DFX.L Regulatory News (DFX)

1 October 2018

Defenx PLC

("Defenx", the "Company" or the "Group")

Loan from BV Tech

Defenx Plc (AIM: DFX), the cyber-security software group, announces that, further to the announcements of 16 July and 28 September 2018, BV Tech S.p.A. ("BV Tech"), the Company's majority shareholder, has provided an unsecured loan of €950,000 to the Company (the "Loan"). The Loan will incur an interest rate of 6% per annum, payable quarterly in arrears, and is repayable in full on 1 January 2020, or earlier at the Company's election.

Under the terms of the Loan, €150,000 can be drawn down immediately, with the remainder being available to be draw down in full, or in part, 45 days after the date of this announcement. It is intended that the proceeds of the Loan will be used for general corporate purposes.

The Directors of Defenx (the "Directors") expects that the Loan, following publication of the Company's annual report and accounts, for the year ended 31 December 2017, and its interims, for the six months ended 30 June 2018, and the ending of the relevant close period, will shortly be replaced by a convertible loan from BV Tech of the same quantum and on the same material terms. Conversion of the convertible loan into ordinary shares will be subject to shareholders providing the Directors with the authority to allot such shares on a non pre-emptive basis.

As BV Tech is a substantial shareholder of the Company as defined in the AIM Rules for Companies ("AIM Rules"), the Loan is classified as a related party transaction pursuant to AIM Rule 13. Accordingly, the independent Directors of the Company (being all the Directors other than Raffaele Boccardo who is a director of and interested in BV Tech), having consulted with the Company's Nominated Adviser, Strand Hanson Limited, consider that the terms of the Loan are fair and reasonable insofar as the Company's shareholders are concerned.

Enquiries

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014.

investors.defenx.com