Millennium Investment & Acquisition Company Announces Updated Valuation of $11.6 million for Investment in SMG Global and updated Investor Presentation

8/22/17

Millennium Investment and Acquisition Co. Inc. (OTC PINK: MILC) today provided a corporate update on its investment in SMC Global and announces that it has updated its investor presentation which is available on its website (www.millinvestment.com).

SMC Global

SMC Global Securities Ltd. ("SMC Global") is a financial services firm headquartered in New Delhi. Its products and services include institutional and retail brokerage, equity and commodity research, equity, commodity and derivative arbitrage and trading, on-line trading services, investment banking, custodial services, clearing services, distribution of mutual funds, IPOs and insurance products, and wealth management services. SMC Global has a significant platform across India covering over 500 cities with more than 1.6 million individual clients, a network of over 2,400 sub-brokers. MILC believes SMC Global represents an attractive platform in the rapidly modernizing India economy.

As previously disclosed, MILC has entered into a Right to Sell Agreement (the "Right to Sell") with the "promoter group" (management) of SMC Global pursuant to which MILC will have a right to sell 100,000 shares of SMC Global back to the "promoter group" of SMC Global on the first day of each month commencing with April 1, 2016 continuing until SMC Global completes a qualified public offering and listing on either a primary stock exchange in India or the Unites States. The purchase price will be the Fair Market Value of the stock at the time of the transaction. There can be no assurance the "promoter group" will comply with their obligations related to the Right to Sell Agreement.

To date, pursuant to the Right to Sell, MILC has sold 1.7 million shares for total proceeds of $2.1 million, which translates to an average price of $1.24 per SMC Global share. This translates to cash generated of approximately $124,000 per month on average. In addition, MILC's tax basis is $2.94 per Global share. As such, MILC is establishing a Net Operating Loss which has potential value related to future tax exposure. For example, if MILC were to liquidate its entire remaining position at the average price it has sold stock to date, it would establish an NOL of approximately $20 million.

MILC currently owns 11,904,690 shares of SMC Global. Effective June 30, 2017, MILC today announces it has established a value of $0.98 per SMC Global share which translates to a total value of its SMC Global holding of $11.6 million. The value represents a private value/liquidity discount to the average sales price of $1.24 per SMC Global share that has been paid pursuant to the Right to Sell which would value MILC's position at approximately $15 million. MILC believes that the discount is warranted based on a private company/liquidity discount and the fact that there can be no assurance as to the continued performance and pricing for the sale of stock pursuant to the Right to Sell or the ability to sell MILC's entire remaining position and at what price. Having said that, MILC acknowledges that its valuation may prove conservative since the management of SMC Global is purchasing the shares at what it believes to be "Fair Market Value" and they hope that it will complete a pu blic offering at an even higher valuation in the near future.

In arriving at the valuation of SMC Global, MILC focused on two primary valuation metrics (Trailing PE multiple and Price to Book Value ratio) of a peer group of India based financial services companies as provided to MILC by SMC Global.

About Millennium Investment & Acquisition Company Inc. Millennium Investment and Acquisition Co. Inc. ("MILC"), formerly Millennium India Acquisition Co., is an internally managed, non-diversified, closed-end investment company. MILC currently holds a minority interest in SMC Global, an Indian financial services company, consistent with MILC's past investment strategy focusing on Indian investments. MILC now principally focuses on new investments in alternative energy. Consistent with this new strategy, MILC now owns an Activated Carbon plant in Hawaii and is actively seeking to expand its portfolio.

MILC essentially owns two assets (in addition to cash available for investment):

1) 10.5% of SMC Global - an India based financial services company
2) Millennium Carbon which owns an Activated Carbon plant located in Hawaii that produces a premium grade Activated Carbon for use in advanced energy storage.

Investors in MILC can gain financial exposure to India and Alternative Energy which are both attractive sectors for asset allocation. www.millinvestment.com

About SMC Global SMC Global Securities Ltd. ("SMC Global") is a financial services firm headquartered in New Delhi. Its products and services include institutional and retail brokerage, equity and commodity research, equity, commodity and derivative arbitrage and trading, on-line trading services, investment banking, custodial services, clearing services, distribution of mutual funds, IPOs and insurance products, and wealth management services. SMC Global has a significant platform across India covering over 500 cities with more than 1.6 million individual clients, a network of over 2,400 sub-brokers. MILC believes SMC Global represents an attractive platform in the rapidly modernizing India economy. www.smcindiaonline.com http://www.smctradeonline.com

About Millennium Carbon Millennium Carbon is a manufacturer of premium Activated Carbon that is attractive for energy storage. Millennium Carbon processes macadamia nutshell feedstock to produce Activated Carbon through a two-stage pyrolysis and steam activation facility located in Kawaihae on Hawaii Island. The plant can process upwards of 12,000 tons of macadamia nutshells per year.

Activated Carbon is a highly porous substance that confers benefits in various industrial and consumer applications including in filtration, emissions, and pollution remediation. Millennium Carbon's premium grade Activated Carbon has unique properties that make it particularly attractive for the manufacture of Ultracapacitors, an advanced energy storage device with significant benefits relative to conventional batteries. www.millcarbon.com 

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