Novartis Capital Increase

Within the scope of a strategic alliance agreement concluded in early July 2007, Novartis has committed to subscribe for newly issued Intercell shares, resulting in an investment of EUR 150 million. Following U.S. antitrust clearance, Intercell's management board has resolved to make the capital increase effective by issuing, subject to the approval of the supervisory board, 4.8 million new shares of common stock at an issue price of EUR 31.25 per share to Novartis Pharma AG and to exclude the subscription rights of existing shareholders. According to Austrian law, a report on the exclusion of the statutory subscription rights has been published on August 31, 2007.

On September 17, 2007, the Supervisory Board has approved the capital increase and on September 19, 2007 the Austrian Financial Market Authority (FMA) has approved a Prospectus according to Section 7 of the Capital Markets Act and Section 74 of the Stock Exchange Act in connection with the admission for trading of the new shares at the Official Market of the Vienna Stock Exchange. This listing prospectus does not constitute an offer to sell or the solicitation of an offer to purchase shares of Intercell AG. There is no public offering of the shares.