Eqtec Regulatory News (EQT)

Kedco plc

("Kedco" or the "Company")

Completion of Placing and Trading Update

Kedco plc (LSE: KED.L), the cleantech group focusing on clean energy production in the UK, Ireland and Eastern Europe, is pleased to announce that it has secured GBP£750,000 from a placing with a variety of investors (the "Placing"). Kedco will use the proceeds from the Placing for working capital purposes.

Pursuant to the Placing, an application will be made for the admission of 15,200,000 Placing Shares to trading on AIM. The Placing Shares, which will be issued fully paid, will rank pari passu in all respects with the existing ordinary shares of the Company. Admission of the Placing Shares to trading on AIM is expected to occur on 31 January 2011.

As a result of the Placing, the total number of voting rights as at 31 January 2011 will increase to 240,022,627. Shareholders should use this figure 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 FSA's Disclosure and Transparency Rules.

The Company also announces that it has allotted 200,000 new ordinary shares in the Company at 5 pence per share, to SVS Securities plc, in lieu of part of its first year annual retainer. These shares are included in the application for admission referred to above.

Trading Update

The Company achieved revenues of €5.4 million for the six months to 31 December 2010. This is in line with management expectations and represents a 30 per cent. increase on the corresponding period in the prior year (2009 revenues: €4.1 million). Gross profit for the six months was €1.3 million also representing a 30 per cent. improvement on the prior year (2009 gross profit: €1.0 million) Loss before tax for the six months was €1.4 million (2009 loss before tax: €1.5 million)

The Company has successfully completed capacity and efficiency increases at the Company's biomass wood processing plant in Vudlande in Latvia which resulted in revenues of €4.9million for the six months ended 31 December 2010 an increase of 32 per cent. from the comparable period (2009 revenues: €3.7 million). Reported EBITDA for the Vudlande operation for the six months ended 31 December 2010 was €0.97 million.

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