Additional funding in CAV Aerospace

BETTER CAPITAL PCC LIMITED 2012 Cell

27 January 2016

Additional funding in CAV Aerospace ("CAV")

The Board of Better Capital PCC Limited is pleased to have been informed by the General Partner of BECAP12 Fund LP (the "2012 Fund") that CAV, working with its key stakeholders, has been able to take steps to release a significant amount of previously tied-up working capital and to make important operational changes which should lead to improved performance.

In order to achieve the above, the General Partner has agreed that the 2012 Fund provides a further injection of £11 million into the business in the form of a secured shareholder instrument. The investment will be used to repay the group's existing lender in full, thus removing substantially all of the group's external debt and to continue to fund its working capital, capital expenditure and on-going improvement initiatives.

This brings the 2012 Fund's total investment in CAV to £59 million.