SNG Synairgen Plc

THIS ANNOUNCEMENT (INCLUDING THE APPENDIX) (THIS "ANNOUNCEMENT") AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN, INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, THE REPUBLIC OF SOUTH AFRICA OR JAPAN OR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL. PLEASE SEE THE IMPORTANT NOTICES AT THE END OF THIS ANNOUNCEMENT.

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE OR CONTAIN ANY INVITATION, SOLICITATION, RECOMMENDATION, OFFER OR ADVICE TO ANY PERSON TO PURCHASE AND/OR SUBSCRIBE FOR, OTHERWISE ACQUIRE OR DISPOSE OF ANY SECURITIES IN SYNAIRGEN PLC OR ANY OTHER ENTITY IN ANY JURISDICTION.

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION. MARKET SOUNDINGS (AS DEFINED IN THE MARKET ABUSE REGULATION (EU REGULATION NO. 596/2014 AS IT FORMS PART OF UNITED KINGDOM DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 "UK MAR")) WERE TAKEN IN RESPECT OF CERTAIN OF THE MATTERS CONTAINED IN THIS ANNOUNCEMENT, WITH THE RESULT THAT CERTAIN PERSONS BECAME AWARE OF SUCH INSIDE INFORMATION, AS PERMITTED BY UK MAR. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN AND SUCH PERSONS SHALL THEREFORE CEASE TO BE IN POSSESSION OF INSIDE INFORMATION.

For immediate release

20 December 2024

Synairgen plc

Proposed Fundraising to raise a minimum of £18 million and a maximum of £19 million

and

Proposed Waiver of Rule 9 of the City Code on Takeovers and Mergers

Synairgen (LSE: SNG) ("Synairgen", the "Company" and, together with its subsidiary undertakings, the "Group"), the respiratory company developing SNG001, an investigational formulation for inhalation containing the broad-spectrum antiviral protein interferon beta, announces that it has conditionally raised £18.0 million (before expenses) through the conditional subscription of 900,000,000 new Ordinary Shares (the "Subscription Shares") by TFG Asset Management UK LLP ("TFG Asset Management UK") (on behalf of the Relevant Funds) at an issue price of 2 pence per new Ordinary Share (the "Issue Price").

In addition, the Company is seeking to raise up to £6.0 million (before expenses) through the conditional subscriptions by certain of the Directors for, in aggregate, 1,250,000 new Ordinary Shares, and a proposed Placing and Open Offer of up to an aggregate of 298,750,002 new Ordinary Shares, in each case at the Issue Price (together, the "Non-Underwritten Fundraising").

The minimum amount which must be raised by the Non-Underwritten Fundraising in order for it to proceed is £2.9 million (before expenses) (the "Minimum Fundraising Condition"). In the event that the Minimum Fundraising Condition is satisfied, the maximum amount to be conditionally raised by the Company in the Fundraising will be capped at £19 million, and the quantum of the Subscription by TFG Asset Management UK will be reduced by an amount equal to the quantum of the Non-Underwritten Fundraising up to a maximum of £6.0 million. 

The net proceeds from the Fundraising will be used to fund external and internal costs of a Phase 2 trial of SNG001 in mechanically ventilated patients with confirmed respiratory viral infections, drug manufacturing and stability testing.

Richard Marsden, CEO of Synairgen, said: "We are delighted to have secured a path forward for SNG001 with the conditional raise of £18.0 million to advance a large Phase 2 trial in patients requiring mechanical ventilation due to respiratory viral infections. These patients are severely ill and face mortality rates of between 25% to 45%. SNG001 is a broad-spectrum antiviral offering potential against a range of respiratory viruses, including common cold, flu and coronaviruses, which can lead to critical illness. By delivering SNG001 directly into the lungs as an aerosol we aim to boost and/or restore the lungs' antiviral responses to clear the virus and improve patients' outcomes. If we can demonstrate a significant reduction in mortality it will make SNG001 a valuable asset, attractive to pharma company partners. We are grateful for the support from TFG Asset Management UK and the ongoing support of our shareholders as we now look forward to initiating this important trial in 2025."

Mark Parry-Billings, Chairman of the Board of Synairgen, said: "The securing of this conditional raise of £18.0 million is testament to the potential clinical benefit and commercial opportunity that SNG001 holds for patients with severe viral lung infections. We are thankful to TFG Asset Management UK for being such a supportive investor and we are also delighted to launch an Open Offer today, providing our existing and loyal shareholders with a chance to participate in the future fundraise.  We believe this fundraising to be in the best interests of the Company and our shareholders as a whole and we look forward to providing a further update in early 2025."

Fundraising highlights:

·      Conditional subscription for a minimum of 649,999,998 Subscription Shares and a maximum of 900,000,000 Subscription Shares by TFG Asset Management UK (on behalf of the Relevant Funds), to raise a minimum of £18 million and a maximum of £19 million (before expenses).

·      Proposed Placing, to be conducted through a bookbuilding process (the "Bookbuilding Process"), and proposed Open Offer to raise up to, in aggregate, £5.975 million (before expenses) through the issue of up to 298,750,002 new Ordinary Shares.

