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RELEASE SHOULD NOT BE ISSUED IN THE UNITED STATES THROUGH U.S. NEWSWIRE

AGENCIES

QUEBEC CITY, Feb. 22 /CNW/ - Medicago Inc. ("Medicago") (TSX Venture: MDG) announces that it intends to complete a non-brokered private placement of approximately 10,000,000 units (the "Units") at a price of $0.20 per Unit for gross proceeds to the Company of approximately $2,000,000. It is expected the closing will occur on or around March 15, 2008.

Each Unit shall consist of one common share (the "Common Shares") and one-half common share purchase warrant of Medicago (the "Warrants") with each full warrant ("Warrant") entitling the holder thereof to purchase one Medicago Common Share for a purchase price of $0.25 at any time prior to 5:00 p.m. (Montreal time) on the date that is 24 months following the closing of the private placement. The Common Shares, the Warrants and the Common Shares underlying the Warrants will be subject to a statutory four-month hold period.

The offering is being made on a private placement basis pursuant to registration and prospectus exemptions of applicable securities laws and its completion is subject to acceptance by the TSX Venture Exchange and certain contractual approvals. The Company intends to pay, where appropriate, a cash finder's fee of 6% in connection with the placement. The net proceeds from the offering will be used to fund and support the development of multiple vaccine products. The balance will be allocated to working capital and other general corporate purposes.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of Medicago in the United States. The securities have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or unless an exemption from such registration is available.