Issue of Shares

4 January 2013

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE

UNITED STATES, CANADA, JAPAN OR AUSTRALIA

Phorm Corporation Limited ("Phorm" or the "Company")

ISSUE OF SHARES

Phorm (AIM: PHRM), the internet personalisation technology company, wishes to notify that, further to the announcement regarding the completion of the Company's re-domicile on 11 September 2012, the Company has received from a shareholder with a US registered address an Investor Questionnaire confirming that it is entitled to the Share Consideration.

Accordingly, 1,000 shares have been allotted and are expected to be admitted to trading on 9 January 2013 ("Admission"). The number of ordinary shares in issue at Admission for notification of interests in the share capital of the Company will be 91,000,361. This number may increase up to 91,046,515 subject to shareholders with US registered addresses holding in aggregate 46,154 Phorm Shares on Admission returning their Investor Questionnaires within 6 months from the date of completion of the re-domicile confirming that they are entitled to the Share Consideration. Any admission of new ordinary shares will be notified by the Company.

Capitalised terms in this announcement have the meaning given to it in the Circular in relation to the Company's re-domiciliation which can be found on the Company's website at www.phorm.com.

Phorm, Inc.

Mark Williams (analysts & investors) +44 20 7297 2326

Alex Laity (media) +44 20 7297 2710

Liberum Capital +44 20 3100 2222

(Nominated Advisor and Joint Broker)

Chris Bowman

Richard Bootle

Mirabaud Securities LLP +44 20 7321 2508

(Joint Broker)

Jason Woollard

Peter Krens

Hudson Sandler +44 20 7796 4133

Charlie Jack

Charlie Barker

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About Phorm

Phorm is a global personalisation technology company that makes content and advertising more relevant to the consumer. Phorm's innovative platform preserves user privacy and delivers a more interesting online experience.

Phorm's partners include leading Internet Service Providers (ISPs), Publishers, Ad Networks and Advertisers.

Phorm, under a predecessor holding company, was admitted to the AIM market of the London Stock Exchange in 2004 and has over 140 employees and contractors.

For more information, please visit: www.phorm.com