Craven House Capital Regulatory News (CRV)

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

Craven House Capital plc

("Craven House" or the "Company")

Loan Agreement with LMFA

The Company announces that its 100% owned subsidiary, Craven House Capital North America LLC ("CRVNA"), has entered into a loan agreement with LM Funding America Inc. ("LMFA"). The Company is a 26% shareholder of LMFA.

Under the terms of the loan agreement CRVNA will borrow $1.5m from LMFA (the "LMFA loan"). The proceeds from the LMFA loan will provide liquidity for investment purposes in advance of the repayment of the $3.6m convertible loan due from LMFA to CRVNA (the "CRVNA loan"), which remains outstanding. In response to discussions with LMFA regarding extension of the maturity date of the CRVNA loan, CRVNA have agreed to extend the maturity date of the CRVNA loan from January 16, 2020 to April 15, 2021. In order to accommodate this CRVNA requested a partial repayment of $1.5m against the CRVNA loan, however, at the request of LMFA this has been structured as separate loan facility in the form of the LMFA loan which provides additional benefit to CRVNA as the LMFA loan is repayable in shares of LMFA at a premium to the current market price of LMFA.

The LMFA loan is repayable on April 15, 2020 with interest payable at a rate of 6% p.a. The LMFA loan is repayable in cash or, alternatively, the principal and all accrued interest can be repaid via the transfer of 640,000 shares in LMFA from CRVNA to LMFA.

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About Craven House Capital:

The Company's Investing Policy is to invest in or acquire a portfolio of companies, partnerships, joint ventures, businesses or other assets globally in any geographic jurisdiction. The company will invest in both developed and developing markets providing long term patient capital and is often involved in special situations, restructuring, expansion and turn around investments in crisis and transitioning economies.