PME African Infrastructure Opps PLC 17 March 2008 17 March 2008 PME African Infrastructure Opportunities plc ('PME' or 'the Company') (AIM: PMEA.L; PMEW.L) Update on investments PME African Infrastructure Opportunities plc, the AIM listed fund investing in infrastructure projects across sub-Saharan Africa, announces an update on progress in its investing activities. Deal Flow Since the last progress report issued on 4 October 2007, PME's objective has been to concentrate on completing the due diligence of the projects already identified and to close those that have met PME's investment criteria as soon as practicably possible. Completed transactions As announced on 1 February 2008, PME completed its first transaction, in the telecommunications sector, in Uganda, committing US$2.5 million with an option to invest a further US$17.5 million. PME's second completed transaction is also in the telecommunication sector and has been announced today in a separate announcement. The deal commits PME to invest up to US$26 million in a Tanzanian 3G telecommunications operation. Transactions under negotiation PME notes that its early transactions have been concentrated in the fast moving telecommunications sector and as set out below, has more investments in the pipeline for this sector. The early focus on telecommunications has been due, in part, to the fact that two of the transactions were at an advanced stage of development when presented to PME and also that the sector, being well regulated, facilitates execution. However, it remains the intention of PME to adhere to the diversification criteria set out in the Admission Document. We are currently in the process of negotiating the following transactions across a wide range of sectors: Transportation: Discussions in respect of the rail concession opportunity mentioned in the Admission Document, are continuing with the assistance of the Company's local associates. PME has received letters of intent from certain key co-investors and strategic partners interested in working with the Company on this project and expects to complete the consortium in the near future. The Company is also able to report that the Investment Manager has made good progress in negotiations for the acquisition of a 50% stake in a South African provider of operations and maintenance (O&M) services to railways and has agreed outline terms with the vendor for PME to acquire its shares. The details of this proposal will be finalised in due course. Housing: The Company has signed a memorandum of understanding (MOU) for a joint venture with a company in Angola to develop housing in the country, to be occupied by the employees of international oil companies. PME would take a 75% stake in the company. Energy: The Investment Manager is working with the Minister of Energy, Water and Mines in a country in east Africa covering a proposal to build, own and operate a 20 MW hydro electric power project. Telecommunications: PME envisages developing a cluster strategy with a view to creating a larger regional corporate entity focused on delivering next generation voice and data services to customers in Central Africa. Accordingly, in addition to the two transactions already completed, it is pursuing the following potential transactions. PME has signed contracts with respect to a third transaction in this sector, with respect to the roll-out of a GSM network in the Great Lakes region of Africa, under which PME has undertaken to provide US$10m of financing. The agreement is subject to certain conditions precedent which are envisaged will be satisfied in the near future. Pipeline The above projects, if completed, would require a total equity commitment of over US$110m, or approximately 60% of the funds raised on admission to AIM in July 2007. Whilst concentrating on completing the projects set out above, PME has investigated a number of other opportunities, five of which have been worthy of further consideration. These are in the construction, transportation, energy and telecommunications sectors. We expect deal flow to be strong for the foreseeable future. Further enquiries: Principle Capital on behalf of Anne Dalen +44 20 7240 3222 PME Infrastructure Managers Limited Smith & Williamson Azhic Basirov +44 20 7131 4000 Corporate Finance Limited Fairfax I.S. PLC James King +44 20 7598 5368 Bell Pottinger Dan de Belder +44 20 7861 3232 On behalf of Helvetica (Isle of Man) Company Limited Clara Parisot +41 798 249 788 Note to Editors: - PME African Infrastructure Opportunities plc ('PME') is a company investing in sub-Saharan African infrastructure and infrastructure related industries. Its shares were admitted to AIM in July 2007 raising US$180 million. - PME was established to invest in sub-Saharan African infrastructure and infrastructure related industries with a view to generating attractive returns, principally through capital growth. It is targeting opportunities arising from years of under investment in sub-Saharan African infrastructure where that infrastructure will be instrumental in allowing the continent's economic development to continue to grow. - The Investment Manager is PME Infrastructure Managers Limited ("PMEIM"). The Investment Manager is responsible for identifying new investment opportunities. - PMEIM is a joint venture between Principle Capital Holdings S.A. (AIM: PCX.L), Unicos Partners LLP (holding company of the Helvetica Group of companies), Masazane Capital (Pty) Limited and the interests of Richard Bouma, CEO of PMEIM. This information is provided by RNS The company news service from the London Stock Exchange