Waiver of share option scheme

Paragon Entertainment Limited

Waiver of share option scheme

Paragon Entertainment Limited (AIM: PEL), the attractions design, production and fit-out business, today announces that under the terms of a waiver executed yesterday all participants in the Paragon Entertainment Investments Limited incentive scheme ("PEIL Scheme") which was established in December 2011 (and amended in June 2016) have given up their rights under the PEIL Scheme irrevocably and in full for no valuable consideration. As a result the PEIL Scheme is now effectively cancelled.

Participants in the scheme comprised Mark Taylor, Mark Pyrah and John Dobson all directors of the Company.

The Company expects to announce the full FY17 results during May when further information on FY18 trading will be provided.

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 ("MAR").

David Bridgford, non-executive director commented:

"Given the recent trading performance of the business none of the participants in the PEIL Scheme felt that it was appropriate for any shares to vest as a result of their participation in that scheme. The remuneration committee will give further thought to the re-establishment of long term incentives for senior management in due course, though currently all of our focus remains on the business."

About Paragon

Paragon Entertainment Limited (AIM:PEL) is an award winning provider of attraction services from initial design production and consulting through to the fit out and installation of themed attractions, heritage exhibits, museums, aquariums and water parks, inter alia. Paragon Entertainment is the holding company for Paragon Creative Limited.

The Group's projects have included:

· The build of Rolling Stones Exhibitionism at the Saatchi Gallery, London;

· The design and build of Kidzania, London;

· The design and build of galleries at the Olympic Museum for the IOC in Lausanne, Switzerland;

· The design and build of the galleries at The National Museum of Kazakhstan;

· The design and build of Titanic Belfast; and

· The thematic build of the Wallace and Gromit ride at Blackpool Pleasure Beach.

The Group listed on AIM in 2011. Further information can be found at http://www.paragonent.com.