Impax Asian Enviromental Markets plc C share issue

Further to the announcement made on 23 July 2010, the Board of Impax Asian Environmental Markets plc (the "Company") is pleased to announce that, in light of continuing demand for the Company's Ordinary Shares, it is seeking to raise new monies through the issue of C Shares by way of Placing, Open Offer and Offer for Subscription (the "Issue").

The C Shares will convert into Ordinary Shares rankingpari passuwith the existing Ordinary Shares, no later than 31 December 2010. Subscription Shares will be issued as a bonus on the Ordinary Shares arising on conversion, on such a basis so as to maintain the current ratio of Ordinary Shares to Subscription Shares. Such Subscription Shares will rankpari passuwith the existing Subscription Shares and have a 4 year life and a single exercise price of 100p.

The Issue is being structured so as to ensure that existing shareholders do not suffer dilution to their NAV.

A prospectus containing full details of the Issue will be published in early October, with Admission expected to occur at the end of October.

A marketing fact sheet has today been published and will shortly be available on the Company's website.

For further information, please contact:

Ian Simm
Impax Asset Management
020 7432 2619
Dominic Waters
Collins Stewart Europe Limited
020 7523 8473

This announcement is for information purposes only and does not constitute, or form part of, any offer to sell or an invitation to purchase or subscribe for shares, nor may it or any part of it, nor the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating thereto. Any application to subscribe for shares in the Company under the proposed Placing, Open Offer or Offer for Subscription must be made only on the basis of the published prospectus. Accordingly this announcement should not be relied upon for the purposes of making an investment in the Company and should not be considered as a recommendation by Collins Stewart Europe Limited, Impax Asset Management Limited or the Company or any of their directors, officers, employees, agents or advisers. Neither Collins Stewart Europe Limited nor Impax Asset Management Limited nor any of their directors, officers, employees, agents or advisers accepts any liability or responsibility for the accuracy or completeness of, nor makes any representation or warranty, express or implied, with respect to, the information contained in this document or on which this document is based or any other information or representations supplied or made in connection with the proposed Placing, Open Offer and Offer for Subscription of C Shares in the Company.

Collins Stewart Europe limited, which is authorised and regulated in the United Kingdom by The Financial Services Authority, is acting for Impax Asian Environmental Markets plc and for no one else in connection with the contents of this announcement and will not be responsible to anyone other than Impax Asian Environmental Markets plc for providing the protections afforded to clients of Collins Stewart nor for giving advice in relation to the contents of this announcement or any other matter referred to herein.
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