Flowtech Fluid. Regulatory News (FLO)

Friday, 27 March 2020

Flowtech Fluidpower plc

("Company")

Directorate changes

AIM listed fluid power products supplier, Flowtech Fluidpower plc (AIM: FLO) today announces that after six years, Non-Executive Chairman Malcolm Diamond MBE is to retire from the Board. Malcolm will step down as Chairman at the AGM on the 3 June 2020.

The Board is delighted that Non-Executive Director Bill Wilson will then take over as Executive Chairman. Bill has been a Non-Executive Director since September 2018 and held the role of Non-Executive Chairman for 18 months prior to the Company's IPO. The Board believes his 30 years of experience in the manufacturing and industrials sectors is extremely well suited to supporting the management team in an executive capacity. This role is not expected to be full time, but a flexible commitment depending on workflow.

The Board is also pleased to announce the appointment of Roger McDowell as Senior Independent Director with effect from the AGM. Roger is a highly successful businessman and entrepreneur, with a strong record of delivering shareholder value. He was Managing Director of Oliver Ashworth for 18 years before IPO and subsequent sale to Saint-Gobain, and won The Sunday Times AIM Non-Executive Director of the Year award in 2017 for his Chairmanship of Avingtrans plc, a precision engineering business. He also currently serves as Non-Executive Chairman of Hargreaves Services plc, Senior Non-Executive Director of Tribal Group plc and is a Non-Executive Director of Brand Architekts plc, Proteome Sciences plc, ThinkSmart Ltd, Augean plc and British Smaller Companies VCT II plc.

Roger will Chair the Remuneration Committee and sit as a Member of the Audit, AIM Compliance and Nomination Committees.

The Board's objective is to have three Executive Directors, supported by three Non-Executives. A search has already commenced for the additional Non-Executive Director. If a suitable candidate has not been found by the time of the AGM, Malcolm will continue to serve as a Non-Executive Director until the search is concluded.

The Company is focused at this time on ensuring the safety and well-being of all our stakeholders. We have considerable headroom within our current bank facilities, but as you would expect we are scenario testing the business to assess implications for working capital, cashflow and trading. We are in close contact with our suppliers, customers and bankers as we progress, and plan to report the results of this work as soon as possible.

Non-Executive Chairman, Malcolm Diamond MBE, commented:

"Having been Chair since 2014, I have had the pleasure of working with ambitious and dedicated colleagues over the past six years as we have expanded rapidly within a highly fragmented market. It has been a pleasure to welcome Bill Wilson and Russell Cash on to the Board as we focus on restructuring key operational resources in order to yield the many cost synergies available from acquisitions made over the past three years. I feel that with the benefits of these actions now becoming tangible, it is the right time to retire leaving the Company in revitalised hands."

Bryce Brooks, CEO of the Company, added:

"I am enormously grateful for the support Malcolm has given me and the rest of my executive team over the last six years, and we are all very much looking forward to working with Bill and Roger in their respective new roles. While our immediate priorities are the health and safety of our employees and the support we give our customers, these changes will help underpin the long-term future of our organisation."

Enquiries to:

Flowtech Fluidpower plc

Malcolm Diamond MBE, Non-Executive Chairman

Bryce Brooks, Chief Executive Officer

Russell Cash, Chief Financial Officer

Tel: +44 (0) 1695 52796

Zeus Capital Limited (Nominated Adviser and Broker)

Andrew Jones, Kieran Russell (corporate finance)

Dominic King, John Goold (sales & broking)

Tel: +44 (0) 161 831 1512

finnCap Limited (Joint Broker)

Ed Frisby, Kate Bannatyne (corporate finance)

Rhys Williams, Andrew Burdis (sales & broking)

Tel: +44 (0) 20 7220 0500

TooleyStreet Communications (IR and media relations)

Fiona Tooley

Tel: +44 (0) 7785 703523 or email: fiona@tooleystreet.com

Further information relating to Roger McDowell:

In accordance with Schedule 2(g) of the AIM Rules, Roger Steven McDowell (aged 64) holds or has held in the past five years the following directorships and partnerships:

Roger has also been a director or partner of the following companies at the time of, or in the 12 months preceding, such company entering administration or liquidation proceedings:

Town Index Limited - Creditors Voluntary Liquidation 23 January 2001, and subsequently dissolved on 23 May 2005

Wax Digital Limited (subsequently Onward Digital Ltd) - Creditors Voluntary Liquidation 14 June 2001, and subsequently dissolved 17 January 2008

Advanced Fluid Connections plc - Appointment of Receivers 24 March 2006, and subsequently dissolved 12 May 2009

IDMoS plc - Appointment of Administrators 16 April 2008 (with Administration on 12 May 2008), and subsequently dissolved 23 July 2009

Corsair Techinvest Ltd - Put into Members Voluntary Solvent Liquidation 24 November 2015, and subsequently dissolved 16 March 2017

Roger holds no shares in the Company.