Tangibal is pleased to announce that it has entered into a US$5,000,000 revolving loan agreement ("Loan Agreement") with a US based credit fund Trafalgar Capital ("Lender") under which it has drawn down an initial tranche of US$600,000 ("Loan").

The Loan has an initial term of six months (subject to a six month renewal option) and is repayable in cash or in shares at the Company's option and, if in shares, then pursuant to a Committed Equity Facility also entered into with the Lender.

Dominic Brookman, CEO, commented: "We are pleased to have the support of an established institutional lender. These new facilities provide the Company with efficient and flexible funding of our working capital requirements for the roll out of our network."

The Company intends to apply the proceeds to increasing its digital advertising screen networks in shopping centres in the UK and India. The company is aiming for a UK network of in excess of 500 digital screen locations and in India in excess of 1,000 digital screen locations.

The Loan is secured over the assets of the Company, and certain subsidiary companies, and may be prepaid without penalty. There is also a facility fee of 4% payable to the Lender. The Committed Equity Facility provides for the Lender to subscribe for up to US$1,000,000 of ordinary shares of the Company over a term of three years. The timing and amount of advances are at the Company's discretion.

Shares sold under the Committed Equity Facility are priced at 95% of the prevailing market price on during a 5-day pricing period. The proceeds of any shares issued pursuant to the Committed Equity Facility are to be applied half towards any sums outstanding under the Loan Agreement and then for the general corporate purposes of the Company. In connection with the Loan Agreement and the Committed Equity Facility there is payable to the Lender a Loan Services fee payable in shares of US$150,000. Such shares shall be issued at the volume weighted average price on the day immediately preceding their issue. The Lender has entered into an orderly markets undertaking with the Company under which the disposal of such shares is regulated.

Tangibal Group plc
Dominic Brookman

+44 207 754 0459

Plumtree Capital Limited (Financial Advisor)
+44 207 183 2493
Stephen Austin

The directors of Tangibal accept responsibility for the information contained in this announcement relating to Tangibal. To the best of the knowledge and belief of the directors of Tangibal (who have taken all reasonable care to ensure such is the case), the information contained in this announcement is in accordance with the facts and does not affect the import of such information.

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