Investment Announcement

T2 Income Fund Limited
17 May 2006



T2 Income Fund Limited ('the Company') Announces Investment


GUERNSEY - May 17, 2006 - T2 Income Fund Limited (traded on the AIM market of
the London Stock Exchange plc: T2I) announced today that, further to the
announcement released on 6 April 2006, the Company has made an additional
investment of approximately £1,000,000 in secured second-lien term notes issued
by a Luxembourg company that provides servers and services that achieve and
sustain high levels of reliability for companies that need virtually 100%
up-time to run their mission critical businesses. Simultaneously the Company
sold its original investment of approximately £800,000 in secured second-lien
term notes issued by a French company that manufactures connectors that transmit
electrical power and electronic signals between two separate points, announced
on 27 March 2006.


The sale generated approximately £23,000 in capital gains.


About T2 Income Fund Limited


We are a closed-ended Guernsey based exempt investment company which invests
primarily in the debt and equity securities of small to medium sized companies,
with a particular focus on technology-related companies.  Companies interested
in learning more about financing opportunities should contact Barry Osherow at
[phone]


Forward-Looking Statements


This press release contains forward-looking statements subject to the inherent
uncertainties in predicting future results and conditions. Any statements that
are not statements of historical fact (including statements containing the words
'believes,' 'plans,' 'anticipates,' 'expects,' 'estimates' and similar
expressions) should also be considered to be forward-looking statements. Certain
factors could cause actual results and conditions to differ materially from
those projected in these forward-looking statements. We undertake no obligation
to update such statements to reflect subsequent events.


Contact:


Patrick Conroy

[phone]


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