MAIL Incredimail Ltd. (MM)

IncrediMail Ltd. (Nasdaq:MAIL) announced today the pricing of its initial public offering of 2,500,000 of its ordinary shares at $7.50 per share for gross proceeds of $18.75 million. IncrediMail's ordinary shares will be listed on the Nasdaq Capital Market under the symbol "MAIL" and will begin trading on January 31, 2006. In addition, certain shareholders have granted the underwriters a 45-day option to purchase up to 375,000 shares to cover over-allotments. Maxim Group LLC is acting as the managing underwriter of the offering. The offering will be made only by means of the prospectus. Copies of the prospectus relating to this offering may also be obtained from Maxim Group LLC at 405 Lexington Avenue, New York, NY 10174. A registration statement relating to these securities was filed with and declared effective by the Securities and Exchange Commission. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. About IncrediMail Ltd. IncrediMail designs and markets an integrated suite of customized and entertaining email software products for the consumer market, offering users the ability to design highly personalized email presentations, with our large collection of multimedia content for email communication. Our products include; IncrediMail Xe which allows users to personalize email messages with creative features, offered free of charge, IncrediMail Premium, an enhanced version of IncrediMail Xe, IncrediMail Letter Creator enabling further personalization of backgrounds, The Gold Gallery content database of additional backgrounds, animation and notifiers and Junk Filter Plus an anti-spam solution. IncrediMail generates revenue by the sale of these products and services; licensing and co-branding the Incredi brand to operators of third party websites; and selling paid advertising and sponsored links on its website and email client. For more information about IncrediMail, visit www.incredimail-corp.com. Forward Looking Statements Statements made in this press release that are not historical facts, including IncrediMail's ability to establish and increase market acceptance of its products, its ability to manage growth, its ability to continually enhance its existing products and to develop new products, its ability to establish a strong brand name and the development and future nature of the Internet are forward-looking statements. These forward looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions about IncrediMail and the matters covered in this release. You should not place undue reliance on these statements. Actual events or results may differ materially. Many factors, including those identified in the registration statement, may cause our actual results to differ materially from any forward-looking statement. The forward-looking statements are made as of this date and IncrediMail does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.