Blue Star Regulatory News (BLU)

22 November 2013

Blue Star Capital plc

("Blue Star" or the "Company")

Portfolio Update

Blue Star announces the following update in relation to certain investments within its portfolio.

eSeekers Limited ("eSeekers")

eSeekers is a private company, registered in England and Wales, in which Blue Star has a 2.1 per cent. minority shareholding. eSeekers is an investing company, with equity holdings in three independent but synergistic Internet businesses.

In August 2011, eSeekers and Disruptive Tech Limited ("DTL") entered into an agreement by which the net profits realised by eSeekers and DTL from the mutual ownership and exploitation of their interests (whether revenue or capital in nature) were to be shared in proportion to the number of issued shares in the capital of each of eSeekers and DTL. Further, the agreement included the undertaking that eSeekers and DTL would work together to seek a permanent and comprehensive structure for combining the two businesses into one single corporate structure as soon as reasonably practicable.

Blue Star has been informed that eSeekers and DTL have agreed the terms for a combination of the two businesses that will be undertaken by the transfer of the assets of eSeekers in return for the issue of new shares in DTL. These new shares in DTL will be issued directly to the shareholders of eSeekers. As a result of this combination, Blue Star's shareholding in eSeekers will become a 1.76 per cent. shareholding in DTL.

DTL is a Gibraltar based investing company that has recently completed an investment round that allowed it to add holdings in Freeformers, a digital training business, and Deep Ventures, an accelerator of early stage tech businesses, to sit in DTL's portfolio alongside the holdings previously owned by eSeekers. Both Freeformers and Deep Ventures are registered in England and Wales and are co-located in London.

Blue Star's £300,000 investment in eSeekers was made in 2007 and its holding in the company was valued at £1.121m as at 31 March 2013. Blue Star has been informed that DTL has completed a round of external investment to raise £16.0m at a pre-money valuation of £75.0m. On the basis of this valuation, Blue Star's holding in DTL would be valued at £1.6m.

Zimiti Limited ("Zimiti")

The Company has been informed that Zimiti has not reached the deferred consideration targets set at the time of its sale to Digital Barriers PLC and as a result the other receivables value of £336,050, shown in Blue Star's interim results dated 28 June 2013, will be written off.

Ends

Contacts:

Blue Star Capital plc

Tony Fabrizi

Tel: 0777 178 2434

www.bluestarcapital.co.uk

Daniel Stewart & Company plc

Nominated Adviser & Broker

David Hart/Martin Lampshire

Tel: 020 7776 6550