Appointment of Advisory Board Chairman

24 January 2017

SHEARWATER GROUP PLC

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

Appointment of Advisory Board Chairman

Shearwater Group plc (AIM: SWG) is pleased to announce that the Rt Hon. the Lord Reid of Cardowan has agreed to join the Group as Chairman of its Advisory Board. Lord Reid has served in numerous UK cabinet positions, including Home Secretary and Secretary of State for Defence, and now sits in the House of Lords and is Executive Chairman of the Institute for Strategy, Resilience and Security at University College London.

The Group's newly formed Advisory Board has been created to provide strategic guidance and technical advice to Shearwater's main board, and Advisory Board members will be responsible for tracking developments in the digital resilience sector as well as supporting the Group in accessing growth opportunities via their extensive network of contacts.

David Williams, Chairman, commented: "I am honoured to welcome John onto our Advisory Board. Our plan to create a Great British digital resilience company can only be enhanced by having someone of his calibre as part of our team."

Lord Reid, commented: "I'm delighted to be joining David and Mo at such a pivotal time in the Company's development. Within the UK, it is vital that we maintain a robust and vibrant digital economy, and that we are at the forefront of developing innovative solutions to deal with the growing cyber security risks faced by all companies. I very much look forward to supporting Shearwater's vision of building a leading UK-based digital resilience group."