Termination of MChex agreement and closure of operations

21 May 2007
NetPlay TV plc announces that the agreements between MChex Limited and MobileATM Limited have been terminated with immediate effect

The MChex business has been incurring substantial losses since acquisition, £542,000 in 2005 and £501,000 in 2006. In December 2006, an in-depth review of the business was initiated with a view to selling the business. Despite a number of enquiries, however, the Company has to date not received any firm offers for the MChex business. As a result of the termination of the agreements with MoblieATM Limited, NetPlay TV plc has therefore taken the decision that MChex Limited should cease to trade.

As a direct result, the current cash losses of the business, which are in excess of £25,000 per month, will be saved. Following the closure of the business an exceptional charge of £800,000 will be made in respect of the carrying value of the company and the cost of closure of the business.

The directors believe this action brings certainty, allowing it to focus on building NetPlay's interactive gaming business.


For further information contact:

Martin Higginson
Chairman and Chief Executive
020 7299 2880

Pat Greene
Finance Director