HOLISTA COLLTECH LIMITED — Capital/Financing Update 2007

Oct 29, 2007

ASX/ MEDIA RELEASE: 30 OCTOBER 2007

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COLLTECH AUSTRALIA LIMITED (ASX CODE: CAU)

SPAIN, PORTUGAL AND NORTH AFRICA PARTNER SIGNS

• CAU signs LETTER OF INTENT with Spanish distributor Angem Specialities, s.l.

• CollTech signs with first Western European partner

• Spanish, Portuguese and North African cosmetic and toiletries markets covered

• OVICOLL[®] poised to capture non-traditional growth markets

CollTech is pleased to announce the finalisation of a LETTER OF INTENT (‘LOI’) with Angem Specialities, s.l. The LOI is unique for CollTech as it covers multiple markets including Spain, Portugal, Morocco, Algeria, Tunisia, Libya and Egypt.

The Western Europe cosmetic and toiletry market is valued at AUD98 Billion with Spain ( the fifth-largest cosmetic market in Western Europe ) representing AUD11.6 Billion. Located in Catalonia where the majority of Spanish cosmetic manufacturers operate, Angem has long standing relationships with cosmetic manufacturers that will be vital in establishing OVICOLL[®] within Spain.

Angem Specialities, s.l. is an experienced and well respected cosmetics, metals and industrials distributor with unique insight into the dynamic and growth markets of Spain, Portugal and North Africa. The LOI follows the same path as others undertaken by CollTech and provides for the parties to finalise negotiations towards a full distribution agreement and conclude the official requirements to allow importation of OVICOLL[®] into Spain, Portugal and North Africa whilst commencing initial marketing activities.

Sales Director Glenn Smith remarked “that agreements such as this one set CollTech apart from other collagen manufacturers and indeed most other Australian companies. Focusing on cosmetics markets where superior results from ingredients such as collagen is integral to end cosmetic products, will allow OVICOLL[®] to reach its potential of delivering growing and sustainable sales for CollTech”.

Adding significant potential value to this LOI is the North African component of the agreement. North Africa is an important cosmetics and toiletries market with strong growth prospects. Often overlooked by western companies, markets such as Tunisia are valued at TND143 Million (Tunisian Dollars) or approximately AUD125 million (Australian dollars) and is predicted to see a compound growth rate of 7% to 2010.

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CONTACT INFORMATION

For more information:

Deborah Cooper General Manager P +618 9426 3900 (Australia) Glen Brune CFO/Company Secretary +800 COLLTECH (International) Glenn Smith Sales Director F +618 9426 3909 E investors@colltech.com.au W www.colltech.com.au

ABOUT COLLTECH

CollTech Australia Limited (ASX: CAU) is an Australian listed bio-industrial company specialising in the development and commercialisation of ovine collagen products. CollTech’s Australian-produced OVICOLL[®] ovine collagen is a safe and culturally acceptable collagen source that is fully traceable and unaffected by the issue of Mad Cow Disease. The company currently markets OVICOLL[®] |C and OVICOLL[®] |Clear for cosmetic applications and has several products in development for research and medical applications.

CollTech Australia Ltd ABN 24 094 515 992 G/ 76 Kings Park Rd West Perth WA 6005 Australia PO Box 1264 West Perth WA 6872 Australia

P +618 9426 3900 F +618 9426 3909 W www.colltech.com.au E sales@colltech.com.au Sales +618 9426 3999 Freecall +800 COLLTECH .Mon-Fri 8:30-5:00 GMT +8:00 ®Registered trademark of CollTech Australia Ltd│ASX - Spain Portugal and North Africa LOI