Placing to Raise £380,000

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 ("MAR"). With the publication of this announcement via a Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain.

17 November 2020

Tekcapital plc

("Tekcapital" or the "Company")

Placing to raise £380,000 (US$500,000)

Tekcapital plc, (AIM: TEK) the UK intellectual property investment group focused on creating marketplace value from investing in university technology, announces that it has raised a total of £380,000 (US$500,000) (before expenses) by way of the issue of, in aggregate, 4,750,000 new ordinary shares of 0.4 pence each in the Company (the "Placing Shares"), at 8 pence per share (the "Placing Price") (together, the "Placing").

The funds raised will primarily be used to enable Guident and Salarius take advantage of new commercial opportunities. In addition, our previous guidance for our portfolio company's (Belluscura) timing for the likely receipt of FDA clearance for the X-PLO₂R in H2 remains unchanged.

Key Highlights:

-      £380,000 (US$500,000) (before expenses) raised by means of a fundraise through the issue of, in aggregate 4,750,000 Placing Shares at 8 pence per New Ordinary Share.

-      Funds raised will primarily be used to:

o  Increase investment in Guident and commit up to US$350,000 to facilitate the rapid design and fabrication of its new regenerative shock absorbers for road testing by two listed automotive companies that have recently signed NDA's with Guident.

o  Increase investment in Salarius and commit up to US$150,000 for sales and product support for B2B sales of MicroSalt® in Mexico following the recently signed distribution agreement with FXM Ingredients, Inc., a leading food ingredient supplier in Mexico. This is a timely opportunity for Salarius, as the Mexican government has just enacted a new law in October 2020, requiring front of package labelling for snack foods containing large amounts of sodium. As a result, snack food companies are keen to lower their sodium content on a wide range of products.  Additionally, Salarius is seeking to enhance their upcoming Amazon launch and sales of SaltMe® crisps by producing and including small (1 oz) retail bag design and inventory in addition to their 5oz family size packaging.

-      The Placing Price represents a discount of approximately 8.6 per cent. to the closing mid-market price of 8.75 pence on 16 November 2020, being the last trading day prior to the release of this announcement of the Placing.

-      The Placing Shares will represent approximately 5.4 per cent. of the Existing Ordinary Shares and will, when issued, represent approximately 5.1 per cent. of the Enlarged Share Capital.

-      The Placing was undertaken by the Company's broker SP Angel Corporate Finance LLP.

Admission and Total Voting Rights

Application has been made for the 4,750,000 New Ordinary Shares to be admitted to trading on AIM ("Admission"). It is expected that Admission will become effective on or around 20 November 2020.

Following the issue of the 4,750,000 New Ordinary Shares, which on Admission will rank pari passu with the existing ordinary shares, the total number of ordinary shares in issue with voting rights in the Company will be 92,828,042. There are no shares held in treasury.

The above figure of 92,828,042 may therefore be used by shareholders as the denominator for the calculation by which they may determine if they are required to notify their interest in, or change to their interest in, the Company under the FCA's Disclosure Guidance and Transparency Rules.

Clifford M. Gross Ph.D., Executive Chairman of Tekcapital plc commented:

"We are pleased to announce the completion of this placing as it will enable us to accelerate the further development of Guident ltd and Salarius ltd as they seek to capitalise on recent positive developments. Progress with Lucyd® ltd is on track with their new Lyte E-glasses and our previous guidance regarding the likely receipt of FDA clearance by Belluscura plc in H2 remains unchanged."

About Tekcapital plc

Tekcapital creates value from investing in new, university-developed intellectual properties and provides a range of IP investment services to make it easy for organisations to commercialise university-developed technology. Tekcapital is quoted on the AIM market of the London Stock Exchange (AIM: symbol TEK) and is headquartered in Oxford, in the UK. For more information, please visit www.tekcapital.com

LEI: 213800GOJTOV19FIFZ85

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Forward-Looking Statements:

Certain statements in this announcement are or may be deemed to be forward-looking statements. Forward-looking statements are identified by their use of terms and phrases such as ''believe'' ''could'' "should" ''envisage'' ''estimate'' ''intend'' ''may'' ''plan'' ''will'' or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward-looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.  Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions, fluctuations in portfolio company net asset values, competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company such as the COVID-19 pandemic. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.

 SP Angel Corporate Finance LLP, which is a member of the London Stock Exchange, is authorised and regulated in the United Kingdom by the Financial Conduct Authority and is acting as financial adviser, nominated adviser and broker for the purposes of the AIM Rules for Companies.  SP Angel Corporate Finance LLP is acting exclusively for the Company in connection with the matters referred to in this announcement and for no-one else and will not be responsible to anyone other than the Company for providing the protections afforded to its clients nor for providing any advice in relation to the contents of this announcement or any transaction, arrangement or matter referred to herein.