Net Asset Value and Investment

Draganfly Investments Limited

("Draganfly" or the "Company")

Net Asset Value

The Company's unaudited Net Asset Value as at 28 February 2013 was £592,500.46 resulting in a Net Asset Value per ordinary share of 0.47p.

Investment in Atlantic Healthcare Limited ("Atlantic Healthcare")

Draganfly has an existing investment in Atlantic Healthcare and notes that Atlantic Healthcare has recently completed a fundraising in March 2013. On a proforma basis, Draganfly's revalued investment in Atlantic Healthcare would increase the Company's unaudited net assets by approximately £295,000 or 0.23p per share.

As a consequence the net asset value of Draganfly is expected to materially increase when it is next published for 31 March 2013.

Subsequent to the recent fundraising, Atlantic Healthcare has also announced that it has been awarded £1.9 million by the Technology Strategy Board (on behalf of the UK Government) having been drawn from the Biomedical Catalyst Fund. Awards are granted to applicants demonstrating significant commercial and scientific potential, which reinforces Draganfly's confidence in the progress made by Atlantic Healthcare to date.

The award will specifically contribute to the development cost of alicaforsen's forthcoming US/EU Phase 3 clinical study in pouchitis. Atlantic Healthcare reports that alicaforsen, an anti-inflammatory, intercellular adhesion molecule inhibitor, has been granted orphan designation in Europe and the United States for treatment of this disease, reflecting the fact that alicaforsen addresses an area of unmet medical need.

 Further information about Atlantic Healthcare can be found at www.atlantichc.com with details of the press release at http://www.atlantichc.com/newsdocs/TSB.pdf

For further information please contact:

………………………………………….

Jamie Hamilton

Director

Draganfly Investments Limited

20 March 2013