Gotech Group Regulatory News (GOT)

GoTech Group plc - Issue of Equity

PR Newswire

London, February 1

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 ("MAR"). Upon publication of this announcement, this inside information is now considered to be in the public domain.

1 February 2018

GoTech Group plc / Index: AIM / Epic: GOT.L / Sector: Software

GoTech Group plc

 (“GoTech”, the “Company” or the “Group”)

Issue of Equity

Further to the announcement of 20 December 2017, the Board of Go-Tech, the cash shell admitted to trading on AIM, announces that, following further demand from professional investors, the Company has raised an additional £100,000 before expenses, by way of a subscription for 25 million new ordinary shares of 0.1 pence each in the share capital of the Company (the "Subscription Shares") at a price of 0.4 pence per share (the "Subscription Price"). The Subscription Price represents a premium of 2.5 per cent. to the closing mid-market share price on 31 January 2018.

The proceeds of the subscription will be used to increase the cash reserves of the Company as the Board seeks to accelerate the implementation of the Company's investment strategy.

The subscription has been conducted within the Company’s existing share authorities and is conditional, inter alia, on admission of the Subscription Shares to trading on AIM. The Subscription Shares will rank pari passu with the existing issued ordinary shares of the Company

Application will be made to the London Stock Exchange for admission of the Subscription Shares to trading on AIM which is expected to occur on 7 February 2018 ("Admission").

Following Admission, the total number of ordinary shares and voting rights in the Company will be 265,304,535. This figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or change to their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

Commenting on the subscription, Marcus Yeoman, Non-Executive Director of GoTech, said:

"Following the recent re-positioning of the Company, and the associated fund-raise, we are seeing an increasing number of interesting opportunities and it is important that your Company is in the best possible position to take advantage of these. Accordingly, your board has decided to take the opportunity to increase the Company's financial firepower at a small premium to the prevailing market price thereby minimising dilution to shareholders. Your board is very much focused on creating value for shareholders and looks forward to announcing the progress in the implementation of its strategy."

**ENDS**

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