Divestment of Circassia Group plc

1 September 2020

CIP MERCHANT CAPITAL LIMITED

("CIP Merchant Capital" or the "Company")

Divestment of Circassia Group plc

CIP Merchant Capital is pleased to announce that it has sold its interest in Circassia Group plc ("Circassia"), a specialty biopharmaceutical company focused on respiratory diseases quoted on AIM, for a total consideration of approximately £3.9 million, resulting in a net profit of £1.1 million for the Company.

Circassia constitutes the Company's first exited investment, which corresponds to a 1.4 times cash on cash return and represents an IRR of 72% following the Company's investment in Circassia announced on 10 January 2020.

For the year ended 31 December 2019, Circassia reported a loss after tax for its underlying operation of £39 million and had net assets of £84.4 million.

For further information, please contact:

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.