TekCapital Regulatory News (TEK)

4 April 2014

TEKCAPITAL PLC

("Tekcapital", the "Company" or the "Group")

FIRST DAY OF DEALINGS AND ADMISSION TO TRADING ON AIM

Tekcapital plc, an international provider of technology and IP services, is pleased to announce the commencement at 08.00 today of dealings in its Ordinary Shares on AIM, a market operated by London Stock Exchange plc.

Admission Details

· Gross proceeds to the Group of £2 million, through the placing of 8 million new shares at a price of 25 pence per Ordinary Share (the "Placing Price").

· The total number of Ordinary Shares in issue at Admission is 22,503,977,giving the Group a market capitalisation of £5.6 million at the Placing Price.

· The Group intends to use the net proceeds of the Placing to accelerate the growth of the Group's sales, marketing and delivery of services, in particular through the expansion of the Company's sales and marketing team; the development of additional technology indexing algorithms and the recruitment of additional support staff; general working capital purposes; and for IPO costs.

· The Group's trading symbol is TEK and the Group's ISIN code is GB00BKXGY798.

Northland Capital Partners Limited is acting as Nominated Adviser and Joint Broker to the Company and Optiva Securities Limited as Joint Broker.

Commenting on the successful Placing and Admission to AIM, Dr Clifford Gross, Executive Chairman of Tekcapital plc, said:

"I am delighted to have successfully completed our fundraising and admission to AIM and welcome on board our new institutional shareholder base. We have strong foundations already in place, which include the development of our Innovation Discovery Network which is connected to over 3,300+ universities and research institutionsin over 160 countries, combined with a first rate Science Advisory Board. Capturing innovation developed by some of the world's leading universities and research institutions is the core of Tekcapital's strategy. We work across technology sectors and are aligned and driven by our client's need for rapid innovation and intellectual property protection. Together, we assist our customers around the world, to rapidly find, review and acquire the intellectual property they need to advance their businesses.

"Tekcapital has a bright future ahead of it and our team is looking forward to delivering on the market-driven strategy that we have laid out to create value for our clients, university suppliers and shareholders."

For further information please contact:

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About Tekcapital plc

· Tekcapital is an international technology and intellectual property ("IP") services company. Using its technology, the Group is able to source university discoveries and intellectual property from over 3,300 universities and research institutions located in over 160 countries. The Group seeks to enable its clients to innovate faster and protect their core products or services by identifying relevant cutting-edge technology and intellectual property acquisition opportunities which have been developed by leading universities and research institutions.

· The Group has developed an innovation discovery network ("IDN") which is capable of searching through a defined global database of universities and research institutions to identify IP acquisition opportunities relevant to the client's search parameters.

· Tekcapital is able to provide its retained clients with a complete turnkey solution to locate, screen and acquire technologies available for acquisition or licence from some of the world's leading universities and research institutions. Once a suitable technology acquisition opportunity has been identified and presented to the client in a monthly advisory report, the Company can evaluate the IP through its science advisory board; a group of expert advisers from a range of academic and professional backgrounds (the "Science Advisory Board"). Tekcapital can then act as an intermediary between the client and the university or research institution with a view to the acquisition or licensing of the specific technology.

· The Directors estimate that, from a technology supply perspective, the market for IP acquisitions is approximately £4.5 billion per year. This is based on an average patent purchase price of £222,500 and an estimated 20,000 technology transfers being completed world-wide in 2012.

· The market for university or research institution developed IP is benefitting from the global trend for businesses to outsource research and development. This use of external research and development has coincided with an increase in the pace of innovation and an increase in the number of patent lawsuits. As a result, many companies are now seeking to identify and to acquire IP from external or alternative sources to protect and grow their respective businesses. New legislation, for example The Patent Box tax law 2013 in the U.K., a tax relief which enables companies to apply a lower rate of corporation tax on profits earned from patented inventions, has also increased interest in IP given the potential for companies to benefit from increased innovation and profits.

· The Group's Board and senior management team have a strong track record across multiple sectors and have significant expertise in the IP and technology transfer industries, having completed over 400 transactions in previous engagements.

· The Directors believe that the Placing and Admission will enable the Company to more quickly and more effectively pursue its strategy for growth. Aided by the funds raised from the Placing, the Directors believe that Tekcapital is well positioned to assist its current and future clients to efficiently source and acquire relevant university technologies and intellectual properties to both protect their existing market position and to innovate to secure further growth.

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