·      The Bookbuilding Process will commence with immediate effect following the release of this Announcement in accordance with the terms and conditions set out in the appendix to this Announcement.  Cavendish is acting as sole bookrunner in connection with the Placing.

·      Conditional subscriptions by certain of the Directors for, in aggregate, 1,250,000 Director Subscription Shares, raising £25,000 (before expenses).

·      The Issue Price of 2 pence per New Ordinary Share represents a discount of approximately 46.6 per cent. to the closing middle market price of 3.745 pence per existing Ordinary Share on 19 December 2024 (being the latest practicable date prior to the publication of this Announcement).

·      In order for the Non-Underwritten Fundraising to proceed a minimum of £2.9 million must be raised through it.

·      In the event that the Minimum Fundraising Condition is satisfied, the maximum amount to be conditionally raised by the Company in the Fundraising will be capped at £19 million and the quantum of the Subscription by TFG Asset Management UK will be reduced accordingly by up to a maximum of £6.0 million. 

·      Following the completion of the Subscription, TFG Asset Management UK (on behalf of the Relevant Funds) would, in aggregate, be interested in Ordinary Shares that carry more than 30 per cent. of the Company's voting share capital which would ordinarily result in TFG Asset Management UK having to make a mandatory offer under Rule 9 of the Takeover Code. However, the Panel has agreed to waive the obligation on TFG Asset Management UK to make a mandatory offer that would otherwise, subject to the approval of the Independent Shareholders on a poll at the General Meeting.

IN THE EVENT THAT THE NON-UNDERWRITTEN FUNDRAISING DOES NOT RAISE, IN AGGREGATE, A MINIMUM OF £2.9 MILLION FOR THE COMPANY, NO ELEMENT OF THE NON-UNDERWRITTEN FUNDRAISING WILL PROCEED. ALL MONIES SHALL BE RETURNED TO QUALIFYING SHAREHOLDERS WHO PARTICIPATED IN THE OPEN OFFER AND NO PLACING SHARES, OPEN OFFER SHARES OR DIRECTOR SUBSCRIPTION SHARES WILL BE ISSUED BY THE COMPANY.

SUBJECT TO THE APPROVAL OF THE RESOLUTIONS AT THE GENERAL MEETING, IF THE MINIMUM FUNDRAISING CONDITION IS NOT SATISFIED, WHILE THE SUBSCRIPTION WOULD STILL PROCEED, THE COMPANY INTENDS TO APPLY FOR THE CANCELLATION OF ITS ORDINARY SHARES FROM TRADING ON AIM IN EARLY 2025.  ACCORDINGLY, A SEPARATE CIRCULAR WOULD BE SENT TO SHAREHOLDERS FOLLOWING ADMISSION REQUESTING THAT THEY APPROVE SUCH CANCELLATION IN ACCORDANCE WITH RULE 41 OF THE AIM RULES.  A RESOLUTION TO APPROVE SUCH CANCELLATION REQUIRES THE APPROVAL OF 75 PER CENT OF THOSE SHAREHOLDERS WHO ACTUALLY VOTE IN A GENERAL MEETING.  IF THE MINIMUM FUNDRAISING CONDITION IS NOT MET, TFG ASSET MANAGEMENT UK'S RESULTANT HOLDING IN THE COMPANY WOULD BE 86.9 PER CENT. OF THE ENLARGED ISSUED SHARE CAPITAL AND ACCORDINGLY IT WOULD BE ABLE TO PASS SUCH RESOLUTION ON ITS OWN, NOTWITHSTANDING HOW MANY SHAREHOLDERS MAY VOTE AGAINST. TFG ASSET MANAGEMENT UK HAS NOTIFIED THE COMPANY THAT SHOULD THIS BE THE CASE, IT WOULD VOTE "FOR" SUCH RESOLUTION AND APPROVE THE CANCELLATION.

Posting of Circular

The Company also confirms that a circular (the "Circular"), which contains, inter alia, a notice convening the General Meeting to be held on 16 January 2025 at 10.30 a.m. at the offices of Fieldfisher LLP, Riverbank House, 2 Swan Lane, London EC4R 3TT, will today be published and posted to Shareholders, along with the Application Form for the Open Offer (where applicable).

The Circular will also be made available on the Company's website: https://www.synairgen.com/investors.

Definitions

Defined terms and expressions used in this Announcement are set out at the end of this Announcement.

Enquiries:

Expected Timetable of the Fundraising

Each of the times and dates above are indicative only and are subject to change. If any of the above times and/or dates change, the revised times and/or dates will be notified by the Company to the Shareholders by announcement through a regulatory information service. All events listed in the above timetable following the General Meeting are conditional on inter alia, the passing of the Resolutions at the General Meeting. All of the above times refer to London time unless otherwise stated.

