DGAP-News: Metis Capital Ltd.: METIS AUSTRIA purchases hotel in Vienna

| Source: EQS Group AG
Metis Capital Ltd. / Contract


Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

Tel Aviv/ Israel; March 6, 2008 – Metis Capital Ltd. (Prime Standard: EIC;
TASE: MTSC) Following the Company's immediate report, dated November 27,
2007, the Company announces that fully-owned subsidiary, METIS AUSTRIA
Immobilien-und Beteiligungsgesellschaft m.b.H, executed on March 3, 2008,
an agreement to purchase a hotel in Vienna, Austria. The Hotel is in the
advanced stages of construction which is expected to be completed by June
30, 2008, and the Hotel is expected to open in September 2008. The handover
of the hotel, ready for operation shall take place no later than August
31st, 2008.

METIS AUSTRIA should purchase the Hotel when it is fit and ready to operate
including furniture and equipment, for €7,500,000 plus VAT, apportioned as

a) €4,900,000 to settle the seller debts with ERSTE BANK DER
b) €1,850,000 in consideration for the land.
c) €750,000 in consideration for the furniture and equipment.

In addition, METIS AUSTRIA shall also pay €375,000 to a third party in
respect of brokerage and agency fees as well as for assistance with getting
a bank loan as well as €365,000 for Land Appreciation Tax and registration.
The entire purchase of the seller's obligation to the bank in the amount of
€4,900,000 and the payment of €365,000 in respect of Land Appreciation and
Registration is due 5 days after the end of the  Construction Date month.
An additional payment of €600,000 shall be payed to the seller after
registration of title in the land, €1.85 million after the handover date
and another €150,000 will be held in Escrow for METIS AUSTRIA as seller
collateral for 3 years from the Handover Date. The seller is entitled to
receive this amount against a bank guarantee. The payment for the brokerage
services will be completed after the Handover Date.

In parallel, METIS AUSTRIA approached the Bank to get a loan to finance the
purchase of the Hotel up to €6,800,000 for a period of 12 years. In the
first two years METIS AUSTRIA shall pay interest only. The remainder of the
loan will be repaid in 40 quarterly installments in varying amounts. The
first four payments will be in the amount of €50,000, 8 additional payments
of €75,000, 27 additional payments of €100,000 and the last payment will be
of €3.3 million Euro. The interest is EUROBOR for 3 months plus 1.4%

In order to get the credit the hotel, shares in METIS AUSTRIA, bank
accounts of METIS AUSTRIA and receivables of METIS AUSTRIA will be
registered in favor of the Bank. The return of other loans and the
interests thereon dividends and other payments, will be second to the
bank's loan. The Financial conditions of the loan include a maximum ration
of 75% between the loan and the value of the hotel and ratio EBITA to the
interest and capital payments (DSCR) above 1.1.

The Company will sign a guarantee in favor of the bank for the loan. As
well, the Company will raise a loan in the amount of €1.75 million for
METIS AUSTRIA to finance the Private Capital required for the purchase of
the hotel.

Against this amount, the bank will give a guarantee of €2.6 million in
favor of the seller. The purchase was completed after a period of Due
Diligence by a company of experts.

The Hotel is a 4-Star Hotel in the advanced stages of construction and is
expected to open in September 2008. The Hotel will include 8 floors above
entrance floor and underground parking area, and will contain 67 rooms. The
Hotel with 2,700 square meters is built on land of 347 square meters
located at LANDSTRASSE, Vienna, Austria.

METIS AUSTRIA is intending to execute an agreement to rent the hotel to a
company specializing in operating hotels.

Further, in accordance with the Company's prospectus dated May 29, 2007,
Metis hereby announces that on March 5, 2008, Metis Capital Real Estate
Ltd., a fully owned subsidiary of the Company, sold NIS 20,077 worth of
debentures (series A) of the Company at a price of 98.00 NIS per 100
debentures. The total sum received by the subsidiary is NIS 19,636 net of

Metis Capital Ltd.
Yaakov Dovrat, CFO
Phone:  +972-3-537 3000
E-mail:  investor@metis-capital.com

Janina Wismar
Investor Relations
Phone: +49-40-60918650
E-mail: janina.wismar@kirchhoff.de

DGAP 06.03.2008 
Language:     English
Issuer:       Metis Capital Ltd.
              30 Hamasger Street
              61090 Tel-Aviv
Phone:        +972 (03) 537-3000
Fax:          +972 (03) 537-4000
E-mail:       investor@metis-capital.com
Internet:     www.metis-capital.com
ISIN:         IL0003570129
WKN:          936734
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Stuttgart, München, Hamburg, Düsseldorf
End of News                                     DGAP News-Service