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A series of new 2-(2'-isopropyl-5'-methylphenoxy)acetyl amino acids and peptides have been synthesized by coupling the 2-(2'-isopropyl-5'-methylphenoxy)acetic acid with amino acid methyl esters/dipeptides using DCC as coupling agent and TEA as base. The structures were elucidated by elemental analyses as well as FTIR, ¹H NMR, ¹³C NMR and MS spectral data. The newly synthesized compounds were also evaluated for antibacterial and antifungal activities. Compounds (<b>2</b>, <b>6</b> and <b>15</b>) were found to exhibit potent antibacterial activity against <i>Pseudomonas aeruginosa</i> and <i>Staphylococcus aureus</i> and compounds (<b>13</b>, <b>14</b> and <b>16</b>) were found to be potent antifungal agents against pathogenic <i>Candida albicans</i>.