VYKE COMMUNICATIONS PLC. Is Viop the future for mobile Phones?

Vyke Communications Issue of Equity


RNS Number:8621O
Vyke Communications PLC
02 January 2007



For immediate release 02 January 2007

Vyke Communications Plc.
("Vyke" or "the Company")

The Board of Vyke announces that following the completion of acquisition of
Genme Services Sdn Bhd ("Genme") announced on 5 October 2006, it has issued
40,000,000 new Ordinary Shares of 1p each, in the Capital of the Company
("Ordinary Shares") at 1.25p per Ordinary Share in exchange for the entire
issued share capital of Genme. Application will be made for the new Ordinary
shares to be admitted to trading on AIM.

Of the total of 40,000,000 new Ordinary Shares, 11,865,901shares are locked-in
for three months, 1,573,727 shares are locked in for nine months and 4,721,181
shares are locked in for 12 months. In addition a further 4,500,000 Ordinary
Shares are held in escrow for 12 months and 4,500,000 held in escrow for 24
months as security for certain guarantees made by the sellers to Vyke. In each
case the lock-in or escrow periods run from 7 December 2006.

Following the issue, the Company has 442,789,559 Ordinary Shares in issue. As
result of the issue Inovas Telecommunications Sdn Bhd, a Malaysian company,
holds 20,432,177 Ordinary Shares representing 4.61% of the issued Ordinary Share
capital of the Company. Directors' interests in the shares of the Company, which
do not change as a result of the issue now represent the following percentages
of the issued Ordinary Share capital:

Shares percentage
Tommy Jensen 26,198,783 5.92%
Hans-Arne L'orange 6,116,665 1.38%
Terje Ask-Henriksen 1,000,000 0.23%
Kim Berknov - -





For further information please contact:

Vyke Communications Plc +47 9242 6437
Hans Arne L'orange, CEO

Threadneedle Communications 020 7936 9605
Graham Herring / Josh Royston



Notes to Editors

About VYKE

Vyke Communications plc is headquartered in the UK with subsidiaries and offices
in Norway, USA, Iceland and Malaysia. The strategic goal of Vyke is to combine
its expertise in VoIP-based communication systems, mobile data service creation/
handset technology and wholesale carrier network management to provide a
converged communication solution. Vyke's current set of mobile-oriented products
offers up to a 70% discount compared to current typical mobile operator pricing
structures.

About VYKE Mobile

VYKE Mobile enables a mobile phone user to make inexpensive international calls,
principally over the internet, directly from a mobile phone. To make a call the
phone user first launches the pre-installed VYKE application and then dials the
destination number. For GPRS and 3G mobile phones a data message is sent over
the Internet to the VYKE platform. Thereafter, Vyke sets up both legs of the
call to the desired destination and to the call originator.

To make a call using a GSM mobile phone, the phone user writes a conventional
SMS that includes the specified keyword i.e. "call" and the destination phone
number. This SMS is then sent by the mobile phone user to the VYKE platform
where both legs of the call are set up, as described above for GPRS, 3G and
mobile phones.

The new dual radio phone handset (the WiFi radio) will, with this new Vyke
service, be a VoIP service from the handset itself, as Vyke PC today. The
service will at the beginning of a call using an "open", unlicensed spectrum
connection e.g. WiFi as the initiating callers IP connection. In this manner the
call flow and cost structure are similar to a Vyke PC to phone call.




This information is provided by RNS
The company news service from the London Stock Exchange

END