Pinnacle - ETEL Telecommunication Solutions (Pty) Ltd Highcourt Verdict

Pinnacle - ETEL Telecommunication Solutions (Pty) Ltd Highcourt Verdict         
Pinnacle Technology Holdings Limited                                            
(Registration number 1986/000334/06)                                            
Share code: PNC   ISIN: ZAE000022570                                            
("Pinnacle")                                                                    
ETEL TELECOMMUNICATION SOLUTIONS (PTY) LTD ("Etel") HIGHCOURT VERDICT           
In accordance with paragraph 3.4 (a) of the Listings Requirements of the JSE    
Securities Exchange South Africa, the Board of Directors of Pinnacle hereby     
announces the judgment issued by the High Court of South Africa ("High Court")  
in its consideration of an application by Dinkum Technologies Limited and       
Valunet Solutions Incorporated, trading as Dinkum USA (collectively "Dinkum"), a
North American Group providing telecommunications services, to instruct Etel, a 
wholly owned subsidiary of Pinnacle, to cease the use of certain proprietary    
technology in the provision of international telephony services.                
The High Court found in favor of Etel and dismissed the application.            
In addition, the following awards were granted:                                 
the costs incurred by Etel in defending the application;                        
Etel"s counterclaim relating to a deposit held by Dinkum with backdated interest
thereon ("counterclaim"); and                                                   
the costs incurred by Etel in the execution of the counterclaim.                
Midrand                                                                         
27 January 2005                                                                 
Sponsor                                                                         
Grant Thornton Corporate Finance (Proprietary) Limited                          
Date: 27/01/2005 02:55:05 PM Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department