Tetragon Financial Group Limited ("TFG") to Acquire Lyon Capital Management

LONDON, November 16 - TFG today announces that it has entered into a definitive
agreement with Calyon and certain of its affiliates (collectively, "Calyon")
under which TFG will acquire Lyon Capital Management LLC ("LCM") and certain
collateralized loan obligation ("CLO") securities.

LCM was established by Calyon, the Corporate and Investment
Bank of Credit Agricole Group, as an asset manager in 2001 and currently has
approximately $2.5 billion of loan assets under management. It is intended
that the existing LCM management team will continue in their current roles.

Paddy Dear, a director of TFG and a principal of Polygon
Credit Management LP, the investment manager of TFG (the "Investment
Manager"), commented: "We are very excited about the opportunity to bring
LCM, a profitable operating business, into TFG's asset pool. We think that
the introduction of such a business has the potential to provide TFG with a
high quality and repeatable income stream that would supplement TFG's current
income, which is generated primarily from the ownership of a portfolio of
CLOs, and will further position TFG to benefit from consolidation in the loan
management space."

"LCM currently serves as manager for two of the CLO deals held
by TFG and we have been very pleased with their performance," said Reade
Griffith, also a director of TFG and a principal of the Investment Manager.
"We think of them as an asset manager focused on credit fundamentals and they
have consistently been among TFG's best performing asset managers. We also
think there is good value in the CLO securities TFG is purchasing and that
aspect of the transaction fits nicely into TFG's core business."

The consummation of the transaction is subject to closing
conditions customary to similar transactions. The transaction is expected to
close early in the first quarter of 2010.

In connection with the transaction, LCM will enter into a
joint venture with an affiliate of the Investment Manager, Polygon Management
LP ("Polygon"), pursuant to which Polygon will purchase a 25% equity interest
in LCM. Certain Polygon affiliates will also enter into an agreement with LCM
to provide operating, infrastructure and administrative services to LCM,
including services that have historically been provided to LCM by Calyon.
Further information may be found on the TFG website at the following address:
www.tetragoninv.com/tfg/about/orgstructure.

About Tetragon:

Tetragon Financial Group Limited (TFG) is a Guernsey
closed-ended investment company traded on Euronext Amsterdam by NYSE Euronext
under the ticker symbol "TFG."

Tetragon Financial Group Limited (TFG) currently invests
primarily through long-term funding vehicles such as collateralized loan
obligations in selected securitized asset classes and aims to provide stable
returns to investors across various interest rate and credit cycles.

This release does not contain or constitute an offer to sell
or a solicitation of an offer to purchase securities in the United States or
any other jurisdiction. The securities of TFG have not been and will not be
registered under the US Securities Act of 1933 (the "Securities Act"), as
amended, and may not be offered or sold in the United States or to US persons
unless they are registered under applicable law or exempt from registration.
TFG does not intend to register any portion of its securities in the United
States or to conduct a public offer of securities in the United States. In
addition, TFG has not been and will not be registered under the US Investment
Company Act of 1940, and investors will not be entitled to the benefits of
such Act. TFG is registered in the public register of the Netherlands
Authority for the Financial Markets under Section 1:107 of the Financial
Markets Supervision Act (the FMSA") as a collective investment scheme from a
designated country. This release constitutes regulated information
("gereglementeerde informatie") within the meaning of Section 1:1 of the
FMSA.

    For further information, please contact:

    TFG:
    David Wishnow/Yuko Thomas
    Investor Relations
    ir@tetragoninv.com

    Press Inquiries:
    Finsbury
    Charles Chichester/Talia Druker/Rollo Head
    +44-20-7251-3801

PRN NLD

For further information, please contact: TFG: David Wishnow/Yuko Thomas, Investor Relations, ir at tetragoninv.com; Press Inquiries: Finsbury, Charles Chichester/Talia Druker/Rollo Head, +44-20-7251-3801