Joint venture with the Hippodrome Casino (“Hi...

Joint venture with the Hippodrome Casino (“Hippodrome”) and placing of 32,400,000 shares at a price of 1.1p per share

Media Corporation PLC

26th January 2012

Media Corporation Plc
("Media Corp" or the "Group")

Joint venture with the Hippodrome Casino (“Hippodrome”) and placing of 32,400,000 shares at a price of 1.1p per share

Media Corp to provide online gaming to the new Hippodrome Casino

Media Corp, a leading gaming and advertising Group, is pleased to announce that it has today signed a contract with the Hippodrome, www.hippodromecasino.com to provide a suite of online gaming products, including online casino and poker games to the soon to be launched Hippodrome Casino. The Hippodrome Casino is a £40 million redevelopment of an iconic and historic venue to create a 90,000 square foot “international style casino” in the heart of London’s West End. The new venue will have three gaming floors, a restaurant run by the One Group, 5 bars, a 2 tier smoking terrace and poker room as well as a 200 seat cabaret theatre and is anticipated to receive approximately 1 million visitors in its first year of operation.

The joint online venture which is on a revenue sharing basis is forecast to generate approximately 100,000 new customers per annum. Cash deposits in the first year of the contract are forecast to be circa £12 million in the first 12 months from launch on April 1^st 2012.

The contract stipulates that Media Corp will provide a Hippodrome Casino branded online offering initially providing an online casino and poker. Further gaming products including Sports betting and Bingo will be added through the course of the year. Media Corp will maintain the software, all financial transactions and 24/7 customer support for the new venture. In addition, Hippodrome Casino customers will be able to make cash deposits and withdrawals from their online accounts through the actual Casino venue and the Directors believe this is a unique service in the UK casino market.

The new service will be heavily promoted by the Hippodrome Casino across a wide range of the Media, which will include outdoor, television and printed Media. In addition, there will on-site promotional vouchers and media at the physical casino offering extensive promotions to sign up and play online, and the casino will host off line finals for the online tournaments and offer a clubhouse for online customers.

In addition, the Company is also pleased to announce the placing of 32,400,000 ordinary shares of 1p shares at a price of 1.1p per share (the “Placing”) raising a total of £356,400. The proceeds of this will be used to fund the initial set up costs of the Hippodrome Casino joint venture.

Included in the above placing, Justin Drummond, CEO of Media Corporation Plc acquired 2,400,000 Ordinary 1 Pence shares at 1.1p per share. Following the Placing Justin Drummond will have the following interest in the Company.

Director	Â	Total number of shares held	Â	Percentage of issued share capital held
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Justin Drummond, CEO ***		26,903,907		7.55%

***Justin Drummond’s holding comprises a direct holding of 24,117,241 ordinary shares and an indirect holding of 2,786,666 ordinary shares held by his wife

Following the issue of the new ordinary shares, the enlarged issued ordinary share capital of the Company is 356,516,039 ordinary shares of 1p each. This figure may be used by shareholders as the denominator for the calculation by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FSA's Disclosure and Transparency Rules.

Application will be made for the Placing shares to be admitted to trading on AIM. It is expected that Admission will be effective and that dealing in the shares will commence on 31 January 2012.

Justin Drummond, CEO, Media Corporation plc, commented:

“This is a major deal for Media Corp, which will see the scale of Media Corp’s online gaming business grow enormously. Whilst we already have a sizeable business in online poker, growth of our online casino business has been a particular focus for the Group. The deal will major step change for Media Corp as we build a significant presence in the UK and international online gaming market. The Board is also delighted that the placing to the maximum amount of the share authority was oversubscribed, demonstrating the belief that investors have in our continued growth.”

Simon Thomas, Chairman, Hippodrome Casino:

“We are very excited about working with Media Corporation. We are creating something special with the Hippodrome that should start a new era in gambling led entertainment in the UK. We needed an online partner that was doing something special with online casinos, who reflected our standards and desire to do the basics superbly, but add a layer of fun and flair and we are proud to have Media Corporation as our online partner. Together we should be able to create something larger than the sum of the parts and give a new dimension to both businesses.”

--ENDS--

Contacts:

Media Corporation Plc	Â	Â	Â	Tel: [phone]
Justin Drummond - CEO
Nilesh Jagatia – Group Finance Director
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Northland Capital Partners Limited				Tel: + 44 20 7796 8800
Luke Cairns / Rod Venables (Nomad)
Katie Shelton (Joint Broker)
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XCAP Securities				Tel: + 44 207 101 7070
John Grant / Karen Kelly (Joint Broker)
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Bishopsgate Communications				Tel: + 44 20 7562 3350
Deepali Schneider / Natalie Quinn
[e-mail]

Notes to editors:

Quoted on the AIM market of the London Stock Exchange, Media Corp is a leading online gaming and media group.

The Group has two principal divisions:

Online Gaming – Media owns Purple Lounge, www.purplelounge.com a leading European online poker casino operator. With over a 120,000 registered customers, Purple Lounge provides an excellent user experience through a combination of the latest technology and best in class customer service.

Advertising Network – Eyeconomy specialises in mass reach campaigns to up to 50 Million unique consumers per month via its own proprietary ad-serving and tracking technology for clients including AOL, Dell and American Express, www.eyeconomy.co.uk

Further information can be found on the company's website, at www.mediacorpplc.com