The following text is extracted without amendment from the Circular:

BACKGROUND TO AND REASONS FOR THE FUNDRAISING AND USE OF PROCEEDS

Background

Synairgen is developing SNG001 (inhaled Interferon beta-1a) as a drug to treat severe viral lung infections. Respiratory viral infections (including influenza, rhinovirus, respiratory syncytial virus, adenovirus, human metapneumovirus, and coronavirus including SARS-CoV-2) are the most common cause of infectious disease and when they affect the lungs they can cause significant morbidity and mortality. These viruses cause more than 2 million hospitalisations each year in the US alone and approximately 15 per cent. of these patients are admitted to intensive care units for higher levels of medical intervention, with half of these patients (c. 150,000) requiring mechanical ventilation. In the US, the average cost of hospitalisation caused by SARS-CoV-2 requiring invasive mechanical ventilation (among surviving patients) was ~$60k.

Interferon-beta is a naturally occurring protein, produced in response to viral infections, that drives the body's antiviral responses. People who make less interferon beta, for example due to their genetics, age or disease, are at greater risk of developing severe viral lung infections. Viruses themselves also supress interferon beta production to evade host antiviral responses. Together these factors provide the rationale to deliver SNG001 directly into the lungs as an aerosol to boost/restore the lungs' antiviral responses to clear the virus. As such, SNG001 is a broadly-acting antiviral therapeutic.

Synairgen has completed a comprehensive review of data from previous trials of SNG001, epidemiological data, commercial factors and unmet clinical need, concluding that mechanically ventilated patients in intensive care are the most appropriate group to target in the next Clinical Trial. With only one antiviral drug approved for adults in the US (remdesivir for COVID-19) for use in mechanically ventilated patients, these difficult and expensive to treat patients are underserved with currently available antiviral treatments and mortality remains high in the range of 25-45 per cent. Subject to regulatory approvals, Synairgen plans to initiate a Phase 2 clinical trial (SG021) in mechanically ventilated patients with confirmed respiratory viral infections during the coming 2024/2025 virus season.

Clinical Trial Design

The international Clinical Trial, to be conducted across approximately 50-60 sites, follows a randomised, double-blind placebo-controlled design and will recruit 450 patients, with the primary endpoint being a reduction in 28-day mortality in the SNG001 versus the placebo group. This endpoint is clinically relevant and material for future dialogue with regulatory agencies and potential pharmaceutical company partners. In addition to safety and tolerability, secondary endpoints include clinically important efficacy assessments such as duration of ventilation, duration of stay in the intensive care unit and in the hospital, which can also relate to health economics. Inclusion of pharmacodynamic measures such as viral load and biomarkers aim to support the novel mode of drug action. The study population will be enriched to select patients at higher risk of dying (>50 years of age, immunocompromised and those with higher viral load in the lungs), who we believe are believed to be more likely to respond to and benefit from SNG001.

SNG001 has shown a favourable safety profile in a large population of spontaneously breathing patients. To assess its safety in the most severely ill patients requiring invasive mechanical ventilation, the study will employ a two-part design, where SNG001 at a dose lower than the target will initially be administered to a cohort of 5 - 10 patients undergoing invasive mechanical ventilation, to assess safety and tolerability.

Importantly, the study includes an interim analysis (IA) planned after 224 randomised patients, which is designed to test for futility, with a threshold set at 25 per cent. reduction in mortality in the SNG001 treated group compared to placebo. This means that at this key checkpoint, the Clinical Trial would stop if SNG001 does not reduce mortality by at least 25 per cent. The overall statistical power of the study is >80 per cent. assuming a mortality rate in the placebo group of ≥35 per cent. and a reduction in mortality in the SNG001 group of ≥40 per cent. The Clinical Trial is designed such that, if these assumptions are correct, the chance of passing the IA is high at >85 per cent. and if the interim analysis is passed the chance of a positive final trial readout is increased to >95 per cent. A schematic of the study design is shown below:

Given the high unmet medical need and the potential health economic challenge posed to health care providers due to severe respiratory virus infections in intensive care facilities, the Company believes that a significant reduction in mortality from this Clinical Trial would make SNG001 a valuable asset that might be attractive to pharma company partners.

The funding required for the Clinical Trial and the other areas set out below is £18 million and the Company are grateful for the support from TFG Asset Management UK which has agreed to subscribe for a maximum of 900,000,000 shares at the Issue Price, equivalent to £18 million.

Use of proceeds

The net proceeds of the Fundraising are intended to be used as follows:

External Phase II Clinical Trial costs                                                                                  c. £14 million

Synairgen Clinical Trial costs (including UK site management / working capital)                     c. £3 million Drug manufacturing / stability testing                                                                                                                 c. £1 million

In the event that the Minimum Fundraising Condition is satisfied and the Non-Underwritten Fundraising raises, in aggregate, at least £2.9 million, the Subscription Shares subscribed for by TFG Asset Management UK will be clawed back as detailed in paragraph 3 of this Part I of the document.

The maximum amount of the Fundraising will be £19 million with such further amounts beyond those set out above being used for general working capital purposes.

THE STRUCTURE OF THE FUNDRAISING

Overview

The Fundraising consists of:

●        the Subscription, pursuant to which TFG Asset Management UK has irrevocably agreed to conditionally subscribe for up to 900,000,000 Subscription Shares at the Issue Price, raising £18 million for the Company. The Subscription Shares are subject to clawback as described below;

●        the Non-Underwritten Fundraising, comprising:

●        Director Subscriptions pursuant to which the Participating Directors have conditionally agreed to subscribe for 1,250,000 Director Subscription Shares, raising £25,000 for the Company;

●        the Placing, pursuant to which Placees are being given the opportunity to subscribe for the Placing Shares;

●        the Open Offer, pursuant to which Qualifying Shareholders are being given the opportunity to subscribe for the Open Offer Shares.

