Benefon Oyj - Company Announcement

BENEFON ARRANGES A SET OFF ISSUE

Benefon today announced that the Board of Directors has decided to arrange a set
off issue to the company's certain creditors as follows.                        

The Board decided on its meeting May 21, 2007 to arrange a directed issue of    
shares by virtue of authorization granted by the Annual General Meeting of April
16, 2007 for a total maximum amount of EUR 1,134,181.20 (“Offering”) to certain 
below mentioned creditors.                                                      

The maximum number of new investment series shares offered for subscription is  
7,974,724 and subscription price is between EUR 0.12 and EUR 0.26 per share. The
Offering is directed to the following creditors:                                

Creditor                      Liability/   Price/.    Shares                    
                              EUR          share	                               
Cambell Investment Group Ltd  300,000.00   0.14       2,142,857                 

K4 Limited                    253,681.20   0.12       2,114,010                 

Privanet Pankkiiriliike       30,500.00    0.14       217,857                   

Octagon Solutions Ltd         420,000.00   0.14       3,000,000                 

DataArt Technologies UK       130,000.00.  0.26       500,000                   

TOTAL                       1,134,181.20              7,974,724                 


Of the share subscription price EUR 0.01 is booked to share capital and the     
remainder in invested unrestricted equity fund. As a result of share issue      
company's share capital may increase by a maximum of EUR 79,747.24.             

Subscription period for the Offering begins on May 22, 2007 and ends on June 6, 
2007. The new shares subscribed for are equivalent of their right with company's
existing investment series shares and will be applied for listing as soon as the
respective share subscriptions have been made and shares registered in trade    
register. Listing of the shares subscribed for in the Offering of shares shall  
take place as soon as practicable.                                              


May 23, 2007                                                                    

BENEFON OYJ                                                                     

Tomi Raita                                                                      
CEO                                                                             

For more information, please contact:                                           
Tomi Raita, CEO, tel. +358-2-77400                                              
www.benefon.com                                                                 

Distribution:                                                                   
Helsinki Exchanges                                                              
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