- GOOD NEWS HOLDING GROUP (BVI) CORP Will Receive $150 Million Funding Facility

Online, July 2, 2011 (Newswire.com) - - GOOD NEWS HOLDING GROUP (BVI) CORP (www.goodnewsgroup.com) announced today that it will receive a US $150 Million funding facility from Equity Partners Fund SPC. The funding structure is a 3 year facility; further terms of the funding were not disclosed. The company plans to IPO on the German Stock Exchange.

1.1. Strategic Pillars for GNG:

In 2010 Good News Group reviewed the Group's strategic pillars with the purpose of looking at how GNG could best continue to serve their audiences using the advances in technology and the rapidly changing media and entertainment landscapes. The outcome of this exercise was based on five key themes that constitute the strategic pillars of GNG for now and years to come:

Market impact: we must well perceive the limits and boundaries of GNG in the media and entertainment markets and must realize the spaces in the market that we cannot and will not attempt to intrude.

Focus: we have a clear mission that we all believe in and we must have a specific focus on honestly delivering that mission to the nation.

Quality: in the content and the delivery to our audiences.

Efficiency: Creating and delivering more entertainment and media content using the adequate relevant resources.

Diversification: of our entertainment & media content to suit all cultures, genders and ages.

1.2. Mission for GNG:

"We provide people with creative, respectful and diversified media and entertainment content by motivating everyone in GNG to give their best, creating an environment for success and high value to our shareholders".

1.3. Keys to Success:

Good news Group started in 1987 as a publications shareholding company. Today, GNG has grown to be one of the largest and most diversified Media and Entertainment Companies in the region with businesses in film industry, interactive and digital services, Radio & television, Music production and Publishing.

The Company structure has been adopted from some of the leading media and entertainment companies in the world, such as AOL, Time Warner and Viacom.

A key objective is producing and providing superior entertainment content and adopting new content distribution practices to grow our customer base and to deliver a targeted audience experience.
Some key success facts about GNG:

• The Group has been operating for over 23 years depending on self financing with Zero leverage up to date and since inception;
• Considered the only entity in the ME which falls under the category of "one Stop Shop";
• Established as a BVI Company having fully owned 7 specialized subsidiaries in the areas of media, entertainment & technology;
• Partners share 66 cinema screens, the only 2 FM Private Stations in Egypt, 8 Virgin Mega stores in Beirut and Cairo, 2 daily newspapers, 5 magazines, 7 supplements, one advertisement agency, 65% of Arab market share in mobile content, the new partnership with Google Online, and the revenue of Best Selling Arabic movie production;
• A huge addressable market mainly the middle class which forms 60% of the MENA population;
• Operating in the media & entertainment which is a Defensive Sector and least affected by the downturn in the economy;
• Has long term contracts with celebrities such as: Adel Emam, Omar El Sharif, Amr Diab, Mahmoud Abdel Aziz, Magda El Roumy, Anis Mansour,
• Owns the biggest Arabic Digital Content library in the MENA region;
• Already has 62% market share in the digital content industry;
• Has strong and committed management having relevant expertise of over 17 years;
• Has a strong corporate governance structure;
• The Group business has a very strong regional presence as it is operating in 8 countries in the MENA region and not centralized or dependent on one country or one economy;
• Has very strong alliances and cooperation with the strongest international and regional players in the field like Google, Microsoft, Oracle, Sony, RRC, Etisalat, Vodafone, Mobily, Zein, Jawal, Mobinil, MBC, ART, Rotana, Al Shark Al Awsat, Virgin Mega Stores.
• Mobile content:

The future is mobile, where the world has entered the fifth major technology cycle, as the trends of "3G + Social Networking + Video + VoIP + Impressive Mobile Devices" converge.

Mobile E-Commerce, Virtual Goods, Applications, Video and Information channels will be the main resources people seek to access with their mobile devices.
GNG strategic focus in terms of content is in:

• Film Industry:
• Film production company launched in 2004
• Cinema theaters - owning 66 screens.
• Publications - Regional Newspapers and Magazines:
• Kol Al Nas - A weekly family magazine
• Allam Al Yom - The first daily financial newspaper
• Party - A monthly lifestyle magazine
• Adam Al Youm - A monthly magazine for men
• Nahdet Misr - The first liberal daily newspaper
• Good News Cinema - The only magazine specializing in the film industry
• TV and Radio - Content, programming and management:
• Nile FM - The first private commercial English FM radio station
• Nogoum FM - The first private commercial Arabic FM radio station
• Digital Content and Service Delivery:
• Leading Content and service provider for Mobile Network operators in the ME
• Aggregator for several major international online content providers
• Digital content developer
• Owns and continuously develops its delivery platform through wireless (WEB, SMS, MMS), IVR (voice), 3G (video) and digital cable satellite
• Theaters, Cafes and Mail - Retails and event planning:
• Virgin Mega Stores (9 stores across the region)
• Dandy Grand Mall
• Good News Content and Information Center

The funding agreement is designed to allow Good News Group to start 3 new TV stations,
GNG plans to enter Pan-Arab TV broadcasting in a phased manner, launching 1 channel in 2nd half of 2011 and 2 channels in 2012 - 2013.

