Banro Files Preliminary Short-Form Prospectus for Proposed Financing

TORONTO, ONTARIO, Sep 02 (MARKET WIRE) --
Banro Corporation ("Banro" or the "Company") (TSX: BAA)(AMEX: BAA) is
pleased to announce that it has filed a preliminary short-form prospectus
in connection with a proposed marketed offering of US$35 million of
units, each unit consisting of one common share of the Company and
one-half of one common share purchase warrant. The underwriting syndicate
will be led by RBC Capital Markets and will also include CIBC World
Markets Inc., UBS Securities Canada Inc. and Raymond James Ltd. The
underwriters will be granted an option, exercisable for a period of 30
days from the date of closing of the offering, to purchase up to an
additional 15% of the offering to cover over-allotments and for market
stabilization purposes.

The Company intends to use the net proceeds of the offering to place
orders for long lead time items at Twangiza, to fund the development
costs of Twangiza, Namoya and Lugushwa and for general corporate purposes.

The units will be offered by way of a short form prospectus in all of the
provinces of Canada (other than Quebec) and will be registered in the
United States pursuant to a registration statement filed under the
multi-jurisdictional disclosure system, and will also be offered on a
private placement basis in certain jurisdictions outside of Canada and
the United States pursuant to applicable prospectus exemptions. A
preliminary short form prospectus relating to the offering has been filed
with each of the provincial securities regulatory authorities in Canada
(other than Quebec) and a registration statement relating to the offering
has been filed with the United States Securities and Exchange Commission
but has not yet become effective. These units may not be sold nor may
offers to buy be accepted prior to the time the registration statement
becomes effective. This press release shall not constitute an offer to
sell or the solicitation of an offer to buy nor shall there be any sale
of these units in any state or province in which such offer, solicitation
or sale would be unlawful prior to registration or qualification under
the securities laws of any such state or province.

Closing of the offering is subject to certain conditions, including, but
not limited to, receipt of all necessary securities regulatory approvals
(including the approval of the Toronto Stock Exchange and the American
Stock Exchange).

A copy of the preliminary prospectus may be obtained in Canada from RBC
Capital Markets Attention: Distribution Centre, 277 Front St. W., 5th
Floor, Toronto, Ontario M5V 2X4 (fax: 416-313-6066), or in the U.S. from
RBC Capital Markets Corporation, Attention: Prospectus Department, Three
World Financial Center, 200 Vesey Street, 8th floor, New York, NY
10281-8098.

Banro is a Canadian-based gold exploration company focused on the
development of four major, wholly-owned gold projects, each with mining
licenses, along the 210 kilometre-long Twangiza-Namoya gold belt in the
South Kivu and Maniema provinces of the Democratic Republic of the Congo.
Led by a proven management team with extensive gold and African
experience, Banro's strategy is to unlock shareholder value by increasing
and developing its significant gold assets in a socially and
environmentally responsible manner.

Forward-Looking Statements: Statements in this press release announcing
the proposed offering and the anticipated use of proceeds are
forward-looking statements within the meaning of the United States
Private Securities Litigation Reform Act of 1995 and forward-looking
information within the meaning of applicable Canadian securities laws
(collectively, "forward-looking statements"). Forward-looking statements
are statements that are not historical facts and that are subject to a
variety of risks and uncertainties which could cause actual events or
results to differ materially from those reflected in the forward-looking
statements, including the need to negotiate an underwriting agreement
with the underwriters and to satisfy the conditions set forth therein;
the need to satisfy regulatory and legal requirements with respect to the
proposed offering; risks related to the exploration stage of the
Company's projects; market fluctuations in prices for securities of
exploration stage companies; uncertainties about the availability of
additional financing; uncertainties related to fluctuations in gold
prices; the possibility that Banro may change its plans with respect to
one or more projects; and other risks and uncertainties described in the
Company's registration statement, in its Annual Report on Form 40-F and
Reports on Form 6-K filed with or furnished to the U.S. Securities and
Exchange Commission and in its annual information form dated March 28,
2008 and filed on SEDAR. Although the Company believes the expectations
reflected in the forward-looking statements are reasonable, results may
vary, and the Company cannot guarantee future results, levels of
activity, performance or achievements.

Contacts:
Banro Corporation
Mike Prinsloo
President and C.E.O., South Africa
+ 27 (0) 11 958-2885

Banro Corporation
Arnold T. Kondrat
Executive Vice-President, Toronto, Ontario
(416) 366-2221 or 1-800-714-7938

Banro Corporation
Martin Jones
Vice-President, Corporate Development, Toronto, Ontario
(416) 366-2221 or 1-800-714-7938

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