Issue of Equity

RNS Number:6995L
Prezzo PLC
29 May 2003


                                   PREZZO PLC

                   PLACING OF 20,000,000 NEW ORDINARY SHARES


Prezzo plc ("Prezzo" or "the Company") is pleased to announce that it has raised
#6 million, before expenses, through a placing ("the Placing") with investors of
20,000,000 new ordinary shares of 20p each ("New Shares") at a price of 30 pence
per share. The Placing is conditional on admission of the New Shares to trading
on AIM.

The net proceeds from the Placing will be used by the Company to continue the
expansion of its restaurant chains.

Certain of the Directors of the Company have subscribed, in aggregate, 900,000
New Shares. Following these subscriptions, they have the following beneficial
interests:

Name                    Subscription             Number of       Percentage of
                                           Ordinary Shares            enlarged
                                                 after the        issued share
                                                   Placing       capital after
                                                                   the Placing

Jonathan Kaye                833,333             6,583,333               16.06
Michael Carlton               66,667               181,667                0.44


The Company was also notified on 29 May 2003 that Phillip Kaye, a consultant to
the Company, subscribed 10,000,000 New Shares through the Placing. Following
this subscription, Phillip Kaye has a beneficial interest in 20,590,000 ordinary
shares, representing 50.23 per cent. of the Company's enlarged issued ordinary
share capital.

As Jonathan Kaye and Michael Carlton are Directors of the Company and Phillip
Kaye is a substantial shareholder, the participation by them in the Placing
constitutes a related party transaction (as defined in the AIM Rules). John
Lederer, the Director of the Company who is not participating in the Placing,
having consulted with Evolution Beeson Gregory Limited, Prezzo's nominated
adviser, considers that the terms of the transaction are fair and reasonable
insofar as the Company's shareholders are concerned.

Application will be made for the New Shares to be admitted to trading on AIM and
dealings are expected to commence on 4 June 2003.



29 May 2003



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

END
IOEEKLFLXEBEBBL