Hightex Group Regulatory News (HTIG)

Hightex Group plc

("Hightex" or the "Company")

Loan facility of up to $10m and re-admission to trading on AIM

Hightex, a leading systems engineering company which designs, fabricates and installs large area, cable supported membrane roofs and facades worldwide, is pleased to announce that it has entered into a loan facility agreement of up to $10m ("the Loan") with the TCA Global Credit Master Fund LP ("TCA").

The Company was suspended from trading on 26 September 2013 because of a material uncertainty over certain receivables due from its Brazilian joint venture, SEPA Hightex Coberturas Ltda, which prevented the Company from reporting its interim financial statements for the six months ended 30 June 2013. The Company has clarified its financial position and a provision has been made for these receivables. Accordingly, Hightex has today issued its interim results for the six months ended 30 June 2013 and will be re-admitted to trading on AIM with effect from 7.45am on 26 March 2014.

The directors of the Company (the "Directors") expect that the Loan, of which $1.8m has been drawn down, will provide the Company with sufficient working capital for at least the next six months. In reaching this conclusion, the Directors have assumed that the Company will secure a lower level of revenues in the current financial year than those achieved during the financial year to 31 December 2013 and modest inflows from the Company's (non-Brazilian) debtors.

Charles DesForges, executive chairman of Hightex, commented:

"We are very pleased to be trading on AIM once again and thank TCA for their support in this process. We now have funds which will allow us to build on our acknowledged technical expertise. Hightex continues to work on a pipeline of substantial projects and we look forward to updating shareholders in due course"

Principal terms of the Loan

- Coupon of 12% per annum, together with a draw-down fee of 3% and a collection fee of 0.5% per month on amounts outstanding;

- Secured by way of a debenture of the assets of the Hightex Group plc;

- Term of six months, extendable, at TCA's discretion, for further periods of six months; and

- A loan services fee, payable only upon request by TCA, of $200,000 to be settled through the issue of new ordinary shares ("New Shares") in the Company. If the New Shares are sold and the proceeds are less than $200,000, then the Company will make up the shortfall by way of a cash payment or the issue of such additional shares as is necessary at the prevailing issue price.

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