Braveheart Inv Regulatory News (BRH)

04 December 2014

Braveheart Investment Group plc

('Braveheart', the 'Company' or the 'Group')

London Co-investment Fund selects Braveheart and Crowdcube

consortium as partner

Braveheart Investment Group plc, the AIM-listed investment management group providing debt and equity financing to SMEs and servicing the investment requirements of business angels, high net worth individuals, family offices, and public sector organisations, is pleased to announce that it has been selected as a consortium partner, to manage the London Co-investment Fund.

The London Co-investment Fund ('LCIF') was established by Funding London and Capital Enterprise with the aim of investing £25 million in London-based, seed-stage companies in the science, digital and technology sectors. The LCIF has announced a number of partners to manage the fund, and Braveheart is pleased to announce it has been selected in a joint bid with the crowdfunding platform Crowdcube Limited as one of these managers. The two companies will work closely together, with Crowdcube sourcing deals and promoting them via its crowdfunding website, and Braveheart carrying out investment selection and fund management. It is believed this is the first time public funds will co-invest alongside the crowd in a co-investment model.

Geoffrey Thomson, Braveheart Chief Executive, said: "This is a very good new initiative and it builds on our existing partnership with Crowdcube. Over the next few years the LCIF will invest in a number of London's most exciting seed-stage technology companies and over time we expect these companies to provide good returns to stakeholders in both financial performance and job creation."

Further information:

Braveheart Investment Group plc

Geoffrey Thomson, Chief Executive Tel: +44 1738 587555

gthomson@braveheartgroup.co.uk

Crowdcube Limited

Luke Lang, Co-founder/Director Tel: +44 1392 241319

luke@crowdcube.com

Sanlam Securities UK Limited (Nominated Advisor and Broker to Braveheart)

Lindsay Mair Tel: +44 20 7628 2200

Media Enquiries (Braveheart):

Allerton Communications

Peter Curtain Tel: +44 20 3137 2500

peter.curtain@allertoncomms.co.uk

Media Enquiries (Crowdcube):

Eureka Communications

Teresa Horscroft Tel: +44 1420 564346

teresa@eurekacomms.co.uk

Notes to Editors

Braveheart Investment Group plc

Braveheart provides financing and associated advisory services for small and medium sized enterprises (SMEs) as follows:

For the company looking to raise money, we provide:

· Equity Capital. This form of financing is typically long term and is usually appropriate for fast growing business or early stage companies. We will consider equity financings where our individual investment, or the investment we arrange, would normally be a maximum or £2m although we are happy to participate in larger financings as part of a syndicate;

· Debt Finance. Short to medium term and for companies with cash flow to service the loan. Our unit size for this type of finance is up to £1m and we will usually provide junior debt which is unsecured but linked to an equity instrument;

The money we invest comes from a variety of sources (see below) and is sometimes linked to particular geographical locations.

To the investor, we provide a one-stop shop service to those in one of the following groups who are looking for exposure to SME investments:

· High Net Worth (HNW) individuals looking to build tax efficient Enterprise Investment Scheme (EIS) and Seed EIS portfolios;

· Family offices and private sector institutions;

· The Public Sector.

Investors can choose between investment types ranging from self-build portfolios, to a full fund management service.

Crowdcube Ventures Limited

As the world's first equity crowdfunding platform, Crowdcube enables everyday investors to fund British businesses in return for a share in the company. Since February 2011, more than 110,000 savvy investors have registered with Crowdcube, helping to raise more than £45m for 160 UK businesses. The ground breaking model lets entrepreneurs showcase their investment opportunity online and bypass the traditional business angel, venture capital or bank route, giving them more control and access to more investors.

Investing in start-ups and early stage businesses involves risks, including liquidity, lack of dividends, loss of investment and dilution, and it should be done only as part of a diversified portfolio. Crowdcube is targeted exclusively at investors who are sufficiently sophisticated to understand these risks and make their own investment decisions. Crowdcube is authorised and regulated by the Financial Conduct Authority (No. 572026).