Sysgroup Regulatory News (SYS)

1. Identity of the issuer or the underlying issuerof existing shares to which voting rights areattached: ii

SysGroup Plc

2 Reason for the notification (please tick the appropriate box or boxes):

An acquisition or disposal of voting rights

X

An acquisition or disposal of qualifying financial instruments which may result in the acquisition of shares already issued to which voting rights are attached

An acquisition or disposal of instruments with similar economic effect to qualifying financial instruments

An event changing the breakdown of voting rights

Other (please specify):

X

3. Full name of person(s) subject to thenotification obligation: iii

Arthur Leonard Robert Morton (ALRM), Susan Margaret

Howard Morton (SMHM) and Morton PTC Limited as

Trustee of the Morton Family Trust (MFT)

4. Full name of shareholder(s) (if different from 3.):iv

 Hawk Investment Holdings Limited

5. Date of the transaction and date onwhich the threshold is crossed orreached: v

 1st  - 14th  December 2016

6. Date on which issuer notified:

 21st December 2016

7. Threshold(s) that is/are crossed orreached: vi, vii

 3% for ALRM only

8. Notified details:

A: Voting rights attached to shares viii, ix

Class/type ofshares

if possible usingthe ISIN CODE

Situation previousto the triggeringtransaction

Resulting situation after the triggering transaction

NumberofShares

NumberofVotingRights

Numberof shares

Number of votingrights

% of voting rights x

Direct

Direct xi

Indirect xii

Direct

Indirect

GB00BYT18182

 837,120

 837,120

 837,120

(MFT)

 837,120

(MFT)

B: Qualifying Financial Instruments

Resulting situation after the triggering transaction

Type of financialinstrument

Expirationdate xiii

Exercise/Conversion Period xiv

Number of votingrights that may beacquired if theinstrument isexercised/ converted.

% of votingrights

C: Financial Instruments with similar economic effect to Qualifying Financial Instruments xv, xvi

Resulting situation after the triggering transaction

Type of financialinstrument

Exercise price

Expiration date xvii

Exercise/Conversion period xviii

Number of voting rights instrument refers to

% of voting rights xix, xx

Nominal

Delta

Total (A+B+C)

Number of voting rights

Percentage of voting rights

837,120

3.78%

9. Chain of controlled undertakings through which the voting rights and/or thefinancial instruments are effectively held, if applicable: xxi

Hawk Investment Holdings Limited (HIHL) continues to hold 837,120 SysGroup Plc shares representing 3.78% of the voting rights. HIHL's ownership has transferred from ALRM & SMHM to Morton PTC Limited as Trustee of the MFT. The Board of Directors of the Morton PTC is Albany Directors Limited, Mr Robert Walter Morton and Mrs Susan Margaret Howard Morton. The beneficiaries of the Morton Family Trust are Susan Margaret Howard Morton, Andrew Robert Morton, Edward George Morton, Charles Nicholas Morton and Robert Walter Morton.

Proxy Voting:

10. Name of the proxy holder:

N/A

11. Number of voting rights proxy holder will ceaseto hold:

N/A

12. Date on which proxy holder will cease to holdvoting rights:

N/A

13. Additional information:

14. Contact name:

Stuart McBain

15. Contact telephone number:

0151 559 1777