Acquisition of Cyoshi Mobile

Mobile Streams plc
20 April 2006


20 April 2006


Mobile Streams acquires Cyoshi Mobile to expand European mobile video content
and distribution


Mobile Streams Plc, ('Mobile Streams' or 'the Company'), the mobile media
specialist, announces the acquisition of Cyoshi Mobile GmbH ('Cyoshi') for a
total consideration of €3m to be paid €2m in cash and €1 in Mobile Streams
shares. Based in Germany, Cyoshi is a leading independent producer and
distributor of mobile media - especially video content - across Europe. The
acquisition will strengthen Mobile Streams' footprint across mainland Europe and
provide them with direct access to exclusive mobile content.

Cyoshi Mobile, which was formed as a subsidiary of the television and film
production company Cyoshi Crucial GmbH, develops, licenses, produces, aggregates
and distributes branded content and applications for wireless devices and is a
leader in the field of made-for-mobile content production. The company offers
premium content and solutions that specifically address the requirements of the
emerging mobile video and mobile TV market.

Cyoshi has pioneered the introduction of short-form animated cartoon content
that has proven to be highly popular on mobile phones, and successfully took the
cult internet series 'Happy Tree Friends' onto mobile. Its portfolio of
exclusive content includes other cartoon shows such as 'Suicidal Squirrels' and
'Joe Cartoon'.

Furthermore, Cyoshi Mobile has exclusive rights for mainland European
distribution of the Australia based mobile community FunkySexyCool ('FSC').
Labelled 'the largest party on your mobile', FSC is a unique viral community
concept which combines elements such as live chat, messaging, photo and video
profiles with a unique voting system. Cyoshi Mobile also has licensed rights to
the Holy Bible scriptures for mobile content in 22 languages. The application
allows mobile phone users the choice between linear reading and targeted
sections from both the Old and the New Testament.

Cyoshi Mobile has a strong distribution network throughout Europe, including
existing direct relationships with Vodafone, T-Mobile, Hutchison 3G, and
numerous other operators to supply content throughout Eastern and Western
Europe.

This acquisition reaffirms Mobile Streams' stated goals during its recent
listing in London to enhance its portfolio of exclusive content and develop its
international presence in selected markets.

The three founding members of Cyoshi Mobile GmbH - Christoph Reisner, Arnd
Aschentrup and Steffen Heisterberg - will continue to run the business within
Mobile Streams. Christoph will become EVP Mobile Streams Europe, whilst Arnd and
Steffen will remain in senior roles responsible for finance and content. Cyoshi
Mobile will be renamed Mobile Streams Europe and will be responsible for all
Mobile Streams' business in mainland Europe, Africa and the Middle East.

Cyoshi will immediately commence powering their business using Mobile Streams'
Vuesia platform.

Simon Buckingham, Mobile Streams CEO said: 'This complementary acquisition
accelerates our strategy in several important ways - it extends our operator
distribution footprint from the UK across both continental and Eastern Europe
while also accelerating our content strategy by adding compelling licensed
content.'

Buckingham added, 'Cyoshi's content and TV production background will also
strengthen Mobile Streams' leadership in the fast growing mobile video sector of
the mobile media market. Most importantly, the Cyoshi employees share our
excitement for the sector and I look forward to working with them all as we grow
our businesses together.'

Christoph Reisner, Cyoshi, said: 'We are delighted to join Mobile Streams'
fast-growing portfolio and to have found like-minded entrepreneurs in the
wireless industry. We look forward to creating more lively content to entertain
mobile users throughout Europe.'

DVDs of content are available on request.


Enquiries

Mobile Streams
Simon Buckingham
Jitesh Sodha

Cyoshi Mobile
Christoph Reisner
Nadine Brokmann                                                [phone]

Brunswick Group
Laura Cummings/Dominic McMullan                                 [phone]



About Mobile Streams

Mobile Streams is a leading provider of music, comedy, sport and entertainment 
content on mobile devices, supplied to mobile phone networks globally including 
Vodafone and 3 in the UK, America Movil, Movistar & TIM in Latin America, Fido & 
Rogers in Canada and Dobson in the US. 

The Company creates, licenses and delivers quality content to Mobile Network 
Operators (MNOs) and consumers in the form of ringtones, graphics, video clips 
and other products. It has developed relationships with both content owners and 
MNOs which enable it to act as an intermediary, providing an end-to-end service 
encompassing a broad range of elements from content licensing to content 
production, account management and channel management. 

'Vuesia' is Mobile Streams' full service enterprise mobile media management 
solution. 'Vuesia' facilitates content ingestion, management, delivery, billing 
and reporting.

Mobile Streams has subsidiaries in the US, Argentina, Brazil, Mexico, Chile and 
Colombia and has approximately 80 employees.

For more information please go to www.mobilestreams.com 


About Cyoshi Mobile

Cyoshi Mobile GmbH, a subsidiary of Cyoshi Crucial GmbH, is a leading European
provider of Mobile Entertainment. Cyoshi Mobile develops, licenses, produces,
aggregates and distributes the complete spectrum of content and applications for
wireless devices. The company acts as the mobile distribution partner of choice
for globally renowned content brands. For more information please visit the
company's website at www.cyoshimobile.com.


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