Inspiration Hlt Regulatory News (IHC)

Inspiration Healthcare Group plc

("Inspiration Healthcare" or the "Company")

Change of Corporate Office and Outsourcing of Warming Products Manufacturing

Inspiration Healthcare Group Plc (AIM: IHC) today announces the conclusion of a strategic review undertaken by the Board in relation to its operations following the reverse takeover of Inditherm plc in June 2015.

The combination of the Inspiration Healthcare and Inditherm business continues to be a success. The Board has concluded that it is appropriate to outsource the manufacturing of the Inditherm product range to third party manufacturers which will result in the simplification of the companies' operations including the closure of the Company's factory in Wath upon Dearne on the 31 January 2017. A number of roles currently based at Wath upon Dearne will be retained within the Group but re located. Inspiration will retain the relevant know-how and IP under its control.

The company is also announcing the opening of a new corporate office and R&D centre in Crawley, West Sussex which is due to open in January 2017. Staff located at the current office in Albourne, West Sussex will transfer to the new office which will close. These new offices are being designed with facilities for the company to showcase its entire product range to its distributors from all over the world and the proximity to Gatwick Airport and London make it an ideal location.

No changes are being made to the office and distribution centre at Earl Shilton but space has been made available to accommodate a number of roles from Wath upon Dearne.

Inspiration will take an exceptional provision in its accounts for the year to 31 January 2017 of £0.5m to cover these restructuring costs and expects a payback within 3 years. We believe that disruption in the current year will be limited.

Neil Campbell, Chief Executive Officer, said today: "By re-structuring our operations, we are streamlining the organisation allowing us to improve our service and accelerate growth."

This announcement contains inside information.

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About Inspiration Healthcare

Inspiration Healthcare (AIM: IHC) is a global supplier of medical technology for critical care, operating theatre and other medical applications. The Company provides high quality innovative products to patients and caregivers around the world that help to improve patient outcomes and efficiencies of healthcare organisations with patient focused customer service and technical support.

The Company's own brand of critical care solutions span non-invasive respiratory management, thermoregulation and diagnostics, and patient warming for newborns through to adults in intensive care and the operating theatre, whilst the distribution business supplies solutions to support specialised surgical procedures and infusion therapies.

Present in over 50 countries worldwide, Inspiration Healthcare's success has been built on continuous innovation, excellent customer service and an inherent commitment to improving the quality of life of patients, working in close collaboration with key opinion leaders and stakeholders in the clinical and medical community across the globe.