Acquisition of FEDS and LIMIT & Issue of Eq...

MILESTONE GROUP PLC

                Acquisition of FEDS and LIMIT & Issue of Equity


Milestone  Group PLC  ("Milestone" or  the "Company"),  the AIM quoted (AIM:MSG)
provider  of digital media and technology  solutions, is pleased to announce the
acquisition  of the  Facilitated Electronic  Data System  ("FEDS") and  the Live
Incident  Management Interactive Trainer ("LIMIT")  from BGP Global Services Ltd
("BGP")  for a  consideration of  £65,000 to  be satisfied  by the  issue of new
ordinary shares in the Company.

FEDS  is an innovative and bespoke web  application that can currently be run on
portable  networked computer systems. On  8 April 2011, Milestone announced that
BGP  had  issued  an  exclusive  perpetual  licence  of FEDS to its wholly owned
subsidiary,  OnSide Now Limited, for the use  in the UK community sports sector.
The  transfer of ownership  of FEDS to  Milestone completes this transaction and
allows Milestone to apply the system in other sectors.

LIMIT  is an  immersive training  platform for  use within crisis management and
other  training  media.  The  platform  assesses  an  organisation's  policy and
procedures  with regards to incident management to test the response to a crisis
or  other potentially disruptive  incidents. It is  a fully interactive platform
that  during a  simulated exercise  will give  various decisions determining the
progress  and next scenario. Each scenario is  tailor made to meet the needs and
objectives of the organisation.

The  two directors of BGP, Wilf Pickles  and Alan Cammidge, will be working with
Milestone  to convert  the product's  existing pipeline  business and to develop
these  products independently.  Revenue in  excess of  £150,000 has already been
generated  via the sale of  these two products and  proofs of concepts have been
completed   within   law   enforcement,   government,  local  authority,  sports
organisations and the corporate sectors.

Milestone  will use  its proprietary  cross-platform mobile  software and mobile
technology  expertise  to  further  enhance  the  capability  of FEDS and LIMIT,
thereby increasing the potential market of these products.
Prior  to moving to  the private sector,  Wilf Pickles was  a successful manager
within  the UK's largest policing organisation. He has over 30 years' experience
in  matters pertaining to  law enforcement, crime  prevention, community safety,
corruption   and   risk   management  in  a  diverse,  dynamic  and  challenging
environment.
Alan  Cammidge is  a former  Scotland Yard  detective, who  was involved in many
national   and   international  investigations  during  30 years'  distinguished
service.  Alan is  currently engaged  in capacity  building projects  in Africa,
Europe  and  the  Caribbean  and  has  expertise  in areas such as prevention of
serious and organised crime, corruption investigations and counter terrorism.
The  £65,000  consideration  for  the  acquisition  of  FEDS  and  LIMIT will be
satisfied  by the issue of  new ordinary shares in  the Company. The Company has
therefore  issued 6,500,000 new ordinary shares of 0.1 pence each in the capital
of  the Company ("Ordinary Shares") with an  issue price of 1 penny per Ordinary
Share  to BGP.  Following admission,  BGP will  hold, in  aggregate, 15,590,909
Ordinary  Shares,  representing  approximately  6.34 per  cent.  of the enlarged
issued share capital.

Deborah White, Chief Executive Officer of Milestone, said:
 "We are delighted to announce the Company's acquisition of FEDS and LIMIT. This
transaction brings the software used for projects such as OnSide in house and
allows Milestone to continue to develop new products in other markets. The
Company plans to enhance the existing web platform capabilities using
Milestone's mobile technology capabilities."

Wilf Pickles, Director of BGP, said:

"Milestone  has demonstrated its commitment to  Onside by the development of its
mobile  platform.  BGP  are  satisfied  that Milestones capabilities can further
enhance   the   FEDS  software,  and  bring  to  market  a  range  of  solutions
incorporating extended mobile-based application technology."


Issue of Equity

As  detailed above, the Company has  issued 6,500,000 Ordinary Shares at a price
of  1 penny  per  Ordinary  Share  to  BGP.  Application  has  been made for the
6,500,000 new  Ordinary  Shares  to  be  admitted  to  trading  on AIM, which is
expected  to occur on or around 8 August 2011. The new Ordinary Shares will rank
pari passu in all respects with the existing Ordinary Shares of the Company.


For further information:

 Milestone Group PLC

 Deborah White, Chief Executive                    Tel: [phone]



 Cairn Financial Advisers LLP, Nominated Adviser
 Liam Murray / Avi Robinson                        Tel: [phone]



 Hybridan LLP, Broker
 Claire Louise Noyce                               Tel: [phone]


 College Hill, PR
 Jamie Ramsay                                      Tel: [phone]








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Source: Milestone Group PLC via Thomson Reuters ONE

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