Vela Technologies Regulatory News (VELA)

The following amendments have been made to the announcement released today under RNS no. 9573B entitled "Update re holding in BTL Group Ltd".

In the final sentence of paragraph 2 and the first sentence of paragraph 5 the words "the Company" have been replaced with "BTL" such that the relevant part of each respective sentence reads: "the Company also intends to invest a further £81,100 in BTL" and "the Company intends to invest a further £81,100 in BTL".

All other details remain unchanged.

The full amended text is shown below.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR")

7 April 2017

Vela Technologies plc

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

Further partial sale of holding in BTL Group Ltd

Update on Proposed Investment in BTL

The Board of Vela (AIM: VELA), the investing company focused on early-stage and pre-IPO disruptive technology investments, announces that, on 6 April 2017, the Company disposed of a total of 56,700 common shares in BTL Group Ltd ("BTL") at prices between C$4.00 per share and C$4.40 per share and with an average price of C$4.10 per share generating net proceeds of C$232,564 for the Company (equivalent to approximately £139,670 at the prevailing exchange rate (the "Disposal").

Following the Disposal the Company has now sold, between 3 March 2017 and 6 April 2017, a total of 150,232 common shares in BTL generating proceeds of C$510,474 for the Company (equivalent to approximately £306,630 at the prevailing exchange rates). To date Vela has invested a total of approximately £214,300 in BTL. In addition, as announced by Vela on 23 March 2017, the Company also intends to invest a further £81,100 in BTL as part of a fundraising that is currently being undertaken by BTL.

Following the Disposal, and prior to the allocation of shares in the recent fundraising, Vela holds 633,100 common shares in BTL, equivalent to approximately 3.67 per cent. of BTL's issued share capital. BTL is listed on the TSX Venture Exchange, on which the closing mid-market price on 6 April 2017 of BTL's common shares was C$4.40 per share, which values Vela's shareholding prior to the allocation of shares from the recent placing, in BTL at approximately C$ 2,785,640 (equivalent to approximately £1.673 million at the prevailing exchange rate*). In addition, as previously announced, Vela holds 41,666 warrants in BTL exercisable at a price of C$1.50 for a period expiring on 17 December 2017.

The net proceeds from the Disposal will provide additional working capital for Vela and enable the Company to take advantage of further investment opportunities as and when they arise.

As previously announced by Vela the Company intends to invest a further £81,100 in BTL as part of a fundraising currently being undertaken by BTL. Vela notes the announcement issued by BTL on 6 April 2017 confirming the closing of this funding round by BTL. Vela have not, as at the stage, received confirmation of their allocation in this fundraising. The announcement by BTL is extracted in full below. Further updates will be announced by Vela at the appropriate time.

BTL Group Announces Closing of Non-Brokered Private Placement of Equity Units

VANCOUVER, BRITISH COLUMBIA and LONDON, UNITED KINGDOM--(Marketwired - April 6, 2017) - 

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

BTL GROUP LTD. (TSX VENTURE:BTL) ("BTL") is pleased to announce that it has completed its previously announced non-brokered private placement for aggregate gross proceeds of CAD$3,105,000 (the "Private Placement").

The Private Placement was comprised of 1,150,000 equity units (the "Units") that were issued at a price of CAD$2.70 per Unit. Each Unit consists of one (1) common share of BTL and one-half of one (1/2) common share purchase warrant of BTL (a "Warrant"). Each whole Warrant entitles the holder to acquire one (1) common share of the Corporation for a period of 24 months from the date of issuance of the Warrant, at an exercise price of CAD$3.25 per share.

The securities issued in connection with the Private Placement are subject to a hold period of four months and one day from the closing of the Private Placement.

BTL intends to use the proceeds from the Private Placement in connection with acceleration of the development of Interbit, BTL's proprietary blockchain platform and towards general and administrative expenses.

BTL has agreed to pay the following finder's fees in respect of certain sales under the Private Placement: (i) a cash finder's fee of CAD$5,940 to Fosters & Associates Financial Services Inc., (ii) a cash finder's fee of CAD$5,400 to PI Financial Corp., and (iii) a cash finder's fee of CAD$675 to Richardson GMP Limited.

The securities being offered pursuant to the Private Placement have not been, nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. federal and state registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of, or a solicitation of an offer to buy, the securities in the United States.

GRANT OF STOCK OPTIONS

BTL also announces the grant of options to officers of BTL to acquire a total of 80,000 common shares ("Common Shares") of the Corporation at an exercise price of CAD$3.42 per share, such options to vest as to one-half on April 6, 2018 and one-half on April 6, 2019. The options expire five years from the date of grant.

ABOUT BTL GROUP LTD.

Operating from both Canada and the UK, BTL offers blockchain solutions to businesses across multiple industries, in particular the finance, energy and gaming sectors. BTL has built prototypes that showcase the capabilities of its Interbit platform, a proprietary blockchain based interbank payment network and settlement and asset trading solution.

Interbit is an open, multi-chain, asset settlement platform with a suite of APIs and smart contracts that allow businesses from across the world to provide global access to fast, secure, and auditable financial and asset trading services.

With offices in Vancouver and Calgary, Canada and London, United Kingdom, BTL is positioning itself as a front-runner in the blockchain ecosystem, providing advice and knowledge to industry leaders.

Website: www.btl.co

Twitter: https://twitter.com/blockchainltd

*Based on the exchange rate as on 7 April 2017 of C$1: GB1.665.

For further information, please contact: