EGM Statement

IQE PLC
10 December 2001


NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN THE USA, CANADA, AUSTRALIA OR
JAPAN


10 December 2001


                           IQE plc (' the Company')


                   Result of Extraordinary General Meeting


Placing and Open Offer of 13,152,247 new ordinary shares of 1p each in the
Company at 155p per share

At the Extraordinary General Meeting held earlier today, the Resolution to
approve the Placing and Open Offer was duly passed.

In connection with the Placing and Open Offer, Beeson Gregory Limited as
stabilising manager may over-allot or effect transactions that stabilise or
maintain the market price of the ordinary shares of the Company at a level
which might not otherwise prevail in the open market. Such stabilising
transactions, if commenced, may take place from 8.00 am on 12 December 2001
until the close of business on Friday 11 January 2002 and may be discontinued
at any time.

Beeson Gregory Limited, which is regulated by the Financial Services
Authority, has approved publication of this document for the purposes of
section 21 of the Financial Services and Markets Act 2000.


Further Information

Dr Drew Nelson, IQE                                   02920 839 400

Matthew Wood, Beeson Gregory                          020 7488 4040