Possible fundraising

IMPAX ENVIRONMENTAL MARKETS PLC

                        POSSIBLE FUNDRAISING

13 June 2007


Further to the  issue of 17  million ordinary shares  on 22 May  2007
pursuant to the Company's  general authority to  allot, the Board  of
Directors  of  Impax  Environmental   Markets  plc  (the   "Company")
announces that,  in light  of continuing  demand from  both  existing
shareholders and  potential  new  investors, it  is  considering  the
possibility of raising new monies through an issue of C Shares.

The Company  is a  London-listed investment  company which  seeks  to
enable investors to benefit  from rapid and  sustained growth in  the
markets for cleaner or more  efficient delivery of basic services  of
energy, water  and waste.  Investments  are predominantly  in  quoted
companies  which   provide,  utilise,   implement  or   advise   upon
technology-based  systems,  products  or  services  in  environmental
markets,  particularly  those  of   alternative  energy  and   energy
efficiency,  water  treatment  and   pollution  control,  and   waste
technology and  resource management.  The Company  currently has  net
assets of approximately £275 million.

Further details as to the timing and amount of any C Share issue will
be made in due course if the Board decides to proceed.

For further information, please contact:

Ian Simm
Impax Asset Management
020 7432 2619

Dominic Waters
Dresdner Kleinwort
020 7475 6688


Dresdner  Kleinwort  Securities  Limited,  which  is  authorised  and
regulated by the  Financial Services Authority,  is acting for  Impax
Environmental Markets PLC  (the "Company"),  and for  no-one else  in
connection with the  contents of  this announcement and  will not  be
responsible to  anyone  other  than the  Company  for  providing  the
protections afforded to  customers of  Dresdner Kleinwort  Securities
Limited, or for affording advice in relation to the contents of  this
announcement or any matters referred  to herein.  Dresdner  Kleinwort
Securities Limited  is  not  responsible for  the  contents  of  this
document.  Dresdner  Kleinwort Securities Limited  has given and  not
withdrawn its written consent to the issue of this announcement  with
the inclusion of the reference to its name in the form and context in
which it is included.

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