the
Bonds and Warrants had been taken up by existing shareholders.  The remaining
#10 million of the Bonds and Warrants has been taken up in accordance with the
terms of the placing and underwriting arrangements set out in the Prospectus.

Terms of the Bonds and Warrants

The conversion price of the Bonds has been fixed at 18.5p, representing a
discount of 30.2% to the five day trading average of Medisys Ordinary Shares
prior to 25th September, 1998.  The conversion price is subject to adjustment
for, among other things, sub-division or consolidation of Ordinary Shares,
bonus issues and certain other dilutive events.

The Bonds will not bear interest until 28th September, 2000, from which date
they will bear interest at a rate of 5 per cent per annum to 28th September,
2001 and thereafter at a rate of 10 per cent per annum.  Interest is payable
semi-annually in arrears on 28th March and 28th September in each year.

A supplementary prospectus containing, inter alia, the final interest rate and
conversion price of the Bonds will be despatched to all subscribers for the
Bonds and Warrants today.

Closing of the issue of the Bonds has taken place today, admission of the
Bonds and Warrants to the Luxembourg Stock Exchange has become effective and
dealing in the Bonds and Warrants has also commenced today.

Extraordinary General Meeting of Medisys

All of the resolutions proposed at the Extraordinary General Meeting held on
24th September, 1998 were passed by shareholders of Medisys.

Meeting of Holders of Lukens' Common Stock

At a meeting of the holders of Lukens' common stock held on 24th September,
1998, the acquisition agreement dated 29th April, 1998 was approved.  It is
expected that completion of the acquisition of Lukens will take place today.

Commenting on today's announcement, Kurt Amundson, President & Chief Operating
Officer of Medisys, said:

"Completion of the Placing and Open Offer has given us the necessary funds to
complete the acquisition of Lukens as well as providing us with working
capital for the Medisys Group."

Enquiries:

Medisys PLC
David Wong, Chief Executive Officer                       Tel:  01394 445914
Kurt Amundson, President & Chief Operating Officer

Nomura International plc                                  Tel:  0171 521 2000
David Porter, Director

Henry Ansbacher & Co. Limited                             Tel:  0171 283 2500
Toby Hayward, Director

Gavin Anderson & Company                                  Tel:  0171 457 2345
David Yates / Sophie Pender-Cudlip



About Medisys PLC

Medisys develops, manufactures and markets innovative medical devices and
products serving the point-of-care diagnostic and medical supplies and waste
disposal markets.  Medisys has entered into a conditional agreement to acquire
Lukens and, following the acquisition, Medisys will consist of two core
operating divisions:  (i) a diagnostics division; and (ii) a medical supplies
and safety division.

Diagnostics Division

Hypoguard Limited ("Hypoguard") represents Medisys' diagnostic operations,
with responsibility for marketing throughout the world Hypoguard's glucose
strip products and other diagnostic products as they are launched or acquired.
Hypoguard's current strategy is to develop innovative products which can be
targeted at markets in which there is an unmet medical need.  Hypoguard has
identified the strongest growth opportunity in exploiting its strip
manufacturing and marketing expertise to develop a series of alternative
point-of-care diagnostic products, while expanding its technology platform to
other technologies such as biosensors.

Medical Supplies & Safety Division

Needle Incinerator Company Limited ("NIC") is a medical systems company,
focusing on developing devices for the on-site disposal of medical
biohazardous waste.  The specific market currently being targeted by NIC is
the disposal of hypodermic and other needles through the development and
marketing of a needle disposal system (known as the "NicSafe System") which
has been designed to address the issues of needlestick injury to healthcare
workers and the environmental impact of current methods of needle disposal.

About Lukens

Lukens is engaged in the design, development, manufacturing and marketing of
medical supplies.  These include:

-    wound closure products for use in the medical industry, such as suture
     products and bone wax;

-    finger-prick devices, known as lancets, used by diabetics to draw small
     amounts of blood;

-    infection control kits which contain various items used in medical and
     scientific facilities to clean up blood and other bodily fluid spills;
     and

-    a product line consisting of sharps disposal containers for the safe
     disposal of used sharps, such as hypodermic needles, scalpels, blades,
     lancets and suture needles.

Reasons for the Acquisition

The Directors believe that the acquisition of Lukens will bring the following
benefits:

-    complementary products in the medical supplies and medical waste disposal
     and safety markets;

-    access to a US operating base with an established infrastructure for
     manufacturing, distribution and administration;

-    the ability to integrate NIC products into Lukens' operating management
     to provide cost savings on the development of infrastructure and enhance
     the distribution network;

-    the creation of a medical supplies and safety division with a range of
     products in medical safety; and

-    access to the low cost manufacturing facilities in Lukens in Cochin,
     India.

The Board intends that, following completion of the Acquisition, the
operations of Lukens and NIC will be integrated to form the medical supplies
and safety division.


END

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