Braveheart Inv Regulatory News (BRH)

The information contained within this announcement is deemed by the Company to constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.

29 April 2020

Braveheart Investment Group plc

("Braveheart" or "the Company")

Placing to raise £275,000

Braveheart Investment Group (AIM: BRH), is pleased to announce that Peterhouse Capital Limited, the Company's broker and agent for the Company, has placed 1,617,647 new ordinary shares of 2 pence each in the Company ("Placing Shares") at a price of 17 pence per share ("Placing Price") to raise £275,000, before expenses (the "Placing").

Placing highlights

· The Placing was subscribed to by both new and existing investors.

· The Company intends to use the net proceeds of the Placing to enable the it to continue to provide additional financial investment into its Strategic Investments being: Paraytec Limited (100 per cent.), Pharm 2 Farm Limited (51.7 per cent.), Kirkstall Limited (64.67 per cent.), Gyrometric Systems Limited (19.95 per cent.), Phasefocus Holdings Limited (25.00 per cent.) and Sentinel Medical Limited (38.38 per cent.).

· The Placing utilises the Company's existing authority to issue new ordinary shares for cash on a non-pre-emptive basis.

Trevor Brown, Braveheart CEO, commented: "We are delighted to have been able to raise this extra funding and to have also increased our shareholder base. The balance sheet of Braveheart remains strong and so we will be able to provide financial support to our Strategic Investments if it is required to keep up their momentum in development."

Details of the Placing and admission to AIM

The Company has raised approximately £275,000 before expenses. Pursuant to the Placing, the Company will receive net cash proceeds of approximately £262,000. The Placing will result in the issue of a total of 1,617,647 Placing Shares, representing, in aggregate, approximately 5.4 per cent. of the issued share capital of the Company as enlarged by the issue of the Placing Shares. The Placing Price represents a discount of approximately 24.4 per cent. to the closing mid-market price per existing ordinary share of 22.5 pence on 28 April 2020, being the last practicable trading day prior to release of this announcement. In connection with the Placing, a total of 40,441 new ordinary shares of 2 pence each in the Company (the "Adviser Fee Shares") will be issued as non-cash consideration at the Placing Price in lieu of part of the fees due to Peterhouse Capital Limited. The Placing Shares and the Adviser Fee Shares have been issued utilising the Company's existing share authorities.

The Placing Shares and the Adviser Fee Shares, when issued and fully paid, will rank pari passu in all respects with the existing ordinary shares of 2 pence each of the Company in issue and therefore will rank equally for all dividends or other distributions declared, made or paid after the issue of the Placing Shares and the Adviser Fee Shares on Admission (as defined below).

Application will be made to the London Stock Exchange for the Placing Shares and the Adviser Fee Shares to be admitted to trading on AIM ("Admission"). It is anticipated that Admission will occur, and dealings will commence in the Placing Shares and the Adviser Fee Shares at 8:00 a.m. on or around 5 May 2020 and in any event no later than 5.00 p.m. on 1 June 2020.

Total voting rights

Following Admission, the Company will have 29,735,839 ordinary shares of 2 pence each in issue, each with one voting right. There are no shares held in treasury. Therefore, the Company's total number of ordinary shares and voting rights is 29,735,839. This figure may be used by shareholders from Admission as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA's Disclosure Guidance and Transparency Rules.

Market Abuse Regulation (MAR)

MAR came into effect from 3 July 2016. Market soundings, as defined in MAR, were taken in respect of the Subscription with the result that certain persons became aware of inside information, as permitted by MAR. That inside information is set out in this announcement and has been disclosed as soon as possible in accordance with paragraph 7 of article 17 of MAR. Therefore, those persons that received inside information in a market sounding are no longer in possession of inside information relating to the Company and its securities.

Information to Distributors

Solely for the purposes of the product governance requirements contained within: (a) EU Directive 2014/65/EU on markets in financial instruments, as amended ("MiFID II"); (b) Articles 9 and 10 of Commission Delegated Directive (EU) 2017/593 supplementing MiFID II; and (c) local implementing measures (together, the "Product Governance Requirements"), and disclaiming all and any liability, whether arising in tort, contract or otherwise, which any "manufacturer" (for the purposes of the Product Governance Requirements) may otherwise have with respect thereto, the Placing Shares have been subject to a product approval process, which has determined that the Placing Shares are: (i) compatible with an end target market of retail investors and investors who meet the criteria of professional clients and eligible counterparties, each as defined in MiFID II; and (ii) eligible for distribution through all distribution channels as are permitted by MiFID II (the "Target Market Assessment"). Notwithstanding the Target Market Assessment, investors should note that: the price of the Placing Shares may decline and investors could lose all or part of their investment; Placing Shares offer no guaranteed income and no capital protection; and an investment in the Placing Shares is compatible only with investors who do not need a guaranteed income or capital protection, who (either alone or in conjunction with an appropriate financial or other adviser) are capable of evaluating the merits and risks of such an investment and who have sufficient resources to be able to bear any losses that may result therefrom. The Target Market Assessment is without prejudice to the requirements of any contractual, legal or regulatory selling restrictions in relation to the Placing and Subscription. Furthermore, it is noted that, notwithstanding the Target Market Assessment, only investors who have met the criteria of professional clients and eligible counterparties have been procured. For the avoidance of doubt, the Target Market Assessment does not constitute: (a) an assessment of suitability or appropriateness for the purposes of MiFID II; or (b) a recommendation to any investor or group of investors to invest in, or purchase, or take any other action whatsoever with respect to the Placing Shares.