Issue of Equity & TVR

AIM: MERC

Merchant Securities Group plc

("Merchant Securities" or the "Company")

Issue of Equity and Total Voting Rights

The Company announces that application has been made for the admission to AIM of 69,444 new ordinary shares of 1p each in the Company ("Ordinary Shares"), pursuant to the exercise of options by an employee of the Company. The new Ordinary Shares rank pari passu with the Company's existing issued ordinary shares, and dealings are expected to commence on 4 March 2011.

Following Admission, the Company's enlarged issued share capital will comprise 51,347,872 ordinary shares. Therefore the total number of ordinary shares with voting rights is 51,347,872. This figure of 51,347,872 ordinary shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA's Disclosure and Transparency Rules.