Operational Update for Phorm China

19 November 2013

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

Operational Update for Phorm China, User Numbers Reach 10m

Phorm (AIM: PHRM), a leading internet personalization technology company, announces today that it is making excellent progress towards commercial launch in the People's Republic of China.

· Nation-wide opt-in process is continuing

· Daily user numbers since launch have reached over 10m per day

· Two major inventory deals signed providing access to hundreds of publishers

· Negotiations continuing with further publishers and advertisers

· Solution deployment in progress with two further ISPs

Phorm previously announced on 3 October that it had started a nation-wide opt-in process in China and that it had approximately 4.3m users per day. The Company is very pleased to announce that the opt-in process has continued to be extremely successful and that the number of daily users since launch has reached over 10m per day.

The Company has also concluded two major inventory deals that provide access to hundreds of publishers. Commercial discussions with both publishers and advertisers are continuing and the proposition is being very well received.

The Company is now progressing towards its first test campaigns before moving to commercial operations.

-ends-

Contact

Phorm Corporation Limited

Andy Croxson (analysts & investors) +44 207 297 2067

UK Investors

Mirabaud Securities LLP +44 20 7321 2508 (Joint Broker)

Jason Woollard

Peter Krens

Liberum Capital +44 20 3100 2222 (Nominated Advisor and Joint Broker)

Chris Bowman

Richard Bootle

US Investors

Lippert Heilshorn and Associates +1 212 838 3777 (Investor Relations)

John Heilshorn

About Phorm

Phorm is a global personalization 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 industry leading technology enables its ISP partners to offer a new type of online advertising platform and a free consumer internet content feature, ensuring more relevant advertisements and personalized content for opted-in users.

Phorm's advertising platform revolutionizes current standards of online privacy, fully protecting the identity of consumers. Unlike virtually all other targeted advertising propositions, Phorm's solution is completely opt-in. Only those users consenting to the service are profiled and only ever on an anonymous basis.

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

Phorm, under a predecessor holding company, was admitted to the AIM market of the London Stock Exchange in 2004.

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