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Media Holdings PLC (MDHP)

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Friday 30 May, 2008

Media Holdings PLC

Issue of Equity


                              MEDIA HOLDINGS PLC                               

         ISSUE OF EQUITY AND ACQUISITION OF FURTHER STAKE IN PARKGREEN         

The Board of Media Holdings plc (the "Company") announces that it has today
entered into an agreement to purchase a further 1,000 shares in Parkgreen
Communications Limited ("Parkgreen"), meaning it now holds a total of 1,490
shares. Prior to 31 January 2008, the 490 shares it had held gave it a 49 per
cent. holding in Parkgreen, but on 31 January, the holder of a convertible loan
note, Rusape Limited ("Rusape"), a private company registered in the British
Virgin Islands, exercised its conversion rights in order to strengthen
Parkgreen's balance sheet after a series of writedowns. The conversion gave
Rusape 2,000 shares equating to approximately 66.6 per cent. of Parkgreen's
issued share capital.

The Company is acquiring the 1,000 shares in Parkgreen in order to retain a
sizeable equity stake in Parkgreen, and, following the acquisition, will hold
approximately 49.7 per cent. of Parkgreen's issued share capital, which equates
closely to the percentage holding it had prior to the conversion of the loan
notes by Rusape. The purchase price for the 1,000 shares in Parkgreen is
55,000,000 new ordinary shares in the Company at a price of 0.85p per share,
together with a convertible unsecured loan note for £182,500. Interest on the
convertible unsecured loan note is payable at a rate of 6 per cent. per annum.
Conversion will be at the option of Rusape and will be at a rate of 100 new
ordinary shares in the Company for every £1 of loan outstanding at the point at
which Rusape wishes to convert.

Following the above issue of equity, the Company's newly enlarged issued share
capital is 185,283,333 ordinary shares of 0.5 pence each.

For further information, please contact:

Media Holdings plc                      01732 836180                           
                                                                               
Vince Nicholls, Director                                                       
                                                                               
Dowgate Capital Advisers Limited        020 7492 4777                          
                                                                               
James Caithie                                                                  

The Directors of the Company take responsibility for this announcement.


                          

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