02 May 2012
MobileWave Group plc
("MobileWave" or the "Company")
Update on litigation and funding
The board of MobileWave wishes to update shareholders as to current position with regard to the litigation between the Company and Devin Narang, funding and the acquisition of Ariose Software.
Litigation
Legal action against Devin Narang continues. As shareholders are aware, separate actions have been instigated against Mr. Narang in both the English and Indian courts. Judgement against him has been granted in the English courts in the amount of £1,045,010.11 including interest to the date of judgement which was 21 September 2010 and costs. A bankruptcy order against Mr. Narang is being sought and the board expects to be in a position to further update shareholders in the near future.
Funding and Ariose Software
The Convertible Preference Share funding previously announced has not yet been received. Rory Stear, Chairman and CEO of the Company, met with the investors in Asia in the recent past and was assured that they would soon be in a position to fulfil their contractual obligation to the Company. Their investment is predicated on them receiving substantial funding from a separate transaction in their core business. The Company was assured that despite the numerous delays to finalising this, the conclusion of this transaction was imminent.
The conclusion of the Ariose Software acquisition is conditional upon receiving these funds. Rory Stear remains in close contact with the vendors and management of Ariose Software and both parties remain committed to concluding this transaction.
Shareholders will be kept informed on progress with regard to these three important issues and a further announcement will be made as soon as practicable.
For further information, please contact:
MobileWave Group plc rstear@mobilewave.com
Rory Stear, Chairman
Charles Stanley Securities 020 7149 6000
Nominated Adviser & Broker
Dugald J.Carlean / Carl Holmes
