TUNG.L Regulatory News (TUNG)

FOR IMMEDIATE RELEASE

14 February 2019

TUNGSTEN CORPORATION PLC

 ("Tungsten" or the "Company")

Resignation of CEO

Tungsten Corporation (AIM: TUNG) announces that Richard Hurwitz, Chief Executive Officer, has informed the Board of his resignation from the Board with immediate effect. He will leave the Company on 15 February 2019.

Tungsten has appointed headhunters to identify a new CEO and expects to make an appointment in March 2019. In the meantime, Tony Bromovsky has moved from Non-Executive to Executive Chairman on an interim basis and David Williams, Chief Financial Officer, will oversee day-to-day operations. As announced on 11 February 2019, Vivienne Maclachlan has also joined the Board as a Non-Executive Director.

Trading for November and December 2018 was in line with expectations and demonstrates the progress being made through the Operating Review. Unaudited revenue for the two months was approximately £6.3 million and EBITDA was positive. Net cash at 31 December 2018 was £1.8 million, growing to £2.5 million at 31 January 2019. The Company is planning to release details of its third quarter trading to 31 January 2019 on 25 February 2019. Tungsten reiterates its full-year FY19 outlook, including revenue expectation of £36 million to £36.5 million, EBITDA profit for the full financial year and sufficient capital to deliver current plans.

As reported in Tungsten's Interim Results on 13 December 2018, the new and refreshed Board, together with senior management, are currently undertaking an operating review addressing all aspects of Tungsten's business (the "Operating Review"). The Operating Review has already substantiated many of Tungsten's strengths. It has also clearly identified a number of growth inhibitors and demonstrated how they can be rapidly and effectively addressed. The review is now focused on the steps required to accelerate near-term revenue and profitability growth. Significant progress has already been made towards this and more is currently being done. The Board of Tungsten expects to complete the Operating Review by April 2019 and thereafter implement the recommended outcomes in close collaboration with the new CEO.

Tony Bromovsky, Chairman, commented:

"The Board wishes to thank Rick for his valuable contribution to the Company since his appointment as CEO in 2015 and we wish him well in his future endeavours."

This announcement contains inside information for the purposes of the Market Abuse Regulation No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

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About Tungsten Corporation plc

Tungsten Corporation (LSE: TUNG) aims to be the world's most trusted business transaction network by using data intelligently to strengthen the global supply chain.

Tungsten Network is a secure business transaction network that brings businesses and their suppliers closer together with unique technology that revolutionises invoice processing, maximises efficiency and improves cash flow. Delivering trusted connections and streamlined transactions, the network also provides users with real-time spend analysis and offers access to trade finance through Tungsten Network Finance.

Tungsten Network processes invoices for 74 percent of the FTSE 100 and 71 percent of the Fortune 500. It enables suppliers to submit tax compliant e-invoices in 48 countries, and last year processed transactions worth over £164bn for organisations such as Alliance Data, Cargill, Deutsche Lufthansa, General Motors, GlaxoSmithKline, Mondelēz International, Henkel, IBM, Kellogg's and the US Federal Government.

Forward looking statements

This document contains forward-looking statements that may or may not prove accurate. For example, statements regarding expected revenue growth and trading margins, market trends and our product pipeline are forward-looking statements. Phrases such as "aim", "plan", "intend", "anticipate", "well-placed", "believe", "estimate", "expect", "target", "consider" and similar expressions are generally intended to identify forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially from what is expressed or implied by the statements. Any forward-looking statement is based on information available to Tungsten as of the date of this statement. All written or oral forward-looking statements attributable to Tungsten are qualified by this caution. Tungsten does not undertake any obligation to update or revise any forward-looking statement to reflect any change in circumstances or in Tungsten's expectations.