London, UK -- (MARKET WIRE) -- March 26, 2007 --

For Immediate release                      26 March 2007

                               SkyePharma PLC

SkyePharma PLC Announces Completion of Disposal of Injectable Business

LONDON, UK, 26 March 2007 - SkyePharma PLC (LSE: SKP; Nasdaq: SKYE) announces that the Paul Capital Refinancing and the Disposal of the Injectable Business have been completed. As such, the Placing of the New Ordinary Shares is no longer conditional and will raise GBP14.8m (net of costs). It is expected that admission and dealings in the new shares will commence at 8.00 a.m. today.

This completes the major financial restructuring announced on 9 January 2007. SkyePharma is now able to focus on organic growth of its business by completing the development of its unique combination product Flutiform™ (fluticasone/ formoterol inhalation treatment for asthma), which is in phase III development, as well as seeking additional opportunities to leverage the Group's proven range of skills and technologies in developing oral and inhalation products.

Frank Condella, SkyePharma's Chief Executive, said:

"The completion of the disposal has removed the cash burn attributable to the Injectable Business and has significantly strengthened the Company's balance sheet and cash flows.

With the restructuring phase now successfully completed, we can focus fully on the development of SkyePharma's existing oral and inhalation product pipeline, and seek further new opportunities to exploit our unique capabilities in the rapidly growing drug delivery market."

For further information please contact:

SkyePharma PLC                                +44 (0)20 7491 1777

Frank Condella, Chief Executive Officer
Ken Cunningham, Chief Operating Officer
Peter Grant, Finance Director

Buchanan Communications                        +44 (0)20 7466 5000

Tim Anderson / Mark Court / Rebecca Skye Dietrich

Trout Group (US)                            

Seth Lewis                                     +(1) 617-583-1308

Notes for editors

About SkyePharma PLC

Using its proprietary drug delivery technologies, SkyePharma develops new formulations of known molecules to provide a clinical advantage and life-cycle extension. The Company has nine approved products in the areas of oral, inhalation and topical delivery that are marketed throughout the world by leading pharmaceutical companies.

For more information, visit www.skyepharma.com.

About Paul Capital Partners and Paul Capital Healthcare

Paul Capital Partners manages nearly $5 billion in equity capital commitments. The firm has offices in New York, San Francisco, Paris, London and Toronto. Paul Capital Healthcare is one of the largest dedicated healthcare funds globally, with $1.4 billion invested in the pharmaceutical, biotechnology, and medical device sectors.

For more information, visit www.paulcapitalhealthcare.com

These materials are not an offer for sale of securities in the United States. The securities in the placing have not been and will not be registered under the US Securities Act of 1933 (the "Securities Act") and the securities may not be sold in the United States absent registration or an exemption from registration under the Securities Act. The Company does not intend to register any portion of such offering in the United States or to conduct a public offering of the ordinary shares in the United States.

The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities referred to herein in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any jurisdiction.

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