Director/PDMR Shareholding

IQE PLC
09 November 2007


                            IQE plc ('the Company')

                              DIRECTOR'S DEALINGS


IQE plc announces that 58,383 new ordinary shares have been issued to Gambit
Corporate Finance in settlement of the fees of the Non-Executive Chairman Dr
Godfrey Ainsworth for July to September 2007. Following this issue the total
number of ordinary shares in issue is 430,898,594. The shares will be allotted
and issued as detailed below:


Shareholder name               Shares issued                Average price

Godfrey H H Ainsworth          58,383                       17.61p


Following this issue, the Non-Executive Chairman of the Company Dr Godfrey
Ainsworth's total beneficial interest in the Company is 3,731,614 shares
representing 0.87% of the issued share capital. Dr Godfrey Ainsworth holds this
interest in IQE plc as an equity partner of Gambit Corporate Finance in respect
of 2,449,815 shares and as sole beneficial owner of the balance of 1,281,799
shares.

Application has been made to the London Stock Exchange for the shares to be
admitted to AIM.  Admission is expected to take place on Wednesday 14 November
2007.


Contacts

IQE plc                                                    [phone]
Dr Drew Nelson, President & CEO
Chris Meadows, Investor Relations

Noble & Company Limited                                    [phone]
John Llewellyn-Lloyd / Andy Yeo


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