Investment Update

TAU CAPITAL PLC

("Tau" or "the Company")

2 May 2012

INVESTMENT UPDATE

Tau today announces that DTV Investment Holding LLP ("DTVI"), the holding company through which Tau invested in Alem Communications Holding ("Alem"), has entered into an irrevocable Sale-Purchase Agreement ("SPA") for the full sale of its interest in Alem Communications Holding LLP ("Alem").Following completion of the sale transaction under the above-mentioned SPA, which is expected to take place by May 31st, 2012, the total expected gross proceeds that will be accrued to Tau from this investment amount to approximately USD 19.560 million prior to deduction of taxes, expenses, and provisions for liquidation of Special Purpose Vehicles ("SPVs").These gross proceeds represent a small decrease from the current carrying value of USD 21.066 million equivalent to less than 1.0% of the most recently reported NAV while the anticipated liabilities, expenses and taxes payments plus provisions for liquidation of SPVs are expected not to exceed USD 650 thousand (0.4% of NAV).In local currency terms, these anticipated gross proceeds are equivalent to KZT 2,888 million which represents an increase of approximately KZT 500 million or 17.3% over the total amount invested by Tau of KZT 2,388 million.

The Company is also pleased to announce that Michael Adams has joined Compass Asset Management ("CAM"), the Manager to the Company as Head of Private Equity. Michael has 14 years experience working in private equity, much of that in emerging markets. Immediately prior to joining CAM, Michael was Managing Director for approximately two years at Pantek Partners LLC, in California and Doha, Qatar. Prior to that he spent nearly 4 years at Lonestar Ventures LLP in Moscow and Bahrain, a year in Kabul with Acap Partners, and 5 years at Distribution Partners Investment Capital LLP. Michael holds an MBA from Thunderbird, a BA in Russian Studies from Haverford College, the CFA designation, and is fluent in Russian and Arabic.  Michael will succeed David Herbada whose departure will be effective 14th May 2012.

--ENDS--

Further information, please contact: