TDAG Debt Advisor

RNS Number:8294Z
Debt Advisor Group (The) PLC
06 July 2007


                           The Debt Advisor Group plc
                            ("the Company" or "DAG")

                           Related Party Transaction


The directors of the Company confirm that on 6 July 2007, the administrators of
the Company's principal subsidiary, The Debt Advisor Limited (being M Horrocks
and RS Cash) agreed to dispose of certain assets of The Debt Advisor Limited to
DM WSL 565 Limited, a company controlled by, amongst others, Beverley Budsworth.

Beverley Budsworth is currently a director of The Debt Advisor Limited and a
shareholder of 2,247,191 ordinary shares of 0.5p each in the Company  ("Ordinary
Shares") (2.6% of the total number of issued Ordinary Shares).

The principal assets to be sold are all the interests in the insolvency and debt
management cases which have an estimated value of #750,000 (being the
consideration for the transaction). The turnover associated with the
transferring assets, as set out in the management accounts prepared for the 7
month period ended 30 April 2007, is #1,000,000 and the assets generated a loss
before interest, tax and depreciation, over the same 7 month period, of
#198,000.

The consideration for the transaction is #750,000 of which #690,000 was paid in
cash on 6 July 2007 and the remainder is payable on 15 January 2008, conditional
upon certain conditions being met. These monies will be used by the
administrators of the Debt Advisor Limited to settle some of The Debt Advisor
Limited's outstanding debts and liabilities.

The director of DAG considers, having consulted with DAG's nominated adviser, WH
Ireland Limited, that the terms of the transaction are fair and reasonable
insofar as its shareholders are concerned.

As a result of a cross guarantee held by the secured lenders to The Debt Adviser
Limited it is expected that the disposal will generate a minimal return for the
Company. This return, together with proceeds from the realisation of other
assets in the Company, is likely to be insufficient to pay the claims of
creditors.


For further information, please contact:-

Mike Sutcliffe                                         Tel:  0870 950 0000
The Debt Advisor Group plc

David Youngman                                         Tel:  0161 832 2174
WH Ireland Limited


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