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XL TechGroup, Inc. (XLT)


Tuesday 29 May, 2007

XL TechGroup, Inc.

TyraTech IPO placing

XL TechGroup, Inc.
29 May 2007

Press Release                                                        29 May 2007

                               XL TechGroup, Inc.

                       ('XL TechGroup' or 'the Company')

                     TyraTech raises £25 million in AIM IPO

XL TechGroup (AIM: XLT), the systematic architect and builder of an ongoing
stream of high value new companies, is pleased to announce that its second
company, TyraTech Inc. ('TyraTech') (AIM: TYR), the pioneer of safer, effective
and natural pesticide products, has published its admission document relating to
its placing and admission to trading on AIM.

TyraTech has completed a placing of ordinary shares with institutional
investors, raising £25 million (US$49.7 million) before expenses.  The proceeds
will be used by TyraTech to facilitate product development and
commercialisation, enhance its product support operations, and to repay existing
debt obligations, including approximately US$10.9 million owed to XL TechGroup.

Based on the 500p placing price, the market capitalisation of TyraTech is
anticipated to be approximately £110 million (US$219 million) at the
commencement of dealings which is expected to be on 1 June 2007.  As part of its
stated goal of maintaining a controlling interest in all its companies after
AgCert International, and to also affirm its commitment to TyraTech, XL
TechGroup has subscribed for 500,000 new TyraTech shares at the 500p placing
price.  XL TechGroup has not sold any TyraTech shares and therefore the Company
will hold a 47.92% interest in TyraTech following this placing.

Dr. John Scott, CEO of XL TechGroup, said: 'We are delighted that our continuing
process of significant value creation has again been validated by TyraTech's
successful IPO on AIM.  Our confidence in TyraTech is underpinned by the fact
that we have not sold any shares as part of the IPO placing, and have instead
subscribed for new shares to cement our ongoing commitment.  We are supportive
and enthusiastic shareholders of TyraTech, which is addressing a significant
global market need for safer, effective all-natural pesticides in conjunction
with major multinational partners like Syngenta and Kraft.

We are also pleased that shareholders of AgCert International approved all
resolutions last week in relation to a successful placing of approximately £20.5
million, as well as the capitalisation of debt, including £2.73 million owed to
XL TechGroup.  AgCert now has the funds it requires to implement its revised
business strategy which we are confident will deliver at least the same emission
reduction delivery programme as previously anticipated, but with a significantly
reduced capital funding requirement, and enable AgCert to move through to self

Finally, we are delighted to report that the XL TechGroup Company Day held in
London on 23 May 2007, which gave the financial community an opportunity to meet
each of our portfolio companies and their respective CEOs, was a considerable
success and we would like to thank all the attendees for their interest.'

                                    - Ends -

For further information:
XL TechGroup Inc.
John Scott / Harold Gubnitsky                               Tel: +1 321 409 7403
[email protected]
Chris Munden, Director of Investor Relations           Tel: +44 (0) 20 7398 7720
[email protected]                                   

Nomura Code Securities
Richard Potts, Corporate Finance                       Tel: +44 (0) 20 7776 1200

XL TechGroup media enquiries:
Abchurch Communications
Heather Salmond / Gareth Mead                          Tel: +44 (0) 20 7398 7700
[email protected]              


About XL TechGroup

XL TechGroup is in the business of significant value creation.  Working with
major international corporate and technology partners such as AES, Procter &
Gamble and leading universities, XL TechGroup first identifies global unmet
market needs and then targets and exploits these by the systematic creation of
successful, disruptive technology businesses.  These are built from scratch, and
are then funded and developed by XL TechGroup through to the point of a trade
sale or a stock market listing.

XL TechGroup's unique and proven methodology selects the best opportunities in
order to create one-to-two new companies annually, where each company is
expected to achieve a realisable valuation of at least US$400 million within
four years from its creation.  While an XL TechGroup company might perform a
stock market listing at an earlier point in this four year timeframe, XL
TechGroup would retain its controlling interest and would continue to assist
with the company's development.

XL TechGroup's companies to date are: AgCert International plc (,
TyraTech Inc. (, DxTech LLC (, PetroAlgae LLC
( and QuoNova LLC (

XL TechGroup has also established GenXL LLC ( as a joint venture to
capture the value of those prospects that do not quite meet the US$400 million,
four year criteria but still demonstrate considerable potential worth.  Over and
above XL TechGroup's core business model, GenXL will review a significant flow
of opportunities from both XL TechGroup and GEN3 in order to generate new
companies, standalone product lines and technology licensing opportunities or an
appropriate mix of these.

For further information, see

About TyraTech

TyraTech is pioneering a new class of highly effective, non-toxic, pesticides
and anti-parasitic compounds to address global agriculture, horticulture,
functional foods, healthcare and veterinary markets.  Using a revolutionary
chemoreceptor screening process, TyraTech has identified natural oils that
stimulate the reactions and biological behaviour of insects and parasites so
that they can be effectively repelled or killed.  TyraTech's technology prevents
the development of resistance and avoids the environmental concerns and human
health risks of chemical solutions whilst still being at least, if not more,

The Company's products have been validated through strong partnerships with
multinational conglomerates operating within a growing US$30 billion worldwide
market that is being increasingly driven by environmental legislation and
end-user demand.

TyraTech's discovery platform has been tested and verified by global
corporations and independent laboratory test facilities around the world.  These
test results include total mosquito lavicidal mortality in one hour, mosquito
repellent at least equal to DEET, full head lice mortality in less than five
minutes and complete intestinal parasite mortality in five minutes, amongst

TyraTech continues to develop new product applications based on safe, natural
ingredients with a broad range of partners around the world.

For further information, see

                      This information is provided by RNS
            The company news service from the London Stock Exchange                                                                                                            

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