Further re: Option Scheme and Grant of Options

13 October 2021

Blue Star Capital plc

("Blue Star" or the "Company")

Further re: Option Scheme and Grant of Options

Blue Star Capital plc (AIM: BLU), the investing company with a focus on esports, technology and its applications within media and gaming, announced on 24 September 2021 the adoption of a share option scheme and granted share options to certain directors.

In response to discussions with certain shareholders regarding the terms of the scheme and the grant of options, the directors have chosen to cancel the scheme, including the options granted under it, rather than varying the terms of the existing scheme or grant. The directors may, subject to a period of broader shareholder engagement, seek to put in place a replacement incentive programme or option scheme in the future.

As a result of the cancellation of the options granted on 24 September 2021, the Company has no outstanding options in issue.

Derek Lew, Blue Star executive chairman, commented: "We introduced the option scheme to provide a platform to incentivise current and future management performance for the benefit of all shareholders. In line with our policies on corporate governance and our adoption of the QCA Code, it is important to us to demonstrate that we have not only listened to feedback from shareholders but acted upon it quickly. We believe that management performance should be incentivised, however, in light of the comments received, we consider it appropriate to cancel the existing arrangements entirely and to undertake wider stakeholder engagement on management incentivisation."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).

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About Blue Star Capital

Blue Star is an investing company with a focus on new technologies. Blue Star's investments include a 27.7% holding in SatoshiPay, a payments business using blockchain technology; investments in 6 early stage esports companies with shareholdings ranging from 6% to 13.6% and a 0.9% investment in Sthaler, an identity and payments technology business which enables a consumer to identify themselves and pay using just their finger.