The Good News Bloomberg financial channel is the most significant of the 3 planned channels and will allow GNG to leverage their financial reporting knowledge base:

GNG has the leading financial newspaper, launched 22 years ago, which includes a network of 260 journalists.

This network provides a head start to generate content & creates synergies between GNG Bloomberg & GNG Publishing.

The other two channels will be a talk show and an entertainment channel.

All 3 channels will use state-of-the-art facilities of TwoFour54 Media City in Abu Dhabi, sharing production equipment and other services. and to take over other listed media groups.

Mr. Chairman Mr. Emad Adeeb said "This funding agreement with Equity Partners will form the cornerstone of :

• Managing the risks of the media and entertainment activities using the phenomena of multiple products as well as multiple markets, clients and suppliers.

• GNG will maximize the revenue through multiple sales of each product in its own frame (produce once and sell many).

• To strengthen GNG competence in the markets, we will integrate our services and products within the Group.

• We will keep our market leadership in the industry not only by sustaining our products to be the best, but also by making our clients actually the best and making sure that they continue to be the best and accretive EBIDTA positive acquisitions over the next five years. It enables a clear path to the expansion of our activities and projects. We will also be seeking acquisitions of listed companies which can add value geographically and strategically."

Further info about GOOD NEWS GROUP:

Our market is the pan-Arab nation which is located primarily in the MENA region and united by language, heritage and culture. Generally, their populations are young and growing quickly; their economies are expanding on the basis of liberalizing reforms; and their telecommunications infrastructure is improving. All of these and other demographic, macroeconomic and technological factors that create our media and entertainment market that span the MENA region.

The economies of the Arab Region have been affected by the global economic crisis, displaying a reduction in nominal GDP of 10% on average in 2009. The media industry has also been directly impacted, with advertising revenues in the region dropping by 14% in 2009.

However, in spite of these challenging times, fast recovery is expected. Based on PwC projections (Arab Media Outlook 2009-2013), advertising revenues will return to their pre-crisis 2008 levels by the end of 2011 and will continue to see growth at a CAGR of 8% from 2009 until 2013. Furthermore, the industry itself is optimistic about the future, with nearly 60% of industry stakeholders that PwC interviewed feeling positive about the state of the Arab media industry in 2010. Indeed, we are seeing some positive trends in the industry, particularly with the growth in digital media and the structural changes that the industry is witnessing, including consolidation, which is helping to create a more efficient industry structure.

Meanwhile, trends and technological advances affecting the global media and entertainment industry are also playing a role in our market. Consolidation within the industry is leading to the creation of large, integrated media companies at the same time as advances in technology lower the cost of entry into the industry, permitting smaller competitors to establish themselves in niche segments of an increasingly fragmented market. The convergence of telecommunications, publishing and broadcasting, for its part, means that content delivery options are no longer only linear.

Instead, as the cost of receiving large volumes of the data decreases, consumers are increasingly able to enjoy content at the time and place, and on the device, of their choosing. These changes have increased competition for advertising revenue and consumer's attention and spending. Moreover, as content is digitized, it becomes more prone to unauthorized reproduction and distribution.

About Equity Partners Fund SPC:

Equity Partners Fund focuses on equity investments in public companies as well as private companies that will be listed on a securities exchange within six months of a funding commitment. The fund will invest in all sectors including media, infrastructure, manufacturing, construction, mining, communications, healthcare and finance.

Fund spokesperson Bruce Nelson says, "The fund is considered a private fund run by its principals, similar to a merchant bank that invests its own capital. Unlike hedge funds which have significant regulatory burdens exposing their investors to higher risks, Equity Partners Fund is able to act quickly, is more flexible when it comes to structuring an investment and has less regulatory burdens."
For information on Equity Partners Fund SPC go to www.equitypartnersfund.com.

Contact: GOOD NEWS SPOKESPERSON
Good News Holding Group (BVI) Corp
2 Abdel Kader Hamza St.
Garden City, Cairo, Egypt, 11461
Egypt
Attention: Mr. Emad El Din Adeeb
Telephone (+202) 2792 4040 ext 200
Facsimile: (+202) 2792 4040 ext 266
Email: aelmasry@gn4me.com