Exercise of Options

2 August 2012

Lo-Q plc

Exercise of Options

Lo-Q plc (the "Company") announces today that application has been made for the admission of 24,000 new ordinary shares of 1 penny each (the "New Ordinary Shares") to trading on AIM pursuant to the exercise of share options. The New Ordinary Shares rank pari passu in all respects with the existing ordinary shares of the Company.

It is expected that admission of the New Ordinary Shares will become effective on 8 August 2012.

Following the allotment of the New Ordinary Shares, the issued share capital is 17,340,158 ordinary shares of 1 penny each.

For further information, please contact:

Lo-Q plc +44 (0)118 934 7400

Tom Burnet, Chief Executive Officer

John Alder, Chief Financial Officer

FTI Consulting +44 (0)20 7831 3113

James Melville-Ross, Matt Dixon, Clare Thomas

Canaccord Genuity Limited +44 (0)20 7523 8000

Simon Bridges, Kit Stephenson