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Results obtained showed that all strains were able to reduce cholesterol and had βgalactosidase activity especially yeast strains and the viable form (free and microencapsulated) of all microbial stains had higher cholesterol reducing ability and βgalactosidase activity than nonviable form. However the nonviable form of all tested microorganisms had the highest antioxidant power compared with the others. The yeast strains had higher antioxidant activity than bacterial strains in the different forms. All strains in different forms exhibited antitumor activity by using potato disc assay. Antibacterial activity was observed in lactobacilli and Bifidobacterium strains against spoilage and pathogenic bacteria.