Earthport Regulatory News (EPO)

18 September 2014

Earthport plc

("Earthport" or the "Company")

Successful Placing of £26.6 million ($43.43 million)

Earthport (AIM: EPO.L), the cross-border payments service provider, is pleased to announce that it is raising gross proceeds of £26.6 million ($43.43 million) through the placing and subscription of 65,136,464 new ordinary shares (the "New Ordinary Shares") at 40.85 pence per share (the "Placing"). The funds are being raised from both new and existing institutional investors.

Highlights

· Gross proceeds of £26.6 million ($43.43 million) through a placing and subscription

· Funds will be used to accelerate geographic expansion and presence in Asia, as well as to strengthen the balance sheet in support of significant client and product opportunities in the pipeline and to invest behind the growth and momentum achieved in North America and Europe

· New shareholders include Oppenheimer Funds (New York) which will hold 8.62% of the enlarged issued share capital

Background to the Placing

The funds raised will facilitate accelerated geographic expansion through infrastructure and presence in some of the fastest growing markets for cross border payments. In particular Earthport will bring forward its plans to develop a presence and capability to address the significant and fast growing intra-Asian and Asia-outbound opportunity. Earthport will continue to invest behind its growth and momentum in North America and Europe. There are also a number of significant opportunities in the pipeline which will benefit meaningfully from a strengthened balance sheet as will the confidence of our banking partners and regulators globally.

Earthport remains on course to reach breakeven on a run-rate basis before the end of this financial year for its current businesses.

Earthport is one of the largest open networks for global interbank payments; the Company's business model enables it be a disruptive but non-competitive partner within the world of financial payments. Although only at the beginning of addressing a significant need and a very large opportunity, Earthport is recognised as a leading voice for innovation in the global payments industry and will have a strong presence at SIBOS and Money2020 this year. Earthport is continuing to expand its country coverage and product offering to provide clients with payments access to more than 65 countries via a highly sophisticated and feature rich global payments network.

Details of the Placing

The completion of the Placing is conditional, amongst other things, on the admission of the New Ordinary Shares to trading on AIM.

Under the Placing, Oppenheimer Funds have subscribed for 41,000,000 New Ordinary Shares representing 8.62% of the enlarged issued share capital.

Application has been made for the 65,136,464 New Ordinary Shares issued pursuant to the Placing to be admitted to trading on AIM ("Admission"). Admission is expected to be effective on 19 September 2014. The New Ordinary Shares will rank pari passu in all respects with the existing issued ordinary shares.

Following Admission of the New Ordinary Shares, the Company's enlarged issued share capital will comprise 475,550,114 ordinary shares ("Ordinary Shares") with each share carrying one vote per share. There are no shares held in treasury.

Hank Uberoi, CEO of Earthport plc, commented:

"Earthport has achieved significant progress over the last year, having added and gone live with several major customers.  Contracted clients now include two of the top five banks globally, and four of the top 20 banks in the US. Strong operational and financial progress has been achieved. Transactional revenues continue to grow as expected based on existing and new client relationships.

"The Company is entering a new phase of expansionas adoption of Earthport's innovative international payments service continues to gather momentum. The additional funds will be used to accelerate opportunities including bringing forward plans for further geographical expansion, particularly in Asia and to continue expanding in North America and Europe. We are delighted to have received such strong demand from sophisticated institutional investors and to have their support as we enter our next phase of growth."

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About Earthport

Earthport plc is a regulated financial services organization and one of the largest open networks for global interbank payments through its cross-border payments infrastructure.

Through a single connection to Earthport's highly sophisticated payments network, customers can quickly and transparently deliver payments to over 190 countries and 65 low-value clearing systems around the world in a highly cost-effective and secure manner. Earthport's clients include banks, money transfer organisations, payment aggregators, e-commerce and foreign exchange businesses.

The company is headquartered in London and is listed on the Alternative Investment Market (AIM) on the London Stock Exchange. It operates globally with additional regional offices in Dubai and New York. Earthport plc is authorised and regulated by the Financial Conduct Authority under the Payment Service Regulations 2009 for the provision of payment services. To learn more, please visit www.earthport.com and follow us via RSS or on social channels, Twitter @Earthport, LinkedIn, Youtube and Slideshare.

This press release is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or the selling security holder and that will contain detailed information about the company and management, as well as financial statements. The issuer does not intend to register any part of the present offering in the United States.