Clayton Holdings, Inc. Initial Public Offering Priced at $17.00 per Share

Business Wire, March 24, 2006

SHELTON, Conn. -- Clayton Holdings, Inc. (NASDAQ: CLAY) today announced its public offering of 7,500,000 shares of common stock, at $17.00 per share. All of the shares being sold in the offering were offered by the company. The company has granted the underwriters the right to purchase up to an additional 1,125,000 shares at the initial public offering price. The shares will be listed on the NASDAQ National Market under the symbol "CLAY."

Clayton serves leading capital markets firms, lending institutions, fixed income investors and loan servicers with a full suite of information based analytics, specialty consulting and outsourced services. Clayton's services include due diligence analytics, conduit support services, professional staffing, compliance products and services, credit risk management and surveillance, and specialized loan servicing services.

The offering was made through an underwriting syndicate led by William Blair & Company, L.L.C. as sole book-running manager and Piper Jaffray & Co. as co-lead manager. SunTrust Capital Markets, Inc., JMP Securities LLC and America's Growth Capital, LLC acted as co-managers.

A copy of the prospectus relating to the offering may be obtained by contacting William Blair & Company, L.L.C., Attention: Prospectus Department, 222 W. Adams Street, Chicago, IL 60606 or by telephone at (312) 236-1600, or from Piper Jaffray & Co., Attention: Prospectus Department, 800 Nicollet Mall, Minneapolis, MN, 55402-7020 or by telephone at (612)-303-6000.

A registration statement relating to these securities has been filed with the Securities and Exchange Commission and has become effective. This 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 in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state. Any offer or sale will be made only by means of the written prospectus forming part of the effective registration statement.