The Non-Underwritten Fundraising is subject to the following floor and cap:

●        the minimum amount which must be raised by the Non-Underwritten Fundraising in order for it to proceed is £2.9 million (before expenses). This means that the minimum amount to be raised pursuant to the Placing and Open Offer is, in aggregate, £2,875,000 (when taking into account the £25,000 of Director Subscriptions already committed).

●        the maximum amount to be conditionally raised pursuant to the Non-Underwritten Fundraising is £6.0 million (before expenses). This means that the maximum amount to be raised pursuant to the Placing and Open Offer is, in aggregate, £5,975,000 (when taking into account the £25,000 of Director Subscriptions already committed).

It is important to note that the Non-Underwritten Fundraising is conditional on the Minimum Fundraising Condition being satisfied.

In the event that the Minimum Fundraising Condition is satisfied, the maximum amount to be conditionally raised by the Company in the Fundraising will be capped at £19 million, in which case, the New Ordinary Shares will represent a maximum of 82.4 per cent. of the Enlarged Share Capital.

In the event that the Minimum Fundraising Condition is not satisfied, no element of the Non-Underwritten Fundraising will proceed and the minimum amount conditionally raised by the Company pursuant to the Fundraising will be £18 million pursuant to the Subscription, in which case, the New Ordinary Shares will represent a maximum of 81.6 per cent. of the Enlarged Share Capital.

Members of the public are not eligible to take part in the Placing and only Placees who are Relevant Persons may make a bid in the bookbuild which was launched pursuant to the Placing Announcement.

Each element of the Fundraising is being effected at the Issue Price. The Issue Price represents a discount of approximately 46.6 per cent. to the closing mid-market price of 3.745 pence per Ordinary Share on the Latest Practicable Date.

No element of the Non-Underwritten Fundraising is being underwritten. All elements of the Fundraising are conditional, inter alia, upon:

●        the passing, without amendment, of the Resolutions, including the Rule 9 Waiver Resolution at the General Meeting;

●        Admission becoming effective by no later than 8.00 a.m. on 17 January 2025 (or such other time and/or date, being no later than 8.00 a.m. on 31 January 2025, as Cavendish and the Company may agree).

Accordingly, if any of such conditions are not satisfied or, if applicable, waived, the Fundraising will not proceed.

The New Ordinary Shares will be credited as fully paid and will rank pari passu in all respects with the Existing Ordinary Shares then in issue, including the right to receive all future distributions, declared, paid or made in respect of the Ordinary Shares from the date of Admission.

The Minimum Fundraising Condition for the Non-Underwritten Fundraising

The Non-Underwritten Fundraising is subject to the Minimum Fundraising Condition being satisfied in order for it to proceed.

The Minimum Fundraising Condition is that the Non-Underwritten Fundraising must raise, in aggregate, a minimum of £2.9 million for the Company (before expenses).

The Placing and the Open Offer will both close on 15 January 2025 and the results of each will be announced shortly thereafter. Whilst the Directors have already conditionally subscribed for the Director Subscription Shares, the results of the Placing and the Open Offer are inherently uncertain and the Company and the Directors cannot give any guarantee that either £2.9 million will be raised or indeed any funds at all beyond the Subscription.

In the event that the Minimum Fundraising Condition is satisfied, the maximum amount which may be raised pursuant to the Non-Underwritten Fundraising is £6.0 million and the Fundraising as a whole is £19 million.

Please refer to paragraph 5 of Part I of this document for some important implications all Shareholders should be aware of if the Minimum Fundraising Condition is not satisfied.

Clawback

In the event that the Minimum Fundraising Condition is satisfied, the Non-Underwritten Fundraising will proceed, subject to a maximum cap of £6 million.

In these circumstances, TFG Asset Management UK has agreed that amounts raised pursuant to the Non-Underwritten Fundraising will reduce the number of Subscription Shares which it shall subscribe for pursuant to the Subscription on a 1 for 1 basis, subject to TFG Asset Management UK subscribing for a minimum of 649,999,998 Subscription Shares.

Accordingly, the minimum and maximum positions of TFG Asset Management UK would be as follows:

In the event that the Minimum Fundraising Condition is satisfied and on the assumption that the maximum number of Open Offer Shares and Placing Shares are issued:

In the event that the Minimum Fundraising Condition is not satisfied:

The Open Offer

The Company has previously stated that Qualifying Shareholders will be given the opportunity to participate in the Fundraising and accordingly the Company is making the Open Offer to Qualifying Shareholders. The Company is proposing to raise up to approximately £5.98 million (before expenses) (assuming full take up of the Open Offer) through the issue of up to 298,750,002 Open Offer Shares.

The Open Offer is subject to the Minimum Funding Condition. If the Minimum Funding Condition is not satisfied, no element of the Non-Underwritten Fundraising will proceed.

