Director/PDMR Shareholding

IQE plc

("IQE" or the "Company")


21 January 2010



IQE plc announces that 544,246 new ordinary shares have been issued in
settlement of Non-Executive Directors' fees for the period of October to
December 2009 and in respect of the Company's employee stock incentive plan.

101,915 of the new ordinary shares of 1p each in the Company ('Ordinary Shares')
have been issued to Non-Executive Chairman Dr Godfrey Ainsworth in settlement of
NED fees (excluding VAT). 49,907 of these shares have been transferred to a
nominee account to the order of the partners of Gambit Corporate Finance. Dr
Ainsworth has a beneficial interest in the remaining 52,008 shares. Following
this issue, Dr Ainsworth's total beneficial interest in the Company is
3,012,577 shares representing 0.68% of the issued share capital.

442,331 of the new Ordinary Shares have been issued to employees as part of the
Company's all employee stock incentive plan.

Application has been made and admission to trading on AIM of these Ordinary
Shares is expected to occur on 22 January 2010.

Following this issue the total number of Ordinary Shares in issue will be
444,044,845.






Contacts:


IQE plc ([phone])
Chris Meadows
Phil Rasmussen

Noble & Company Limited (+ 44 20 7763 2200)
John Llewellyn-Lloyd
Sam Reynolds








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