Waverley's Escrowed Shares Transfered

Market Wire, May, 2008

Waverley Biotech Inc. (TSX VENTURE: WVE.P) today announced that a transfer within escrow of 756,667 common shares of the Company which are subject to a CPC Escrow Agreement dated April 28, 2006, has received approval from the TSX Venture Exchange.

Following completion of the transfer of escrowed shares, the three existing directors of the Company will be replaced by Mark T. Brown, James H. Elliott and Winnie Wong.

New Directors:

Mark T. Brown is President of Pacific Opportunity Capital Ltd., a private company which provides financial solutions, equity and management services to small and medium size entrepreneurial enterprises. Mr. Brown is currently an officer and/or director of Rare Element Resources Ltd., Almaden Minerals Ltd., Animas Resources Ltd. and several other TSX listed issuers. Between 1990 and 1994, Mr. Brown worked with PricewaterhouseCoopers.

James H. Elliott started his computer engineering career with Atomic Energy of Canada and then joined BC Tel just as the computer communications industry was gaining momentum. Mr. Elliott pioneered the use of mini computers in the telephone industry and in 1975 formed KEA Systems Ltd. which Mr. Elliott and his partners built into a multinational success story. Mr. Elliott is a private investor.

Winnie Wong is Vice President of Pacific Opportunity Capital Ltd. Her role is to manage the financial administration team and to assist Pacific Opportunity Capital's management group on corporate finance projects. Prior to joining Pacific Opportunity Capital, Ms. Wong was the controller of Pivotal Corporation. Between 1996 and 1999, Ms. Wong worked with Deloitte & Touche, Chartered Accountants. Ms. Wong also acts as CFO and Corporate Secretary for other publicly listed companies.

Contacts: Waverley Biotech Inc. Peter de Visser Chief Financial Officer (604) 687-5447 Email: pdevisser@devissergray.com