FEI Fund-E Inv

    Fundamental E Investments plc ("FEI" or the "Company")             

                      Issue of Equity / Directors Dealing                      

The Board of the Company announces that on 2 August 2006 that various warrant
holders exercised warrants over 140,400,000 new ordinary shares in the Company
at a price of 0.125 pence per share, representing approximately 12.9% of the
newly enlarged share capital. The proceeds of the issue amounted to
approximately �175,500 and will be used as additional working capital for the
Company.

The new ordinary shares will rank pari passu with the existing ordinary shares
in the Company and trading of these shares on AIM is expected to commence on 9
August 2006.

The newly enlarged share capital of the Company is 1,089,826,447 shares of 0.1
pence each.

There are no other warrants over the ordinary shares in issue.

Pursuant to section 198 of the Companies Act the Company has been informed of
the following disclosable interests:-

Shareholder            Number of shares    Total beneficial       % of enlarged
                       acquired pursuant   interest               share capital
                       to the exercise of                                      
                       the warrant                                             
                                                                               
Jonathan Nelson        32,000,000          113,164,706            10.38%       
                                                                               
Stephen Thomson        40,000,000          80,000,000             7.34%        
                                                                               
Mike Hill              4,000,000           8,000,000              0.73%        

End

Contact

Liam Murray, Nominated Adviser

City Financial Associates Limited

Tel 020 7090 7800



END

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