Placing

Delling Group PLC
20 June 2006


For Release                          7:00 am                        20 June 2006


                                DELLING GROUP PLC
                    The AIM-listed marketing services group

                              £4.7 million Placing


Delling Group PLC ('Delling' or 'the Company'), the AIM-listed integrated
marketing support services company, announces that it has raised £4.7 million
before expenses by way of a placing of 59,473,436 new Ordinary Shares ('Placing
Shares') at a price of 8 pence per Ordinary Share ('Placing Price').  The
placing of 49,254,686 of the Placing Shares is conditional on the passing of
resolutions authorising the allotment and issue of such shares at the annual
general meeting of the Company to be held on 12 July 2006.

Seymour Pierce has, as agent for Delling (and conditional on satisfaction of the
above condition in relation to 49,254,686 Placing Shares), procured subscribers
for 42,182,336 Placing Shares at the Placing Price and those Placing Shares are
being placed by Seymour Pierce with institutions and other investors.

As a demonstration of his commitment to the Company, Aksel Bratvedt and David
Krucik will subscribe for 1,250,000 Placing Shares and 187,500 Placing Shares
respectively in the Placing and these shares will form part of the Second
Tranche (as defined below). Following completion of the Placing (and assuming
the resolutions are passed at the AGM), Mr Bratvedt and Mr Krucik will hold
6,320,268 and 337,246 shares in the Company respectively representing 4.73% and
0.25% respectively of the total issued share capital.

Bjart Dysthe, who is already a substantial shareholder in the Company, will
subscribe for 18,148,425 Placing Shares in the Placing, 6,898,425 of which will
represent satisfaction of £552,000 worth of loans which had been previously made
by him to Delling. These shares will form part of the Second Tranche.  Following
completion of the Placing (and assuming the resolutions are passed at the AGM),
Mr Dysthe will hold 36,523,917 shares in the Company representing 28.49% of the
issued voting share capital.  The Directors consider, having consulted with
Seymour Pierce (the Company's nominated adviser), that the terms of the
transaction with Mr Dysthe are fair and reasonable insofar as the shareholders
of the Company are concerned.

In total, existing shareholders are subscribing £1.4 million for 17,291,100
Placing Shares in the Placing in satisfaction of existing shareholder loans,
which will generate a balance sheet with more than £5m in equity. These shares
will form part of the Second Tranche.

Admission of the Placing Shares to trading on AIM is expected to take place as
follows:

  • in respect of 10,218,750 Placing Shares (the 'First Tranche') on or about
    Monday 26 June 2006 (the 'First Admission') and application will be made for
    dealings in the First Tranche to commence on or about that date; and

  • conditional on the passing of the necessary resolutions at the AGM, in
    respect of the balance of the Placing Shares (the 'Second Tranche') on or
    about Monday 17 July 2006 ('Second Admission') and application will be made
    for dealings in the Second Tranche expected to commence on or about that
    date.

The Board considers this Placing an important step in the evolution of Delling
Group, whose strategy includes taking advantage of consolidation within the
fragmented industry sector in Scandinavia in which it operates. The net proceeds
of the Placing will be used to strengthen the balance sheet which should in turn
enable the Company to obtain further bank financing to fund, inter alia, the
group's acquisition programme.

Aksel Bratvedt, Executive Chairman of Delling Group commented:

'Since listing in October 2004, five companies and have been acquired at an
average p/e of 4 and successfully integrated into the Delling concept. These
companies, together with the existing business in Sweden have generated
contracts with a turnover of more that £5million per year.

This fundraising has positioned Delling to take advantage of further
opportunities and also strengthened its financial position. Although at a
discount to the current share price we strongly believe that the funds received
will generate more shareholder value than maintaining the status quo.'

ENDS


For further information please contact:

Contact:
Delling Group Plc
Aksel Bratvedt, Executive Chairman                   Tel: [phone]
Geir Lolleng, Chief Executive Officer                Tel: [phone]
James Robinson, CFO                                  Tel: [phone]

Tarquin Edwards/Peter Binns                          Tel: [phone] / 4760


                      This information is provided by RNS
            The company news service from the London Stock Exchange