The Nickels Group Acquisition

Mobile Streams plc
07 August 2006


  Mobile Streams strengthens US presence with acquisition of The Nickels Group

Mobile Streams, the global mobile music and media specialist, is pleased to
announce the acquisition of The Nickels Group, the California-based mobile
production company. The Nickels Group specialises in the licensing and
distribution of urban music, currently the highest selling genre of music in the
US. The deal will significantly strengthen Mobile Streams' content generation
and distribution business as well as providing a strategic foothold on the West
coast of America.

Mobile Streams and The Nickels Group already operate a number of successful
strategic partnerships, jointly developing and distributing mobile content
channels including Reggaeton Nation The Hyphy Movement, and the latest brand
offering from Nexxt Mobile and Paul Wall's G.R.I.T. Boys, the first mobile
reality series.

The acquisition of The Nickels Group will allow Mobile Streams to build on its
fast-growing range of made-for-mobile music and media content, both through
organic development and the integration of The Nickels Group's content
portfolio, which includes artists such as Paul Wall's G.R.I.T. Boys, Tego
Calderon, Voltio, and other top Hip Hop artists. In addition, Mobile Streams
will own and control original content IP, such as the Nexxt Mobile series, which
can be leveraged across other channels such at IPTV, VOD and broadband.

A presence on the US West coast will also allow Mobile Streams to manage more
closely key customer relationships and build on existing contacts.

Founders Jonas Hudson and Daryl Young will join Mobile Streams as Senior Vice
Presidents.

Mobile Streams will fund the deal from existing cash flow, for an initial
consideration of $450,000, of which The Nickels Group will use $100,000 to buy
Mobile Streams shares. Deferred consideration of $240,000 will be payable over
the next two years.

Simon Buckingham, CEO of Mobile Streams, said: 'This deal will significantly
strengthen our position in the large and attractive US market as well as broaden
our content offering in the popular urban music and media arena. The Nickels
Group is an innovative company that can acquire & produce exclusive urban
content'.

Jonas Hudson from The Nickels Group said: 'Mobile Streams' extensive
distribution combined with The Nickels Group's content acquisition and
production skills provides considerable potential. We already know the Mobile
Streams team well and are delighted to be part of a company that can leverage
our skills':

Ends

Enquiries

Mobile Streams           Victoria Tayler           [phone]

Brunswick Group          Laura Cummings            [phone]


Notes to Editors

About Mobile Streams

Mobile Streams is a leading provider of music, comedy, sport and entertainment
content to handsets and other wireless devices, whose mobile expertise and
distribution platform, 'Vuesia,' is used globally by some of the world's largest
media groups and mobile phone networks including Vodafone, and 3 in the UK,
America Movil, Movistar & TIM in Latin America, Fido & Rogers in Canada and
Dobson in the US.

'Vuesia' is Mobile Streams' full service enterprise mobile media management
solution. 'Vuesia' facilitates content ingestion, management, delivery, billing
and reporting.

The Company creates, licenses and delivers quality content to Mobile Network
Operators (MNOs) and consumers in the form of ringtones, graphics, video clips
and other products. It has developed relationships with both content owners and
MNOs which enable it to act as an intermediary, providing an end-to-end service
encompassing a broad range of elements from content licensing to content
production, account management and channel management.

Mobile Streams has subsidiaries in Germany, the US, Argentina, Brazil, Mexico,
Chile Colombia, Hong Kong and Sydney and has approximately 100 employees.

For more information please go to www.mobilestreams.com

About The Nickels Group

The Nickels Group is a consortium of film, music and event producers who produce
and acquire traditional and mobile/online content. Founded by Daryl Young and
Jonas Hudson, The Nickels Group has created alliances with celebrities,
filmmakers, musicians and athletes to provide unique and entertaining content
for all global mediums from digital distribution to major theatrical film
releases.

The Nickels Group mobile distribution reaches nearly 850 million users
worldwide.

Current The Nickels Group projects include the feature documentary film
'Reggaeton Nation: Volume 1 - Cuba' and the first Reggaeton based feature
narrative 'Spin' (currently in Post-Production). Plus, the hottest Reggaeton
compilation entitled 'Reggaeton Nation compilation CD - Stars of 2006 Vol.1'.


http://www.thenickelsgroup.com




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