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First London Securities plc (FLSP)


Friday 12 September, 2008

First London Securities plc

Statement re Transactions and Trading update

 First London plc Withdraws from Asset Management Acquisition, Enters Memorandum
                  of Understanding and Provides Trading Update

First  London plc today announced that it has rescinded the purchase of  certain
asset management businesses from the Belgravia Financial Services Group Limited.

First  London has enacted its right to rescind the contract pursuant to  various
breaches  of warranty as well as various repudiatory breaches of the  conditions
of the contract.

The  transaction  that  was initially announced on  the  9  June  2008  was  the
agreement  of  4  June 2008 for the assignment of the benefit of  the  following
asset  management  contracts: Belgravia Property Funds (Europe)  Ltd,  Belgravia
European  Income  Fund  Ltd,  Belgravia IFN China Property  Fund  PC,  Belgravia
European  Logistics  Fund PC, Belgravia Atherstone India Real  Estate  Fund  PC,
Belgravia Global Property Fund PC, and Belgravia Gold & Resource Fund LP.

Under  the  terms  of  the  agreement these asset managers  remained  under  the
management of Belgravia until all requisite approvals had been obtained. Due  to
the  failure to obtain requisite approvals and multiple breaches of the contract
and its warranties First London has enacted its right to rescind the contract.

For  the  purpose  of clarity, the Company can confirm that this  event  has  no
effect  on the financial information contained within the financial results  for
year  end 31 March 2008 announced on 13 August 2008 nor does it have any  effect
on the ongoing business of First London.

The  purchase consideration for the transaction consisted of 46,000,000  shares,
36,000,000 of which were to be issued into escrow immediately and 10,000,000  to
be  issued  after  certain additional conditions were met. As a  result  of  the
rescission  of the contract the 36,000,000 shares issued into escrow  have  been
cancelled  and  the  obligation  to issue the additional  10,000,000  shares  is

The  result of the above actions has the following effect on the 3% shareholders
of the company and on Directors shareholdings. The issued share capital will now
be 88,663,459 shares.

                                                Number of shares                  Percentage

              Condor Ventures Limited             21,000,000                        23.68%
              Huntfield Investments Limited        4,000,000                         4.51%
              Atlantic Law (Nominees) Ltd          2,848,055                         3.21%
              WB Nominees    Limited               6,000,000                         6.76%
              Beme Capital Limited                 5,330,000                         6.01%
              Innovation Capital Limited           4,524,000                         5.10%

              Directors Holdings:

              Name                           Number of shares    Percentage              Options

              Robert Barker                             0             -                  300,000
              Theresa Dowling Phillips                  0             -                  300,000
              Guy Saxton                        1,000,000            1.12%             1,000,000
              Andrew Turner                     1,000,000            1.12%             1,000,000
              Andrew Cosentino                          0               -                 50,000
              Nicholas Chance                         0                  -                     0
              Tim Yeo                                 0                  -                     0

              TOTAL                             2,000,000            2.24%             2,650,000


First London has signed a memorandum of understanding with regards to a material
transaction   which it intends to enter into within the next  10  days.  Further
details will be released to the Market in due course.


First  London also announces that, despite tough economic conditions, it expects
to beat its targeted profits estimate of £20m after tax for the six month period
ending 30 September 2008 (22.5 pence per share).

The  Directors  of First London accept responsibility for the  content  of  this

For further information please visit or contact:

First London plc                            Tel: 020 7451 2466
Guy Saxton

Axiom Capital Limited                       Tel: 020 8455 0011
David Sinclair

Tavistock Communications                    Tel: 020 7920 3150
John West                                                                                                                                                                                                                                    

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