ELEP Evchrgingaccgbx

    ELEP
29 August 2008
                         ELEPHANT LOANS & MORTGAGES PLC
                         ("Elephant" or, "the Company")
                                        
                             Update to Shareholders

Elephant  Loans  &  Mortgages plc announces that negotiations to  undertake  the
previously announced proposed reverse takeover have now been terminated.

The  Company  is  currently  in separate negotiations  regarding  a  refinancing
package  and  expects  to  report back to shareholders shortly.   The  Company's
shares will remain suspended until these matters are clarified.


For further information please contact:
www.elephantloans.co.uk

Elephant Loans & Mortgages plc
Gary Miller-Cheevers, Chief Executive                    T: 020 8892 2777

Simon Hargreaves, Non-Executive Chairman                 T: 07768 637 643

Blomfield Corporate Finance (Nomad)
Nick Harriss                                             T: 020 7489 4500

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