Lease exchanged on Merton freehold property

13 August 2014

                            Panther Securities PLC                             

                   ("Panther", the "Company" or the "Group")                   

                  Lease exchanged on Merton freehold property                  

Further to the announcement dated 5 August 2014, Panther announces that it has
exchanged agreements to lease on its freehold in Merton, which was previously
occupied by Wimbledon Studios Ltd (currently in administration).

Wimbledon Studios Ltd, in which Panther has a 25 per cent. interest, was
contracted to pay a concessionary rental of £490,000 per annum.  The cost of
changing from a fixed set filming location to a more modern multi-let
television and film studio proved far more costly than anticipated and took
longer to achieve viability than originally planned.  Panther could no longer
continue to support the business, as it felt the business would not reach
profitability in the medium term and it was requiring significant funds, which
the Panther Board could not justify for a business that was non-core.  When the
funding from Panther slowed, the directors of Wimbledon Studios Ltd took advice
and then decided to appoint administrators.  Panther has continued to support
the Wimbledon Studios situation providing the administrators with additional
funds, which has given them more flexibility on the close down, allowing for a
slower more controlled process, which should be less harmful and assist the
small and medium size businesses in the media village to find alternative
offices.

The agreement to lease is a UK television broadcaster who Panther believes is
expanding rapidly and has outgrown its current premises. 

The property is to be let at a rental of £1,050,000 per annum under a 15 year
lease, with tenant break options every 5 years.  As part of the leasing
agreement, the Group is contracted to replace the majority of the roof for £
500,000 and is also contributing towards the upgrading of the electricity
supply capacity, an amount up to £100,000.  The tenant is paying two and half
years rent in advance, which was a requirement due to the relative short term
certain (i.e. 5 years to the break) and the substantial expenditure required to
be undertaken to achieve the letting.

Completion of the lease is conditional on the completion of these works and
other less costly conditions, which the Panther Board believes are manageable
in the timeframe allotted to them.  The Group envisages completion in early
October 2014.

Immediately on completion of the roof works the tenant intends to implement
internal building improvements to upgrade the facilities at the property.  It
is also planning to bring 150 jobs from its existing premises.  This continues
the presence within the building of a film and television related operation,
which the building has been utilised for over the last 20 years, including
housing originally The Bill television police drama series.

Since the Merton property was purchased by Panther in 2010 there has been
strong growth in demand for London industrial property which has resulted in
value increases. 

Panther previously announced that it had a number of different enquiries for
the building and this letting was considered the most beneficial to the Group,
as it can retain the investment which the Panther Board believes has strong
potential growth.  Other than an offer from a developer, the other offers were
all conditional and did not look like they could be satisfied in the required
time scale.  This letting enables Panther to retain an attractive industrial
investment in a desirable London location, with a growing media tenant, where
the Panther Board believes there is an opportunity for further increase in
value. 

The Panther Board is delighted with this letting which will improve the Group's
headline annual rental income by £560,000, but will also increase annual
profitability by approximately £1,000,000, as previously the concessionary
rental income had been fully provided against. The rent from this tenant will
be approximately 8 per cent. of the Group's total rental income once the lease
is completed. 

Enquiries:

Panther Securities PLC                                                         
                                                                               
Andrew Perloff - Chairman                                    Tel: [phone]
Simon Peters - Finance Director                                                
                                                                               
Sanlam Securities UK Limited (Nominated Adviser and Broker)                    
David Worlidge/Simon Clements                                Tel: [phone]


   D