KIT digital Files for Public Offering of Common Stock

DUBAI, UNITED ARAB EMIRATES and NEW YORK, NY, Jun 24
(MARKET WIRE) --
KIT digital, Inc. (OTCBB: KDGL), a leading global provider of on-demand
software solutions for managing and monetizing IP-based video assets, has
filed a Form S-1 registration statement with the U.S. Securities and
Exchange Commission (SEC) for a proposed underwritten public offering of
the company's common stock. The company expects to effectuate its listing
on the NASDAQ Capital Market concurrently with this offering.

KIT Media Ltd., the company's largest single stockholder, controlled by
KIT digital's chairman and CEO, Kaleil Isaza Tuzman, intends to purchase
at least $3.35 million of common stock in this offering, at the same
price and terms as other investors in the offering. KIT digital President
Gavin Campion is also an investor in KIT Media, as are several members of
the company's board of directors.

The company intends to use the net proceeds of the offering primarily to
finance accretive acquisitions or investments in competitive businesses,
products and technologies as a part of its growth strategy. The company
also intends to use a portion of the proceeds to repay a $1.5 million
outstanding senior secured term loan, as well as for working capital and
general corporate purposes, including a small amount -- less than $1.0
million -- to potentially pre-settle future equity earn-out payments to
shareholders of previously acquired companies.

The company plans to begin selling the offering during the second half of
July and close the offering in the first half of August, with the actual
time frame dependent upon the SEC review of the registration statement.
Further information regarding the registration statement is available via
the SEC's website at www.sec.gov, under the company's CIK number:
0001076700.

This press release does not constitute an offer to sell or solicitation of
an offer to buy any securities. Any such offer may be made only pursuant
to the company's final prospectus for the offering and only in states in
which the offering is registered or exempt from registration and by
broker-dealers authorized to do so. The securities to be offered by the
prospectus are speculative and involve a high degree of risk.

About KIT digital

KIT digital, Inc. (OTCBB: KDGL) is a leading, global provider of on-demand
content management software solutions for managing IP-based video assets.
Through its end-to-end platform, KIT digital works closely with consumer
brands, content providers and telcos to maximize the value of video
content via the Internet, mobile networks and IPTV set-top boxes. The KIT
VX platform allows clients to ingest, manage, distribute and publish
digital video content, build online/mobile communities and integrate
advertising. KIT offers businesses a full range of interactive marketing
solutions and KIT clients can access approximately 80 KIT-syndicated
channels and 40,000 KIT-syndicated videos. KIT digital clients include
Associated Press, Disney-ABC, General Motors, IMG, Kmart, NASDAQ, News
Corp, RCS, Telefonica and Verizon. KIT digital has principal offices in
Dubai, Melbourne (Australia), Prague, Toronto and London. For additional
information, please visit www.kitd.com.

Forward-Looking Statements

This press release contains certain "forward-looking statements" related
to the businesses of KIT digital, Inc. which can be identified by the use
of forward-looking terminology such as "believes," "expects" or similar
expressions. Such forward-looking statements involve known and unknown
risks and uncertainties, including uncertainties relating to product
development and commercialization, the ability to obtain or maintain
patent and other proprietary intellectual property protection, market
acceptance, future capital requirements, regulatory actions or delays,
competition in general and other factors that may cause actual results to
be materially different from those described herein as anticipated,
believed, estimated or expected. Certain of these risks and uncertainties
are or will be described in greater detail in our public filings with the
U.S. Securities and Exchange Commission. KIT digital, Inc. is not under
any obligation to (and expressly disclaims any such obligation to) update
or alter its forward-looking statements whether as a result of new
information, future events or otherwise.

Investor Relations Contact:
Matt Glover
Liolios Group
Tel. +1-949-574-3860
Email Contact

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