The Open Offer Shares are available to Qualifying Shareholders pursuant to the Open Offer at the Issue Price of 2 pence per Open Offer Share, payable in full on acceptance. Any Open Offer Shares not subscribed for by Qualifying Shareholders will be available to Qualifying Shareholders under the Excess Application Facility.

Qualifying Shareholders may apply for Open Offer Shares under the Open Offer at the Issue Price on the following basis:

1 Open Offer Share for every 0.67836216 Existing Ordinary Share held on the Record Date

Entitlements of Qualifying Shareholders will be rounded down to the nearest whole number of Open Offer Shares. Fractional entitlements which would otherwise arise will not be issued to Qualifying Shareholders but will aggregated and be made available under the Excess Application Facility. The Excess Application Facility enables Qualifying Shareholders to apply for Excess Shares in excess of their Basic Open Offer Entitlement. Not all Shareholders will be Qualifying Shareholders. Shareholders who are located in, or are citizens of, or have a registered office in certain overseas jurisdictions, including the Restricted Jurisdictions, will not qualify to participate in the Open Offer. The attention of Overseas Shareholders is drawn to paragraph 6 of Part V of this document.

Valid applications by Qualifying Shareholders will be satisfied in full up to their Basic Open Offer Entitlements as shown on the Application Form. Applicants can apply for less or more than their entitlements under the Open Offer but the Company cannot guarantee that any application for Excess Shares under the Excess Application Facility will be satisfied as this will depend in part on the extent to which other Qualifying Shareholders apply for less than or more than their own Basic Open Offer Entitlements. The Company may satisfy valid applications for Excess Shares of applicants in whole or in part but reserves the right not to satisfy any excess above any Basic Open Offer Entitlement. Applications made under the Excess Application Facility will be scaled back at the Company's discretion if applications are received from Qualifying Shareholders for more than the available number of Excess Shares or in order to accommodate Placees in the Placing, if to do so would mean that the Minimum Fundraising Condition would be satisfied.

Application has been made for the Basic Open Offer Entitlements and the Excess Open Offer Entitlements to be admitted to CREST. It is expected that such Basic Open Offer Entitlements and the Excess Open Offer Entitlements will be credited to CREST on 23 December 2024. The Basic Open Offer Entitlements will be enabled for settlement in CREST until 3.00 p.m. on 10 January 2025. Applications through the CREST system may only be made by the Qualifying CREST Shareholder originally entitled or by a person entitled by virtue of bona fide market claims. The Open Offer Shares must be paid in full on application. The latest time and date for receipt of completed Application Forms or CREST applications and payment in respect of the Open Offer is 11.00 a.m. on 15 January 2025. The Open Offer is not being made to certain Overseas Shareholders, as set out in paragraph 6 of Part V of this document.

Qualifying Shareholders should note that the Open Offer is not a rights issue and therefore the Open Offer Shares which are not applied for by Qualifying Shareholders will not be sold in the market for the benefit of the Qualifying Shareholders who do not apply under the Open Offer. The Application Form is not a document of title and cannot be traded or otherwise transferred.

The holdings of Shareholders who do not participate in the Open Offer will be diluted by 82.4 per cent. as a result of the Subscription, the Director Subscriptions and the Placing, assuming the Non-Underwritten Fundraising is subscribed for in full and the Minimum Funding Condition is satisfied.

Further details of the Open Offer and the terms and conditions on which it is being made, including the procedure for application and payment, are contained in Part V of this document and on the accompanying Application Form.

In addition to the Minimum Funding Condition, the Open Offer is also conditional on the Subscription and the Director Subscriptions becoming or being declared unconditional in all respects and not being terminated before Admission. Accordingly, if the conditions to the Subscription and the Director Subscriptions (including the passing of the Resolutions) are not satisfied or waived (where capable of waiver), the Open Offer will not proceed and the Open Offer Shares will not be issued and all monies received by the Receiving Agent will be returned to the applicants (at the applicant's risk and without interest) as soon as possible thereafter. Any Basic Open Offer Entitlements admitted to CREST will thereafter be disabled.

The Open Offer Shares will be issued free of all liens, charges and encumbrances and will, when issued and fully paid, rank pari passu in all respects with the Existing Ordinary Shares, including the right to receive all dividends and other distributions declared, made or paid after the date of their issue.

CERTAIN OTHER ARRANGEMENTS IN CONNECTION WITH THE FUNDRAISING

The Subscription Agreement

In connection with the Subscription, TFG Asset Management UK (on behalf of the Relevant Funds) and the Company have entered into the Subscription Agreement, pursuant to which TFG Asset Management UK (on behalf of the Relevant Funds) has conditionally subscribed for the Subscription Shares at the Issue Price (raising a minimum of £18 million for the Company (before expenses)).

The Subscription is subject to the clawback arrangements set out above. The Subscription is conditional inter alia, upon:

(a)     the passing, without amendment, of the Resolutions, including the Rule 9 Waiver Resolution at the General Meeting;

(b)     Admission becoming effective by no later than 8.00 a.m. on 17 January 2025 (or such later date that the Company and TFG Asset Management UK may agree).

