Mercia Asset Regulatory News (MERC)

Mercia Technologies PLC

("Mercia" or the "Company")

Director/PDMR Shareholdings

Mercia Technologies PLC (AIM: MERC), a Midlands-based investment group, building, funding and commercialising technology businesses across the UK, announces the following transactions relating to ordinary shares of £0.00001 each in the capital of Mercia ("Ordinary Shares") by a Director, a PDMR and persons closely associated with them.

On 25 August 2016 Jonathan Diggines, an Executive Director of the Company, transferred a total of 401,786 Ordinary Shares (ISIN: GB00BSL71W47) at nil cost to Mrs Susan Diggines, a person closely associated with him. Following the transfer, Mr Diggines has an interest in 401,785 Ordinary Shares, equivalent to 0.19 per cent. of the Company's issued ordinary share capital and Mrs Diggines has an interest in 401,786 Ordinary Shares, equivalent to 0.19 per cent. of the Company's issued ordinary share capital.

Also on 25 August 2016 Julian Viggars, Head of Technology Investments and a PDMR, transferred a total of 75,000 Ordinary Shares at nil cost to Mrs Emma Viggars, a person closely associated with him. Following the transfer, Mr Viggars has an interest in 85,714 Ordinary Shares, equivalent to 0.04% per cent. of the Company's issued ordinary share capital and Mrs Viggars has an interest in 75,000 Ordinary Shares, equivalent to 0.04 per cent. of the Company's issued ordinary share capital.

Both transfers are permitted pursuant to the terms of the lock-in arrangements entered into by Messrs Diggines and Viggars at the time of the acquisition of Enterprise Ventures Group Limited by Mercia on 9 March 2016 and both transferees have agreed to be bound by the 18 month lock-in period contained in the Enterprise Ventures Group Limited share purchase agreement entered into at that time.

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About Mercia Technologies PLC

Mercia is a national investment group focused on the creation, funding and scaling of innovative businesses with high growth potential from the UK regions. Mercia employs 60 people across six offices and it has one of the largest university networks in the UK with 18 university partnerships across the Midlands, the North of England and Scotland. These partnerships provide access to high quality, regional deal flow which accounts for approximately one third of Mercia's investments.

Mercia's 'Complete Capital Solution' enable it to scale businesses via its third party funds (with more than £220.0million under management) and then over time Mercia identifies its 'Emerging Stars' which it can provide further capital to using its own balance sheet.

Mercia focuses on sourcing and scaling businesses across four sectors: Digital & Digital Entertainment; Life Sciences and Bio-sciences; Software & the Internet and; Electronics, Materials & Manufacturing/Engineering.

In a recent report (Source: Beauhurst, The Deal, 2015/16), Mercia was found to be the fifth most active investor in the UK and the fourth most active in technology. Since its IPO in December 2014, the Company continues to seek early stage third party investment opportunities and it has directly invested over £24.0million across its portfolio of Emerging Stars. In addition to providing its direct investments with the required capital, Mercia also supports the management teams to build towards exits that will realise incremental value for Mercia shareholders over the medium term.