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Creon Corporation (AMED)

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Monday 31 October, 2005

Creon Corporation

Issue of Equity

Creon Corporation PLC
31 October 2005


Creon Corporation PLC

31 October 2005



                             Creon Corporation PLC

                    Exercise of Option and Placing of Shares


Creon Corporation PLC ("Creon" or the "Company"), the AIM traded provider of
mezzanine finance to the UK residential property development sector, today
announces that, following the exercise of the previously announced option
agreement with Forestdale Trading Limited, it has placed 3,555,555 new ordinary
shares of 1p at 45p per share, raising gross proceeds of approximately
£1,600,000.  In addition the Company has issued a further 355,555 new ordinary
shares of 1p as payment of the commission due to Forestdale Trading Limited.
Following the placing of all the new ordinary shares the Company will have a
total of 10,036,110 ordinary shares in issue.

This placing of the new ordinary shares is as a result of the exercise of the
option agreement dated 10 November 2004 between Creon and Forestdale Trading
Limited, the details of which were summarised in the Admission Document
published on 19 November 2004.

Application for all the new ordinary shares to be admitted to AIM has been made
and it is expected that they will begin trading on AIM on 4th November 2005. The
new ordinary shares will rank pari passu with the existing ordinary shares in
issue.

Jonathan Freeman, Director of Creon, commented: "We are delighted to have
completed the exercise of this option agreement and the raising of significant
new funds.  The profile and platform we have created has generated a very strong
pipeline of potential new business and this extra injection of funds will enable
us to provide Creon with attractive levels of return with acceptable levels of
risk."


Contacts:

Creon Corporation PLC
Jonathan Freeman, Director                            Tel: +44 (0) 1600 750 432

Noble & Company Limited
Alasdair Robinson                                     Tel: +44 (0)131 225 9677



Notes to Editors:

Creon's continuing strategy is to provide mezzanine finance to small and medium
sized UK residential property developers.  The business is underpinned by the
experience of the Directors and of its consultants, Creon Equity LLP, who have
wide-ranging experience in this market.  Creon has funded new business during
the last 4 months in line with its aim of supporting property developers for
developments of between £1 million and £5 million with funding of amounts within
the range of £250,000 to £750,000.   The company is currently considering a
number of new opportunities that meet these parameters.


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

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