Placing and Directors' Dealings

OptiBiotix Health plc

("OptiBiotix" or the "Company")

Placing and Directors' Dealings

OptiBiotix Health plc (AIM: OPTI), a Life Sciences business developing products to tackle obesity, high cholesterol and diabetes is pleased to announce that it has raised £1,500,000, before expenses through the issue of 2,000,000 new ordinary shares at a price of 75 pence per share (the "Placing").

Background

Since listing in August 2014, OptiBiotix has made significant progress in its strategy of developing products to modulate the human microbiome to prevent, manage, and treat human disease. This has led to four commercial deals, six new patents, and five new microbial strain deposits, validation of its OptiScreen® and OptiBiotix® platforms and successful completion of human studies on its cholesterol reducing product. This has created multiple product and partnering opportunities and led to significant partner interest. The board now wish to leverage OptiBiotix's leading position in the fast evolving microbiome space to accelerate the commercialisation of existing products and expand its new product pipeline.

Use of Proceeds

The Company intends to use the proceeds of the Placing to:-

i. enhance its in-house product development capability in the microbiome space by the recruitment of four new development/ formulation scientists. This is expected to support opportunities for partner joint development;

ii. extend its OptiScreen® technology platforms into other application areas, such as diabetes and bone health. This is expected to create new opportunities with existing and new partners;

iii. create a new 'SweetBiotix™' platform with a focus on developing 'sweet healthy sugars'. This accelerates the progress made with the companies OptiBiotix® platform, and

iv. extend OptiBiotix's technology platforms into new application areas, in particular skin health. This creates new product opportunities in large global markets including skincare ($121bn), Health Care Acquired Infections ($82bn) and wound care ($18.3bn).

The Company believes these developments provide significant growth opportunities to ensure OptiBiotix remains at the leading edge of an emerging market forecast to become one of the world's fastest growth areas. OptiBiotix has made good progress since listing and now looks to build on this solid foundation to build a microbiome business with sustainable and significant value for shareholders.

Following the Placing the Company will increase its net funds from £2.2m to circa £3.7m.

Directors' Dealings

Certain of the directors have participated in the Placing, as set out in the table below:-

Related Party Transaction

The participation of the directors in the Placing (as set out above) is a related party transaction (the "Transaction") pursuant to AIM Rule 13. Gareth Barker and Mark Wyatt, who are directors of the Company independent of the Transaction consider, having consulted with the Company's nominated adviser, that the terms of the Transaction are fair and reasonable insofar as shareholders are concerned.

Application of Shares to Trading on AIM

Application will be made to the London Stock Exchange to admit the 2,000,000 new ordinary shares to trading on AIM. Admission of the new ordinary shares is expected to occur on or around 21 December 2015. The new ordinary shares will rank pari passu with the existing ordinary shares.

Disclosure and Transparency Rules

For the purpose of the Disclosure and Transparency Rules, following the issue of shares detailed above the enlarged issued share capital of the Company will comprise 75,851,925 ordinary shares of 2p each. The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the Disclosure and Transparency Rules.

Stephen O'Hara, CEO of OptiBiotix said: 'Whilst the company has sufficient funds to commercialise existing platforms the high level of investor and partner interest has created an opportunity to raise additional funds to consolidate our leading position in the microbiome space. These new funds will allow the company to increase its in house development capability, accelerate the commercialisation of existing products, extend our technology platforms into new application areas, and expand our product pipeline. These new developments represent high growth opportunities in large global markets equal to or greater than existing plans consistent with our strategy of targeting large global markets with an unmet need.'

For further information:

About OptiBiotix - www.optibiotix.com

OptiBiotix was formed in March 2012 to develop compounds which modify the human microbiome - the collective genome of the microbes in the body - to prevent and manage human disease.

The aim of OptiBiotix is to discover and develop microbial strains, compounds and formulations, which modulate the human microbiome and can be used as food ingredients and supplements or active compounds for the prevention and management of human metabolic diseases, examples of which include obesity, cholesterol and lipid distribution and diabetes.

OptiBiotix has established a pipeline of microbiome modulators that can impact on lipid and cholesterol management, energy harvest and appetite suppression. The development pipeline is fuelled by its proprietary OptiScreen® and OptiBiotic® platform technologies designed to identify metabolic pathways and compounds that impact on human physiology and bring potential health benefits. These platforms are applicable across a wider range of other human diseases.