Measurements of inclusive production of the Lambda, Xi- and Xi*(1530) baryons in two-photon collisions with the L3 detector at LEP are presented. The inclusive differential cross sections for Lambda and Xi- are measured as a function of the baryon transverse momentum, pt, and pseudo-rapidity, eta. The mean number of Lambda, Xi- and Xi*(1530) baryons per hadronic two-photon event is determined in the kinematic range 0.4 GeV < pt< 2.5 GeV, |eta| < 1.2. Overall agreement with the theoretical models and Monte Carlo predictions is observed. A search for inclusive production of the pentaquark theta+(1540) in two-photon collisions through the decay theta+ -> proton K0s is also presented. No evidence for production of this state is found.
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