Licence Agreement, Issue of Equity & Total ...

Milestone Group PLC
"Milestone" or the "Company"

Licence Agreement, Issue of Equity & Total Voting Rights


Licence agreement with BGP Global Services Limited and launch of OnSide

AIM  quoted  Milestone  Group  PLC  (AIM:  MSG), the digital solutions provider,
announces  that  it  has  signed  an  agreement with BGP Global Services Limited
("BGP")  for the  exclusive licence  of its  Facilitated Electronic  Data System
("FEDS") within UK community sports programmes (the "Licence").

BGP  will  issue  a  perpetual  licence  of  FEDS, an innovative and bespoke web
application that can be currently run on portable networked computer systems, to
OnSide  Limited  ("OnSide"),  a  newly  incorporated  Company and a wholly owned
subsidiary  of Milestone, for use in the UK community sporting sector, initially
to be launched in football, but to be extended to cover other community sports.

The  signing  of  this  agreement  is  a key strategic development for Milestone
following  the  recent  refocus  of  the  business  to  digital  technology  and
solutions.   OnSide  will  bring  together  the  established  FEDS platform with
Milestones'  skill  set  in  mobile  technology,  developed  in part through its
association  with  JumpStart  Wireless,  which  the  directors of Milestone (the
"Directors")  believe will deliver a ground  breaking tool for sports coaches in
the local community.

The Directors believe that OnSide will be a unique and innovative platform which
will encompass both web and mobile technology and will eliminate the majority of
the paperwork traditionally associated with sports coaching, as well as creating
a  direct link between the training session  and head office where the paperwork
is  normally collated  and as  a result  dramatically reducing costs and greatly
improving the productivity of local sports coaching.  In addition, the Directors
believe  that OnSide  will enable,  for the  first time, information from sports
coaches,  local authorities, community groups and law enforcement agencies to be
successfully   collated  and  shared  between  them  via  real-time  information
gathering.   OnSide aims to  create a safer  environment for the participants in
community sports, coaches and the public, enhance community cohesion whilst also
providing cost and process efficiencies within the system.

OnSide will be running a pilot scheme with various community football coaches in
London,  before launching nationwide during the course of 2012 on a subscription
basis.

Paul  Elliott  MBE,  the  former  Chelsea  and  Celtic  player, Piara Powar, the
Executive  Director of FARE (Football Against  Racism in Europe), and Bob Quick,
the  former Metropolitan Police Assistant  Commissioner, will be the ambassadors
for OnSide.

In  consideration for the grant of the  Licence, the Company will pay, in total,
£140,000  to BGP to be  satisfied by the issue  of 18,181,818 ordinary shares of
0.1 pence  each in the capital of the Company ("Ordinary Shares"), equivalent to
an  issue price of 0.77 pence  per Ordinary Share which  is equal to the average
closing  share price for Milestone for the last ten business days.  The Ordinary
Shares  will  be  issued  to  BGP  in  three tranches, with the first tranche of
9,090,909 Ordinary  Shares, valued at  £70,000, being issued  to BGP today.  Two
further  tranches of Ordinary Shares  of 3,896,104 and 5,194,805, with values of
£30,000  and £40,000 respectively, will be issued on certain performance related
targets being satisfied.

In  addition to  the issue  of Ordinary  Shares to  BGP in consideration for the
grant  of  the  Licence,  BGP  will  be  entitled to 50 percent. of OnSide's net
profits,  which  are  defined  as  the  actual  profits generated by OnSide that
directly relates to OnSide's use of FEDS, less costs and reasonable deductions.
All  new intellectual property developed  by OnSide will be  owned by OnSide and
not BGP.

Deborah White, CEO of Milestone, commented:

"The  creation of OnSide through the relationship between Milestone and BGP will
bring  together state  of the  art software  and our  strong skill set in mobile
devices  to deliver a revolutionary platform for sporting coaches throughout all
sports  and communities.  OnSide will  dramatically reduce  the costs associated
with  sports coaching and create a safer environment for sports to take place. I
am  grateful to  Paul Elliott,  Piara Powar  and Bob  Quick for  the passion and
dedication  they have given to this new venture and look forward to working with
BGP going forward."


Information on BGP

BGP  provide a wide  range of accredited  and discreet consultancy, training and
investigation  services to  law enforcement  agencies and industry professionals
throughout  the world.  BGP has worked in partnership with London's Metropolitan
Police  Service, the City of London Police, and the Crown Prosecution Service as
well as with major international corporations and sporting bodies.  BGP delivers
training  and  assistance  to  both  the  public  and private sector using their
bespoke immersive training platforms such as FEDS.


Issue of Equity

As  detailed above, Milestone has agreed to issue 9,090,909 Ordinary Shares at a
price of 0.77 pence per Ordinary Share to BGP.  Application will be made for, in
aggregate, 9,090,909 new Ordinary Shares to be admitted to trading on AIM, which
is expected to occur no later than 18 April 2010.  The new Ordinary Shares, when
fully  paid and issued, will  rank pari passu in  all respects with the existing
Ordinary Shares of Milestone.


Total Voting Rights

Following  the issue, Milestone  will have in  issue 238,444,975 Ordinary Shares
with voting rights.  The Company does not hold any Ordinary Shares in treasury.
The  figure of  238,444,975 Ordinary Shares  may be  used by shareholders in the
Company  as the denominator for the calculations by which they will determine if
they are required to notify their interest in, or a change in their interest in,
the  share capital  of the  Company under  the FSA's Disclosure and Transparency
Rules.

So  far as the Company  is aware and subject  to any new notifications received,
the  following  persons  will  have  a  notifiable  interest in the issued share
capital of Milestone following this issue of Ordinary Shares:

+-----------------------+--------------------------+---------------------------+
|                       |Current percentage holding|   Resultant percentage    |
|                       |                          |          holding          |
+-----------------------+--------------------------+---------------------------+
|Deborah Jane White     |      34,883,774 (15.21%) |       34,883,774 (14.63%) |
+-----------------------+--------------------------+---------------------------+
|HBS 049 Limited        |      30,000,000  (13.08%)|       30,000,000  (12.58%)|
+-----------------------+--------------------------+---------------------------+
|Cormac Crawford        |      18,954,772   (8.26%)|       18,954,772   (7.95%)|
+-----------------------+--------------------------+---------------------------+
|Brett  J.  Desmond (all|      15,729,204   (6.86%)|       15,729,204   (6.60%)|
|held  by Aurum Nominees|                          |                           |
|Ltd)                   |                          |                           |
+-----------------------+--------------------------+---------------------------+
|Martin King            |      13,667,049   (5.96%)|       13,667,049   (5.73%)|
+-----------------------+--------------------------+---------------------------+
|BGP Global Services    |                        - |        9,090,909   (3.81%)|
+-----------------------+--------------------------+---------------------------+
|Lynchwood Nominees Ltd |       9,083,489   (3.96%)|        9,083,489   (3.81%)|
+-----------------------+--------------------------+---------------------------+


FOR FURTHER INFORMATION:

 Milestone Group PLC               Tel: [phone]
 Deborah White, Chief Executive



 Strand Hanson Ltd, NOMAD          Tel: [phone]
 Richard Tulloch / David Altberg



 Hybridan LLP, Broker              Tel: [phone]
 Claire Louise Noyce



 College Hill, PR                  Tel: [phone]
 Jamie Ramsay








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Source: Milestone Group PLC via Thomson Reuters ONE

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