Pursuant to the Subscription Agreement, TFG Asset Management UK has the right to nominate two directors to the Board (each a "Nominated Director") for so long as it (on behalf of the Relevant Funds) holds at least 30 per cent. of the voting rights in the Company. One of the Nominated Directors to be appointed will be Martin Murphy, who, subject to the passing of the Resolutions will join as a Non-Executive Director.

Each of the Nominated Directors shall act in the interest of shareholders as whole, shall not represent TFG Asset Management UK at Board meetings and shall be capable at all times of exercising independent judgement. The Nominated Directors themselves shall be under no obligation to pass any information (confidential information/inside information or otherwise) to TFG Asset Management UK.

At such time as Mark Parry-Billings is no longer the chair of the Board, TFG Asset Management UK has the right to nominate the person to be appointed as the new chair as one of the two Nominated Directors. For the avoidance of doubt Mark Parry-Billings is not a Nominated Director and is considered upon appointment to be an Independent Director for QCA Code purposes.

As at the date of this document, the Board considers, Mark Parry-Billings, Amanda Radford and Dr. Felicity Gabbay to be Independent Directors for QCA Code purposes. It has been agreed that all of the Non-Executive Directors of the Board will step down on Admission. In addition to Martin Murphy (see below), it is the intention of the Company to appoint two new independent Non-Executive Directors to the Board in due course.

In addition to any executive directors and any Non-Executive Directors who are considered non-independent pursuant to the QCA Code, the intention is that at least two members of the Board will be Independent Directors. To the extent that at any time the Board does not maintain two Independent Directors, the Company will comply with any relevant disclosure requirements set forth in the QCA Code with respect thereto.

TFG Asset Management UK shall also have the right to appoint an observer (the "Investor Observer") to the Board of the Company for so long as it holds at least 30 per cent. of the voting rights in the Company, provided that this right shall only be exercised if there is only one or no Nominated Director appointed.

In the event that a Nominated Director or an Investor Observer leaves/retires/is removed, TFG Asset Management UK has a right to replace them with another person in their place.

A Nominated Director may be removed pursuant to a shareholder vote in the event that TFG Asset Management UK (on behalf of the Relevant Funds) no longer holds the requisite percentage of the voting rights in the Company.

An Investor Observer will be capable of being removed by the Board in the event that TFG Asset Management UK (on behalf of the Relevant Funds) no longer holds the requisite percentage of the voting rights in the Company.

The Company has also granted TFG Asset Management UK information rights, subject to TFG Asset Management UK being bound by confidentiality obligations. The Company may not share inside information with TFG Asset Management UK unless TFG Asset Management UK consents to be an insider and accordingly be bound by the prohibitions in the Market Abuse Regulation and the Criminal Justice Act relating to insider dealing and market abuse.

TFG Asset Management UK's rights under the Subscription Agreement shall lapse in the event that it ceases to hold at least 30 per cent. of the voting rights in the Company.

The Relationship Agreement

Given that, subject to the passing of the Resolutions, TFG Asset Management UK (on behalf of the Relevant Funds) will hold over 50 per cent. of the share capital of the Company on Admission, the Company and TFG Asset Management UK have entered into the Relationship Agreement in order to regulate the relationship between them.

It is important to note that the terms of the Relationship Agreement will only take effect in the event that the Minimum Fundraising Condition is satisfied, which would entail that TFG Asset Management UK holds less than 75 per cent. of the Enlarged Share Capital of the Company on Admission. In the event that the Minimum Fundraising Condition is not satisfied, then the terms of the Relationship Agreement shall not come into effect and the Relationship Agreement shall lapse.

Subject to the Minimum Fundraising Condition having been satisfied, TFG Asset Management UK has undertaken to the Company that:

●        transactions and arrangements between the Company and TFG Asset Management UK must be conducted at arm's length and on a normal commercial basis and approved by a majority of the Independent Directors.

●        TFG Asset Management UK shall not take any action that would have the effect of preventing the Company from complying with its obligations under the AIM Rules.

●        TFG Asset Management UK shall not propose or procure (so far as it is properly able to do so) the proposal of a shareholder resolution which is intended to circumvent the proper application of the AIM Rules.

●        TFG Asset Management UK shall not propose the removal of any Independent Director such that the Company would no longer be able to comply with the relevant recommendations of the QCA Code and explain its non-compliance with such relevant recommendations of the QCA Code as required under the AIM Rules.

●        TFG Asset Management UK may not propose or procure the proposal of a shareholder resolution which is intended to cancel the issuer's admission to trading on AIM without the approval of a majority of the Independent Directors.

TFG Asset Management UK's obligations under the Relationship Agreement shall lapse (or shall cease to become effective, as the case may be) in the event that (i) the Minimum Fundraising Condition is not satisfied; or (ii) it ceases to hold at least 30 per cent. of the voting rights in the Company or (iii) the shares held by TFG Asset Management UK (on behalf of the Relevant Funds) cease to be admitted to trading on AIM.

Amendments to the Articles of Association

As part of the Subscription, TFG Asset Management UK and the Company have agreed to make, subject to the passing of the Resolutions, certain amendments to the Articles of Association dealing with conflicts of interest.

