IPSA GROUP PLC - Increase in working capital loan

Increase in working capital loan

IPSA GROUP PLC
(Incorporated and registered in England and Wales)
(Registration Number 5496202)
AIM Share Code IPSA   ISIN GB00BOCJ3F01
JSE Share Code IPS    ISIN GB00BOCJ3F01
("IPSA" or "the company")

Increase in Working Capital Loan

IPSA Group PLC (AIM:IPSA), the developer, owner and operator
of power generation capacity in southern Africa, advises
shareholders that the Company has secured an amendment to its
short term loan with Bluestone Securities Limited to allow the
drawdown of up to GBP750,000 in additional funds, thereby
increasing the total loan to GBP4,950,000.

There are no other changes to the financing terms, such that
the loan is due for repayment on 26 June 2013, unless extended
by mutual agreement or earlier, inter alia, upon sale of the
Company’s remaining two turbines.

The funds will be used to provide additional working capital
for the Company and for maintenance of the turbines at
Newcastle Co-generation (Pty) Ltd.      However, the Company
confirms that this additional injection of funds does not
materially change the Company’s overall working capital
position, which remains extremely tight and that, without the
continued support of all its creditors, additional working
capital would be required by the Company in order to settle
all its creditors prior to completion of the sale of the
remaining two turbines.

Negotiations to sell the remaining turbines are ongoing and a
further announcement will be made as and when appropriate.

For further information contact:


Phil Metcalf, CEO                  +44 (0)20 7793 5615
IPSA Group PLC

John Llewellyn-Lloyd / Harry       +44 (0)20 7456 9191
Stockdale
Execution Noble & Company Ltd

Harry Ansell / James Joyce         +44 (0)20 7220 1666
W H Ireland Ltd

Riaan van Heerden,                 +27 (0)21 887 9602
PSG Capital (Pty) Ltd
London
26 April 2013

Date: 26/04/2013 03:15:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.