Closure of Games Publishing

Zoo Digital Group PLC
05 April 2006


5 April 2006

                             ZOO DIGITAL GROUP PLC
                             ('ZOO' or 'the Group')

            Closure of Games Publishing Business and Sale of Assets

Further to the statement issued on 1 February 2006 outlining the strategic
review of the Group, ZOO announces that it has re-focused ZOO Digital Publishing
('ZDP'). ZOO will now concentrate its publishing activities on the creation and
publication of interactive DVD-Video ('iDVD') titles and have renamed this
division of the business ZOO Interactive Video Ltd ('ZIV'). ZOO's activities
going forward consist of ZOOtech, the R&D and DVD-EXTRA software licensing
division of the Group, and ZIV.

ZOO has resolved to close its traditional games publishing business and has sold
the remaining assets to Barry Hatch, former Sales Director of ZDP, for a cash
consideration of £250,000. He will also assume ten members of the publishing
staff as part of the sale agreement. The remaining members of staff have been
made redundant which also sees the closure of ZOO's game development studio in
Bristol and completes ZOO's exit from traditional games development and
publishing.

The development of ZOOtech now represents the main focus for ZOO moving forward.
The Board believe that the prospects for the development of its unique DVD
software remain sound and are encouraged by the continuing commercial
opportunities that the Hollywood market presents.

                                    - ends -

Enquiries:

Stuart Green 
CEO, ZOO Digital Group plc 
0114 241 3700 

James Chandler
Weber Shandwick Square Mile
07771 787098/020 7067 0747

Alasdair Robinson
Noble & Company Limited
0131 225 9677

Notes to Editors:

About ZOO Digital Group PLC
ZOO is divided into two separate divisions; ZOOtech Ltd ('ZOOtech') and ZOO
Interactive Video Ltd ('ZIVL') (formerly ZOO Digital Publishing Ltd ('ZDPL')).

ZOOtech Ltd ('ZOOtech')
ZOOtech focuses on R&D and licensing of DVD-EXTRA, the Group's highly original
development software capable of creating complex interactive content for
standard DVD players. The strategy for ZOOtech is simple; to create the industry
standard tool for the production of interactive DVD content and drive revenues
through licensing worldwide in a combination of up front fees and royalties.

ZOO Interactive Video Ltd ('ZIV')
ZIVL is a world leader in the production of interactive video entertainment. It
acquires rights and sub-licenses the finished iDVD products for distribution
through video 'majors', or it provides specialist interactive video production
services to others. . ZIVL utilizes DVD-EXTRA Studio to produce all its award
winning titles.




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