The proposed amendments are set out in Resolution 8 such that directors, who have complied with the notification requirements of section 177 of the Act, may vote and count in the quorum on transactions or arrangements with the Company on which they have declared their interests in accordance with the Act.

It is understood that the Nominated Directors will not be conflicted on any matter relating to TFG Asset Management UK simply on account of being a Nominated Director, provided that some other reason for a conflict has not arisen (for example, by subsequently being employed by TFG Asset Management UK).

Board changes

Subject to the Resolutions being passed, all of the Company's current Non-Executive Directors (being Amanda Radford, Dr. Felicity Gabbay, Dr. Bruce Campbell and Prof. Stephen Holgate CBE) will step down from the Board at the conclusion of the General Meeting.

It is the intention of the Company to appoint two new independent Non-Executive Directors to the Board in due course.

Martin Murphy

Pursuant to the Subscription Agreement, subject to the passing of the Resolutions, Martin Murphy shall be appointed as a Non-Executive Director of the Company.

Martin Murphy is a seasoned healthcare veteran with over 23 years of leadership experience in life sciences investment. Martin previously served as Chair of Investment Committee and CEO of Syncona Limited, a FTSE 250 healthcare investment company, where he helped raise $3 billion in funds and built Syncona to become the pre-eminent UK life sciences company founder and builder. Additionally, he serves as Chair of the Commercial Advisory Board at the British Heart Foundation CureHeart Programme and is founding investor of NASDAQ-listed Autolus Therapeutics. Between 2002-2012, he served as Managing Director of MVM Life Science Partners LLP's London office and European business. Martin holds a PhD from the University of Cambridge and an MA in Biochemistry from the University of Oxford.

New LTIPS

The legacy LTIP is approaching the end of its 10 year life and the Company, in conjunction, with TFG Asset Management UK, its largest shareholder, has concluded that it should be replaced with a new, simpler, structure of market value options ensuring that payouts are perfectly aligned with the shareholder experience.

Resolution 2 seeks authority from shareholders to adopt and operate the LTIPs for a period of 10 years from the date of the meeting.

Under the Act, grants of awards pursuant to an "employee share scheme" do not require any specific share authorities to do so. The Non-Employee LTIP, on account of non-executive directors being eligible to participate in it, does not meet the requirements of an "employee share scheme" for the purposes of the Act. Accordingly, the Board will require the specific authority from Shareholders to make awards under the Non-Employee LTIP and as such the Board is proposing that Shareholders approve Resolutions 5 and 7.

In the event that the Resolutions are passed, the Company intends to make the following grants of options under the LTIPs. The vesting date for each Option granted will be the third anniversary of the date of grant. The options may be exercised during the period of 7 years commencing on the third anniversary of the date of grant (i.e. expiring the day before the 10th anniversary of grant).

In the event that the Minimum Fundraising Condition is satisfied, the options below will be granted to ensure the holders receive the percentage of Enlarged Share Capital as set out below (the below is on the basis the full £19 million is raised pursuant to the Fundraising):

In the event that the Minimum Fundraising Condition is not satisfied, the following options will be granted:

A summary of the principal terms of the LTIPs is set out in the Appendix to the Notice of General Meeting.

IMPORTANT IMPLICATIONS OF THE MINIMUM FUNDRAISING CONDITION NOT BEING SATISFIED  - CANCELLATION

The Non Underwritten Fundraising is subject to and conditional upon, the Minimum Fundraising Condition.

In the event that the Non-Underwritten Fundraising does not raise, in aggregate, a minimum of £2.9 million for the Company, no element of the Non-Underwritten Fundraising will proceed. All monies shall be returned to Qualifying Shareholders who participated in the Open Offer and no Placing Shares, Open Offer Shares or Director Subscription Shares will be issued by the Company.

The results of the Non-Underwritten Fundraising are inherently uncertain and the Company and the Directors cannot give any guarantee that the Minimum Fundraising Condition will be satisfied or indeed any funds raised at all beyond the Subscription.

In the event that the Minimum Fundraising Condition is not satisfied, TFG Asset Management UK would hold 86.9 per cent. of the Enlarged Share Capital.

Following the approval of the Resolutions at the General Meeting, if the Minimum Fundraising Condition is not satisfied, the Company intends to apply for the cancellation of its Ordinary Shares from trading on AIM in early 2025 and a separate circular will be sent to the Company's shareholders following Admission requesting that Shareholders approve such Cancellation in accordance with rule 41 of the AIM Rules. In the event that the Minimum Fundraising Condition is not satisfied, given Tetragon Asset Management UK's level of shareholding and the inability of the public markets to adequately fund the Company, the Directors believe that the Cancellation is in the best interests of the Company and its shareholders as a whole.

A resolution to approve the Cancellation requires the approval of 75 per cent. of those Shareholders who actually vote in such general meeting. TFG Asset Management UK, which at such time would hold

86.9 per cent. of the Enlarged Share Capital, would therefore be able to pass such resolution on its own, notwithstanding how many other Shareholders may vote against.

TFG Asset Management UK has notified the Company that should this be the case, it would vote "for" such resolution and approve the Cancellation.

