EPL Technologies Acquires Specialty Packaging Business on European Continent.

PHILADELPHIA--(BUSINESS WIRE)--Dec. 12, 1997--EPL Technologies, Inc. (NASDAQ:EPTG) today announced the acquisition of Fabbri Artes Graficas Valencia S.A. ("Fabbri"), a Valencia, Spain-based converter printer and marketer of specialty flexible packaging, which principally serves the European citrus fruit market. The business was acquired from U.K.-based Sidlaw Group Plc ("Sidlaw"), an English public company, in a cash transaction valued at U.S.$5.5 million (825 million pesetas@$1.00 equals 150 pesetas).

Sidlaw has been engaged in a program of rationalizing and restructuring its packaging businesses which it announced back in 1995. The acquisition was financed through application of a portion of the proceeds of EPL's recent private placement of $12.5 million of EPL securities.

Fabbri has annual sales of approximately U.S.$7.5 million and is operationally profitable. Fabbri's net asset book value as at September 30, 1997, the date of the last audit, was approximately U.S.$5.9 million. The transaction, which will be accounted for as a purchase, is expected to be accretive to EPL's operating income in its first full year of consolidation.

In a related announcement, EPL named Jose Saenz, a packaging industry professional with 16 years of sales, marketing and general management experience, most recently with AMCOR Flexibles Espano, to the position of Managing Director of Fabbri. Mr. Saenz joined EPL in July of this year to lead the on-site due diligence related to the acquisition. He is a law graduate of the University of Madrid and holds master's degrees in both Commercial Management and Marketing from CESEM Business School (Madrid).

Paul L. Devine, Chairman and Chief Executive Officer of EPL, stated: "We believe that the Fabbri acquisition will complement and enhance EPL's existing UK-based packaging businesses, providing incremental unused capacity for more efficient management of combined product mix as well as a strategic foothold on the European continent for the launch of the company's related processing aid and scientific support services businesses. Valencia is a major agricultural growing and processing area in Southern Europe and the packaging plant location is central to major processing activities in broccoli and lettuce, in addition to being the regional center for citrus products."

EPL Technologies, Inc., through its subsidiaries that utilize proprietary packaging, processing aids and related technologies and support services, is in the business of maintaining the integrity of fresh-cut produce. The Company believes that its technologies are safe (FDA GRAS listed), environmentally "friendly" and add tangible value to the business of its customers.

The expectations expressed regarding the potential of the above transaction may be viewed as forward-looking statements, and as such, actual results may vary materially. Meaningful factors that may affect such results include, but are not limited to, the extent and nature of any actual benefits arising from the acquisition of Fabbri, the speed and ease of integration of Fabbri into EPL and into EPL's other packaging businesses in Europe and any problems that might arise as a result, the rate and extent of any growth in developing new and existing business opportunities within Fabbri, stability of pricing, and other matters, including those set forth in EPL's filings with the Securities Exchange Commission. EPL expressly disclaims any obligation to update these forward-looking statements.

CONTACT: EPL Technologies, Inc., Philadelphia

Paul L. Devine, [phone]

or

Kehoe, White, Savage & Company, Inc., New York 

John P. Kehoe, [phone]