Issue of Equity re. Acquisition of Q4Ex Limited

22 February 2016

Daily Internet plc

("Daily Internet" or "the Company" or "the Group")

Further re. Acquisition of Q4Ex Limited

Issue of Equity

Daily Internet (AIM: DAIP) is pleased to announce that its Merchant and Distribution division of Netplan, formerly Q4Ex Limited ("Q4Ex"), has continued to achieve positive EBITDA, thus resulting in the issue of further consideration shares to the vendors of Q4Ex ("Q4Ex Vendors"). Pursuant to the agreement made at the time of the Company's acquisition of Q4Ex, as announced by the Company on 10 December 2014, the Company is issuing a total of 30,588,234 ordinary shares of 0.5p each in the Company ("Ordinary Shares") to the Q4Ex Vendors ("Further Consideration Shares"). The Further Consideration Shares are being issued at a price of 1.7p each, as contracted, a value of £520,000.

The maximum further potential deferred consideration could total up to £936,000 to be comprised of further Ordinary Shares in the Company valued at 1.7 pence per Ordinary Share ("Further Potential Deferred Consideration Shares"). As previously stated, the earn out period for the Potential Deferred Consideration Shares is 36 months from December 2014, ending in December 2017, and the future EBITDA is to be assessed on a rolling 12-month basis and is the EBITDA derived from the Q4Ex operations adjusted for a charge relating to shared central charges.

Change in Directors' and Q4Ex Vendors' Holdings

Following the issue of the Further Consideration Shares, the holdings of the Q4Ex Vendors (who will hold more than 3 per cent.) will be as follows:

* CEO of the Group

Additionally, in light of the issue of the Further Consideration Shares, the percentage holdings of the other directors of the Group will be as follows:

Application to AIM / Issued Share Capital

Application has been made to the London Stock Exchange for the Further Consideration Shares to be admitted to trading on AIM. Admission is expected to take place on 26 February 2016. The shares will rank pari passu with the existing issued Ordinary Shares.

Following the issue of the Further Consideration Shares, the Company will have 510,379,335 Ordinary Shares, with each Ordinary Share carrying the right to one vote. The Company has no Ordinary Shares held in treasury. The total of 510,379,335 Ordinary Shares may therefore be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.

About Daily Internet

Daily Internet is a leading cloud integrator. Solutions delivered comprise best of breed technologies, tailored and delivered to ensure customers benefit from the vast array of solutions and ever advancing hosting technologies. The Daily Group team keeps customers at the forefront of technology, enabling them to free up resources so they can focus on growing their core business without the distractions or complexity of the ever-changing hosting landscape.

The Group has offices in Liverpool, Nottingham and Coventry.

For more information, visit http://www.dailyplc.com