Board of Directors in Precise Biometrics sets terms for the share issue

*           Those who are shareholders in Precise Biometrics have
  preferential right to subscribe to one (1) new share on the record
  day August 27, 2009 for every three (3) existing shares.

*           The subscription price has been set to SEK 1.60 per
  share, which corresponds to a total issue amount of SEK 54.0
  million, provided that the share issue is fully subscribed.

*           The subscription period runs from August 31 - September
  14, 2009.

The board of directors in Precise Biometrics has set the terms and
conditions for the new issue of shares with preferential rights,
which was decided upon on July 30, 2009 by the Board of Directors.
The new issue of shares is conditional on a decision at an
extraordinary general meeting on August 21, 2009.

Each existing share in Precise Biometrics carries an entitlement to
one (1) subscription right. Three (3) subscription rights entitle
subscription to one (1) new share. The subscription price has been
set to SEK 1.60 per share, which means that the new issue of shares
will supply Precise Biometrics with a total of SEK 54.0 million,
prior to deductions for issue costs, through the issue of a total of
33 740 200 new shares. If the offer is fully subscribed the total
number of shares in Precise Biometrics will be 134 960 800 after the
share issue. The new issue of shares will increase the share capital
by a total of SEK 13 496 080 to a maximum amount of SEK 53 984 320
after the issue.

In light of the fact that Precise Biometrics in July 2009 announced
the largest order in the company's history, the company needs to
strengthen its working capital to secure continued growth.
Furthermore, the company intends to increase its market cultivation
within prioritized market segments and geographical markets by
increased sales and marketing resources. A strong financial position
is also expected to increase the potential of receiving additional
orders in similar size of the one received from US government
agencies in July 2009.

The record day at Euroclear to obtain subscription rights is August
27, 2009. The subscription period will run from August 31 - September
14, 2009, or a date to be decided by the board of directors.

Timetable for the new issue of shares
Extraordinary general
meeting                                                                            August
21, 2009

Prospectus
published                                                                                            around
August 24, 2009

Last day of trading in the share with right to participate
in the new
issue                                                                                                      August
24, 2009

First day of trading without right to participate in the new issue
                     August 25, 2009

Record day for participation in the new issue of
shares                                      August 27, 2009

Trading in subscription rights on NASDAQ
OMX                                             Aug 31 -  Sept 9,
2009

Trading in paid subscribed shares on NASDAQ
OMX                                       August 31, 2009 until the
new issues of shares is registered at the Swedish Companies
Registration Office

Subscription period for the new
issue                                                                    Aug
31 - Sept 14,  2009

Publication of the results of the new
issue                                                             September
18, 2009

Subscription undertakings
The Company's largest shareholder, Storebrand fonder, supports the
share issue and have committed to subscribe for their pro rata shares
corresponding to their current holding of 5.0 per cent. All members
of the board of directors and the corporate management have committed
to respectively subscribe for their pro rata shares in the share
issue. In total the commitments correspond to 6.4 per cent of the
shares in the issue.

Financial advisor
Remium AB is acting as financial advisor to Precise Biometrics in
conjunction with the new issue of shares.


For more information:
Thomas Marschall, CEO, Precise Biometrics AB
Tel: +46 46 31 11 10 or +46 734 35 11 10
E-mail thomas.marschall@precisebiometrics.com

Patrik Norberg, CFO, Precise Biometrics AB
Tel. +46 (0)46 31 11 47 or +46 (0) 734 35 11 47
E-mail patrik.norberg@precisebiometrics.com


Precise Biometrics is a market-leading provider of products and
solutions for fingerprint recognition. The technology proves people's
identities in a fast and secure way, while it reduces costs related
to password management, identity theft and fraud.

Precise Biometrics serves business and government organizations
throughout the world and its technology is licensed to close to 100
million users. Precise Biometrics is listed on NASDAQ OMX Stockholm
small cap list (PREC).
For more information, please visit www.precisebiometrics.com or view
an information video at www.precisebiometrics.com/share-issue-video

Precise Biometrics is required to make this information public as per
the Securities Market  Act and/or the  Financial Instruments  Trading
Act. The information was submitted for publication on 20 August  2009
at 08.00 AM.



Important information
The publication or distribution of this press release may in  certain
jurisdictions be subject to  restriction by law,  and persons in  the
jurisdictions  where  this  press  release  has  been  published   or
distributed  should  inform  themselves  of  and  follow  such  legal
restrictions.

This press release may not be made public, published or  distributed,
either directly or  indirectly in the  United States, Canada,  Japan,
New Zealand, South Africa, Australia or any other country where such
procedures are subject in full or in part to legal restrictions.  Nor
may the information in  this press release  may not be  communicated,
reproduced or presented  in any  way that  is in  conflict with  such
restrictions. Failure to follow this instruction may involve a breach
of the United States Securities  Act from 1933 ("Securities Act")  or
applicable laws in other jurisdictions.

This press release does  not contain or  constitute an invitation  or
offer to  acquire,  subscribe  to or  otherwise  trade  with  shares,
subscription rights or  other securities in  Precise Biometrics.  The
invitation to the persons concerned to subscribe to shares in Precise
Biometrics will only take place  through the Prospectus that  Precise
Biometrics intends  to  publish  around August  24,  2009,  and  this
Prospectus will contain financial statements and other information on
Precise Biometrics' board of directors and auditors.

Neither the subscription  rights, paid subscribed  shares or the  new
shares will be registered  in accordance with  the Securities Act  or
any other act in  Canada, and may not  be transferred or offered  for
sale in the United States or  Canada, or to persons domiciled  there,
or on behalf of  such persons, other than  in such exceptional  cases
where registering in accordance with the Securities Act or other  act
in Canada is not required.