Since the discovery and exploitation of antibiotic agents in the 20th century, the targeted selective toxicity of such agents has ensured their widespread and effective use against infection; however it has paradoxically resulted in the emergence and dissemination of multi drug resistant pathogens. In the present time, drug resistance in microorganisms is a very serious problem. It is essential to investigate newer drugs with lesser resistance. Drugs derived from natural sources play a significant role in the prevention and treatment of human diseases. In many developing countries, traditional medicine is one of the primary healthcare systems. About 61% of new drugs developed between 1981 and 2002 were based on natural products and they have been very successful, especially in the areas of infectious disease and cancer. This study was carried out with a purpose to investigate the antibacterial and antifungal activity of the algal product BioR. The antimicrobial activity was tested on reference strains of gram-positive (Staphylococcus aureus ATCC 25923, Bacillus cereus ATCC 8035), gram-negative (Escherichia coli ATCC 25922, Salmonella abony ATCC 6017) microorganisms and yeasts from the genus Candida (C. albicans ATCC 10231). The bacterial strains obtained from National Centre of Public Health, were used for evaluating the antimicrobial activity. Mueller-Hinton broth and Sabouraud dextrose agar (SDA) were used for growing and dilution of microorganism suspensions. Bacterial strains were grown at the exponential phase in Mueller-Hinton broth at 37 °C for 18h and adjusted to a final density of 108 CFU/ml by diluting fresh cultures and comparing with McFarland density. C. albicans was inoculated on Petri dishes with autoclaved, cooled and settled SDA medium. The Petri dishes were incubated at 31°C for 48h to obtain white round colonies on nutrition medium. These were accumulated on SDA agar slant. The yeast colonies from SDA slants were suspended in sterilized 0.9% sodium chloride solution (normal saline), according and compared with McFarland control. Antimicrobial activity of BioR on bacterial growth was determined in presence of different concentrations of it. For this purpose, BioR was diluted by using double fold microdilution procedure in Mueller-Hinton broth medium at a final concentration from 8 to 0.0156 mg/ml. The biopreparation was tested for antibacterial activity in triplicate. BioR demonstrated antibacterial activity against all tested bacteria. An effect has been observed on both Gram-positive and on Gram-negative bacteria (MIC=0.125 mg/ml). Regarding antifungal activity, this product showed significant reduction in growth of C.albicans (MIC=0.25 mg/ml). Further studies are required to determine the chemical composition of the active compounds responsible for the antibacterial and antifungal activity.