Disposal of assets

Canisp PLC
19 January 2005


                     Canisp plc (Canisp' or 'the Company')

                Disposal of assets by subsidiary ('Disposal')


Canisp announces that its subsidiary, The Airtime Group Limited ('TAG'),
yesterday sold to Seven Telecom Limited ('Seven') TAG's contracts and customer
base relating to pre-paid and post-paid calling cards. Seven is a subsidiary of
Envesta Telecom plc, another AIM company.

The consideration receivable by TAG is £340,000 in cash of which £120,000 was
paid yesterday, £120,000 is payable in three months and the balance of £100,000
is payable in six months. The sale price may be adjusted according to an agreed
formula relating to the profitability of the underlying revenue streams
generated by the transferred contracts and customer base in the period 1
February 2005 to 31 July 2005. The adjustment, either up or down, will be
effective if the annualized gross profit from the transferred contracts and
customer base fluctuates more than ten per cent from the projected gross profit.

The Company has guaranteed TAG's obligations to Seven in the Disposal agreement.
These obligations, principally, relate to the possible clawback of purchase
consideration if there is a downwards adjustment, using the above formula, in
excess of £100,000.

The Disposal is consistent with the Company's objective as set out in its
interim results issued on 22 December 2004. At that time it was stated that TAG
had recently acquired certain fixed line customer bases, that certain further
acquisition opportunities were being pursued, and that the Board had under
active review a possible restructuring of TAG's other activities.

This Disposal completes the implementation of the first stage of Canisp's
business model. The group now concentrates on the provision of fixed line
telephony services predominantly to the SME Market, including wholesale line
rental. This is the core business that the Board wished to build as stated in
Canisp's AIM admission document of 6 October 2003. The Board believes that the
recent acquisitions and the Disposal provide a sound platform from which to
expand both organically and through further acquisitions.


Contact: John Bick, Holborn tel: [phone]



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