Oakland, California
June 20,  2001

Bionova Holding Corporation (Amex: BVA) announced today that it was denied its appeal to the California Supreme Court in connection with the shareholder litigation case filed by Grace Brothers, Ltd. against Bionova Holding Corporation and DNA Plant Technology Corporation ("DNAP") concerning DNAP preferred stock. The decision was another setback for Bionova Holding in this ongoing litigation.

The Grace Brothers, Ltd.'s claims arose out of the merger on September 26, 1996 of DNAP with a wholly-owned subsidiary of Bionova Holding. The Grace Brothers, Ltd. had been an owner of DNAP preferred stock and challenged the treatment of the preferred stock in the merger. In 1999, the Superior Court granted summary judgment in favor of Bionova Holding and DNAP on all claims. However, in January 2001, the California Circuit Court of Appeal overturned the judgment. Bionova Holding and DNAP appealed the case to the California Supreme Court, which recently turned down this appeal. The case has now been remanded to the Superior Court for further proceedings.

On June 5th Grace Brothers, Ltd. filed a motion for summary adjudication against DNAP requesting the Superior Court award damages and interest in the amounts of $4.3 million and $2.1 million, respectively. In addition, Grace Brothers, Ltd. filed motions requesting the court to issue various protective orders. Pending a hearing on these motions, DNAP consented to the entry of a
temporary order restricting DNAP's ability to transfer its assets until July 7, 2001. The other motions filed by Grace Brothers, Ltd, including the motion for summary adjudication against DNAP and a motion to enjoin Bionova Holding Corporation from completing the transfer of its fresh produce business to Savia, are scheduled to be heard on July 6, 2001. If Grace Brothers, Ltd. is ultimately successful and is awarded a judgment in the millions of dollars, this could have a material adverse effect on Bionova Holding. Bionova Holding and DNAP continue to deny any wrongdoing or liability in this matter and to continue to contest this case vigorously.

Bionova Holding Corporation is a leading biotechnology company focused on genomics-based trait development for plant agriculture. Bionova Holding's goal is to deliver crop protection and human nutrition traits through high-efficiency gene profiling, bioinformatics, and expertise in plant biology. Bionova Holding and its affiliates have strategic alliances and licensing agreements with some of the world's leading agricultural companies, value-added producers and marketers, and biotechnology research groups. Bionova Holding Corporation is majority owned by Mexico's Savia, S.A. de C.V. (NYSE: VAI), whose subsidiaries include Seminis Vegetables Seeds, Inc., the largest developer, producer and marketer of vegetable seeds in the world.

Company news release
N3596