The Board of Antonov plc is pleased to announce that it has successfully placed 1,800,000 ordinary shares with existing shareholders at an issue price of €0.50 per share. The Placing is expected to raise € 900,000, which will be used to support further prototype development for the automotive industry and wider industrial sector.

For every share subscribed for, one warrant will be attached. These warrants will be exercisable at Euro 0.55 per share and will expire on the 30th November 2006.

Application will be made at the earliest practicable opportunity for the new ordinary shares to be admitted to trading on AIM.

Commenting on the placing David Bovell, Antonov’s Finance Director, said:-

"This Placing combined with existing facilities will underpin the Group’s short and medium term commitments, We expect to deliver our first AAD prototype to Powertrain Limited, our tier 1 industry partner shortly and we are currently expanding and accelerating the development of our new DCA "dual clutch" automatic gearbox, which will be available in 2005. Our shareholders, as always, remain supportive and I look forward to providing further business updates in due course."