RNS announcement

TR-1: NOTIFICATION OF MAJOR INTEREST IN SHARES

1. Identity of the issuer or the underlying issuer of existing shares to which voting rights are attached:

Palace Capital plc

2 Reason for the notification:

An acquisition or disposal of voting rights

3. Full name of person(s) subject to the notification obligation:

Bank of America Corporation

4. Full name of shareholder(s) (if different from 3.):

Merrill Lynch International

5. Date of the transaction and date on which the threshold is crossed or reached:

13th March 2014

6. Date on which issuer notified:

17th March 2014

7. Threshold(s) that is/are crossed or reached:

Above 5%, 6%

8. Notified details:

A: Voting rights attached to shares

B: Qualifying Financial Instruments

C: Financial Instruments with similar economic effect to Qualifying Financial Instruments

Total (A B C)

9. Chain of controlled undertakings through which the voting rights and/or the financial instruments are effectively held, if applicable:

Merrill Lynch International - 750,000 - 6.028%

Proxy Voting:

10. Name of the proxy holder:

11. Number of voting rights proxy holder will cease to hold:

12. Date on which proxy holder will cease to hold voting rights:

13. Additional information:

14. Contact name:

Kim Oakley

15. Contact telephone number:

0207 996 0275