Digital Angel Shareholders Approve Acquisition by Allflex

Digital Angel Shareholders Approve Acquisition by Allflex

Digital Angel (OTCBB: DIGA), South St. Paul, MN, an advanced technology company in the field of emergency identification solutions, today announced that, at a special meeting held on July 14, 2011, stockholders of the company voted to approve the sale of the Company's animal identification business, Destron Fearing Corporation, to Allflex USA, Inc.

At the meeting, a quorum was established and the required majority of outstanding shares were voted to approve the sale of all outstanding Destron Fearing Corporation capital stock to Allflex and shareholders voted to approve the compensation of the Company's executive officers in connection with this transaction.

"We are very pleased that stockholders have given their support for the two proposals" said Joe Grillo, CEO of Digital Angel. "Following the closing of this transaction, we will look to move forward with plans to issue a special cash dividend to investors, as well as operate our remaining business with improved balance sheet liquidity and virtually debt free. Maximizing the value of our remaining assets for the benefit of our shareholders will become the primary focus of our operation."

The companies confirmed the intention to close the transaction on July 22, 2011, subject to satisfaction of the remaining conditions to the merger.

About Digital Angel
Digital Angel (OTCBB:DIGA) is an advanced technology company in the field of animal identification and emergency identification solutions. Digital Angel's products are utilized around the world in such applications as pet identification, using its patented, FDA-approved implantable microchip; livestock identification and herd management using visual and radio frequency identification (RFID) ear tags; and global positioning systems (GPS) search and rescue beacons for army, navy and air force applications worldwide. For further information please visit www.digitalangel.com.

Source: Digital Angel news release

08.04.2011