Acquisition of Shares in The Local Shopping REIT

Thalassa Holdings Ltd

(Reuters: THAL.L, Bloomberg: THAL:LN)

("Thalassa" or "the Company")

Acquisition of ordinary shares in The Local Shopping REIT plc ("LSR")

Further to the announcement on 9 September 2016, Thalassa Holdings Ltd, a holding company currently with subsidiaries in the Energy Services and Defence and Homeland Security Industries is pleased to announce that, on 9 September 2016, it acquired a further 6,225,000 ordinary shares ("LSR Shares") in The Local Shopping REIT plc ("LSR") at an aggregate cost of approximately £2.05 million. As a result, the Company is now beneficially interested in 19,093,376 LSR Shares, which represents 23.14 per cent of the issued share capital of LSR.

Duncan Soukup, Chairman of Thalassa Holdings Ltd, commented:

"Following this further share purchase and the resultant wholesale changes to the shareholder register of LSR, the Board of Thalassa intends to engage with the Chairman of LSR as soon as practicable, with a view to reviewing and changing LSR's investment policy approved in July 2013."

This announcement contains inside information for the purposes of Article 7 of Regulation 596/2014.

Investor Enquiries:

Thalassa Holdings Ltd

Duncan Soukup, Chairman +33 (0)6 78 63 26 89

WH Ireland Limited (Nominated Adviser and Broker)

Chris Fielding, Head of Corporate Finance +44 (0)207 220 1650

Press Enquiries:

Square1 Consulting (Public Relations)

David Bick +44 (0)207 929 5599

www.thalassaholdingsltd.com