SECURITIES AND EXCHANGE COMMISSION

  WASHINGTON, D.C.  20549


  FORM 8-K

  CURRENT REPORT
  Pursuant to Section 13 or 15(d) of the
  Securities Exchange Act of 1934
  Date of Report (Date of earliest event reported):

  September 13, 1995

  ALPHA 1 BIOMEDICALS, INC.
  (Exact name of registrant as specified in its charter)

  DELAWARE  (State or other juristiction of incorporation)

  0-15070  (Commission file number)

  52-1253406  (IRS Employer Identification Number)

  Two Democracy Center
  6903 Rockledge Drive
  Suite 1200
  Bethesda, MD  20817
  (Address, including Zip Code, of principal executive
   offices)

  Registrant's telephone number, including area code:
  (301) 564-4400

  Item 5.Other Events

  The Press Release dated September 13, 1995 for Alpha 1
  Biomedicals, Inc. attached as Exhibit 1 is incorporated by
  reference.

  Item 7.Exhibits

  (1) Press Release, dated September 13, 1995


  SIGNATURES

  Pursuant to the requirements of the Securities Exchange Act
  of 1934, the registrant has duly caused this report to be
  signed on its behalf by the undersigned thereunto duly
  authorized.




  Date:  September 13, 1995     ALPHA 1 BIOMEDICALS, INC.

  By:  /s/ R.J. Lanham
  R.J. Lanham
  Vice President and
  Chief Financial Officer


  FOR IMMEDIATE RELEASE

 
  CONTACT:  Michael L. Berman, Ph.D., President and Chief
  Executive Officer
  301-564-4400

  R.J. Lanham,
  Vice President and Chief Financial Officer
  301-564-4400


  ALPHA 1 BIOMEDICALS
  SIGNS LETTER OF INTENT CONCERNING MERGER

Bethesda, Maryland, September 13, 1995 -- Alpha 1
Biomedicals, Inc. (OTC Bulletin Board:ALBM) ("Alpha 1")
today announced the entry into a Letter of Intent providing
for the merger into Alpha 1 of MicroBio Inc. ("MicroBio"), a
company formed by The Castle Group, Ltd.  The Letter of
Intent contemplates that, prior to the merger, MicroBio
would be capitalized with between $5 million and $10 million
in cash and would enter into an agreement with a third party
pursuant to which it would obtain a license to a technology
that is currently in human clinical trials.  If the merger
is completed, it is expected that Alpha 1 would issue
between 24 and 39 million shares of its common stock in
exchange for the shares of MicroBio.

The resources of the combined companies would be used to
continue Alpha 1's current Thymosin beta 4 research plans,
to advance the newly acquired technology and for general
operating expenses.  The completion of the merger is
contingent upon, among other requirements, the negotiation
and execution of a definitive agreement, which the parties
are seeking to conclude prior to November 1, 1995, execution
by MicroBio of the aforementioned license, financing of at
least $5 million and to the approval of the transaction by
the stockholders of Alpha 1.  If approved by the
stockholders, it is anticipated that the transaction would
close in the first quarter of 1996.

Alpha 1 is directing its efforts toward the development of
Thymosin beta 4, a novel actin-sequestering peptide, which
could have applications in the treatment of cystic fibrosis,
sepsis, adult respiratory distress syndrome, chronic
bronchitis and asthma.