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18 January 2010

Invu plc

Loan agreements

Invu plc (LSE, AIM: INVU) ('the Company') announces that Tyne & Wear Holdings Limited ('Tyne & Wear') and Magpie Investments Limited ('Magpie') have agreed new Loan agreements in full settlement of their existing Loans to the Company. These loans are unsecured, carry an interest rate of 12.5 percent per annum and are repayable on 1 May 2010. Additionally Cynthia Goldman has agreed to offer an unsecured loan to the Company of £500,000 repayable on 1 May 2010 carrying an interest rate of 12.5 percent per annum.

Tyne & Wear had entered into the three previous loan agreements with the Company which are fully satisfied by this new loan. On 22 May 2009 Tyne & Wear entered into a £500,000 loan facility with interest due quarterly in arrears. On 21 October 2009 Tyne & Wear entered into a £400,000 loan facility repayable with interest on 18 January 2010. On 18 November 2009 Tyne & Wear entered into a £100,000 loan facility repayable with interest on 18 January 2010. Under the new Loan agreement Tyne & Wear will loan the Company £1,049,117 in full settlement of the amounts due under the above Loans.

On 18 November 2009 Magpie entered into a £500,000 loan facility repayable with interest on 18 January 2010. Under the new Loan agreement Magpie will loan the Company £510,445 in full settlement of the amount due under the loan of 18 November.

Goldman Investments, a company whose majority shareholder is Daniel Goldman the Chairman of the Company, provides investment advice to both Tyne & Wear and Magpie. Cynthia Goldman is Daniel Goldman's mother. Therefore given the potential conflict of interest arising from these relationships, Mr. Goldman has not participated in the negotiation or approval by the directors of these Facilities.

Tyne & Wear and Cynthia Goldman are both substantial shareholders of the Company for the purposes of the AIM Rules for Companies ('AIM Rules') and, as such, are related parties of the Company. 

The entering into of the Facilities with Tyne & Wear and Cynthia Goldman are classified as transactions with related parties for the purposes of the AIM Rules. In accordance with the AIM Rules, the directors of the Company, with the exclusion of Daniel Goldman, having consulted with the Company's nominated adviser, Canaccord Adams, consider that the terms of the transaction are fair and reasonable insofar as the Company's shareholders are concerned.

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Invu plc	020 7665 8900
Daniel Goldman, Non Executive Chairman
Colin Gallick, CEO
Ian Smith, CFO
Canaccord Adams	020 7050 6500
Simon Bridges
Financial Dynamics	020 7831 3113
Juliet Clarke / Haya Herbert-Burns / Emma Appleton

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