Private Trading Systems lists on Plus Markets

Source: Private Trading Systems

Private Trading Systems, Inc. (OTC:PVTM - News) today announced its UK-based subsidiary Private Trading Systems Plc has been admitted for listing on PLUS Markets. Private Trading Systems Plc is the parent of The Private Treaty Market Limited, a UK company that has designed, developed and will operate a trading system known as the Private Equity Trading System ("PETS").

Private Trading Systems Plc's ("PTS" or the "Company") entire ordinary share capital of 426,280,354 ordinary shares of nominal value GBP 0.001 pence each has been admitted for trading on PLUS Markets as of Thursday June 14, 2007 at which time a stock symbol will be assigned. The shares are initially priced at 5 pence per share ("Admission Price") and the Company anticipates that it will have an initial market capitalization of approximately GBP 21,314,017.

The Company has raised GBP 1.25 million by way of a private placement with an existing institutional shareholder and will be used to further develop the Company.

PTS has offices in London and Geneva and a representative office in New York.

Atlantic Law LLP is acting as the Company's PLUS Advisor.

The PETS Trading System can be used for trading securities, instruments or any financial asset capable of being converted into electronic form. Offering straight through processing and instantaneous settlement, PETS closely combines the exchange and settlement functions and links with custodial functions through regulated banks.

PETS will enable the Company to offer world-wide, real-time, instantaneous trading and settlement in any financial instrument 21 hours per day, allowing time for maintenance on the system. Following detailed investigation and to the best of their knowledge, the directors are not aware of any other system that offers the complete, seamless, real-time integration of the trading process.

The business strategy is to develop strategic partnerships, initially with international banks, trust companies, brokers and exchanges. Other key users are issuers of all forms of securities, including private equities, public equity, convertible and straight bonds, asset-backed securities, and insurance products.

PETS will bring together buyers and sellers on a global scale providing them with the ability to complete direct, real-time transactions. By eliminating delays, PETS will significantly reduce costs to traders and trading activity on PETS will be difficult to manipulate as it is processed in real time. Customers will be able to open a PETS account online and fund their accounts through banks or other financial institutions.

The Company plans to focus on operating the PETS system, finding suitable niche financial markets where the performance of PETS can offer significant commercial advantage to its customers, widening the number of different types of tradable instruments that are available on PETS, and widening the number of settlement processes and custodian operations connected to the PETS system.

The PETS system will be operated through the Company's subsidiaries. PTS will seek to have a substantial interest in the long-term growth of the trading volumes across all of the distributed trading platforms that utilize the PETS system. A formal patent application on the PETS system was filed on 31 August 2006, which is now patent pending.

PETS is designed to be modular so that any part of the system can be hosted anywhere worldwide. This enables PTS to take advantage of different regulatory regimes for different parts of the system, and meet different commercial needs. PTS must obtain regulatory approval in each jurisdiction in which the PETS system is to operate. PTS will initially focus on operating the PETS system in suitable European financial markets. PTML's subsidiary PETS (Geneve) SA intends to apply for approval from the Swiss Federal Banking Commission for operating an exchange in 2007. The first major contract for PETS is to trade specialized insurance products, and this should become active during 2007.

The listing will help facilitate the roll out of PETS internationally. Listing on PLUS will enable the Company to grow initially in Europe and in the US. It will help to raise the Company's profile in the market to potential clients and investors, and allow the Company to raise funds in the future.

History and Corporate Structure

PTS was incorporated in England and Wales on 16 November 2006, as a Public Limited Company and its purpose is to act as the holding company of Private Treaty Market Ltd ("PTML"). It has not traded to date and its purpose is to act as the holding company of PTML. PTML was incorporated in 2003, to develop the proto-type of the PETS system. PTML has a wholly owned subsidiary in Switzerland, PETS (Geneve) SA.

The primary assets of Private Trading Systems, Inc ("PVTD") are the 100% holding of PTML and the intellectual property rights which were acquired by the Company in exchange for all of the issued share capital in the Company on admission to PLUS ("Admission").

The existing business of PTML will continue unchanged, under the control of the Company.

Reasons for the Admission to PLUS

The Directors believe that the benefits of being listed on PLUS include raising the Company's profile; and the ability to raise additional funds in the future.

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