Following such Cancellation, Shareholders would then hold their Ordinary Shares in an unquoted company for which there may be much less liquidity than were they traded on AIM. Shareholders should read and understand the Risk Factors in Part III.

In the event that the Minimum Fundraising Condition is not satisfied and the Company applies for Cancellation, the principal effects of the Cancellation would be that:

●        there will not be a formal market mechanism enabling the Shareholders to trade Ordinary Shares;

●        while the Ordinary Shares will remain freely transferrable, the liquidity and marketability of the Ordinary Shares will, in the future, be more constrained than at present and the value of such shares may be adversely affected as a consequence;

●        in the absence of a formal market and quote, it may be more difficult for Shareholders to determine the market value of their investment in the Company at any given time;

●        the regulatory and financial reporting regime applicable to companies whose shares are admitted to trading on AIM will no longer apply and the Company will no longer be subject to the UK Market Abuse Regulation or the Disclosure Guidance and Transparency Rules and so will therefore no longer be required to disclose significant shareholdings in the Company;

●        shareholders will no longer be afforded the protections given by the AIM Rules and the requirement that the Company seek Shareholder approval for certain corporate actions, where applicable, including substantial transactions, reverse takeovers, related party transactions and fundamental changes in the Company's business;

●        the levels of transparency and corporate governance within the Company may not be as stringent as for a company quoted on AIM;

●        Cavendish will cease to be the Company's nominated adviser and the Company will cease to have a broker;

●        the Relationship Agreement will have no effect;

●        stamp duty will be payable on transfers of Ordinary Shares as the Ordinary Shares will no longer be traded on AIM;

●        the Cancellation may have personal taxation consequences for Shareholders. Shareholders who are in any doubt about their tax position should consult their own professional independent tax adviser.

Shareholders should also note that the Takeover Code may continue to apply to the Company following the Cancellation for a period of two years, provided (and depending on when the Cancellation might take effect) the Company continues to have its place of central management and control in the UK, Channel Islands or Isle of Man. Further details on the applicability of the Takeover Code post any Cancellation will be set out in a circular and regulatory announcement in due course should the Minimum Fundraising Condition not be met.

The Company will also continue to be bound by the Act (which requires shareholder approval for certain matters) following the Cancellation.

The above considerations are not exhaustive and Shareholders should seek their own independent advice when assessing the likely impact of the Cancellation on them.

Process for Cancellation

Under the AIM Rules, any Cancellation can only be effected by the Company after securing a special resolution of Shareholders in a general meeting and the expiry of a period of 20 clear Business Days from the date on which notice of the Cancellation is given to the London Stock Exchange. In addition, a period of at least five clear Business Days following Shareholders' approval of the Cancellation is required before the Cancellation may become effective.

In the event that the Minimum Fundraising Condition is not satisfied, the Company will send a circular to Shareholders convening a meeting to approve the necessary resolution in accordance with rule 41 of the AIM Rules.

Intentions of TFG Asset Management UK if the Minimum Fundraising Condition is satisfied

In the event that the Minimum Fundraising Condition is satisfied, TFG Asset Management UK will hold less than 75 per cent. of the Enlarged Share Capital and the Relationship Agreement, governing the behaviour between TFG Asset Management UK and the Company, will also take effect. Please see paragraph 4 of Part II for information regarding the intentions of TFG Asset Management UK.

CURRENT TRADING AND FUTURE PROSPECTS

The Company has spent much of 2024 preparing for its Clinical Trial to investigate SNG001 in mechanically ventilated patients infected with a range of respiratory viruses. This has included collaboration with leading respiratory and intensive care experts to characterise the clinical need, confirming commercial viability, designing the Clinical Trial, assessing feasibility of Clinical Trial delivery, and working with external parties on technologies that will be used in the Clinical Trial.

The proceeds of the Subscription, subject to Shareholder approval at the General Meeting, provides the Company with the necessary funds to commence the Clinical Trial.

ADMISSION OF THE NEW ORDINARY SHARES

Application will be made to the London Stock Exchange for the New Ordinary Shares to be admitted to trading on AIM. It is expected that Admission will become effective at 8.00 a.m. on 17 January 2025.

CREST accounts of the investors in the Fundraising who hold their Ordinary Shares in CREST will be credited with their New Ordinary Shares on 17 January 2025. In the case of investors in the New Ordinary Shares holding their Ordinary Shares in certificated form, it is expected that certificates will be dispatched within 10 business days of Admission. Pending dispatch of the share certificates or the crediting of CREST accounts, the Registrar will certify any instruments of transfer against the register.

RELATED PARTY TRANSACTIONS

The Subscription

TFG Asset Management UK (on behalf of the Relevant Funds) is a substantial shareholder in the Company holding 10 per cent. or more of the Existing Ordinary Shares and has agreed to subscribe for up to 900,000,000 Subscription Shares (subject to clawback) at the Issue Price, representing 86.9 per cent. of the Enlarged Share Capital (in the event that the Minimum Fundraising Condition is not satisfied).

The participation in the Fundraising by TFG Asset Management UK constitutes a related party transaction for the purposes of Rule 13 of the AIM Rules. The Directors who are independent of TFG Asset Management UK (which as at the date of this document is all of them) consider, having consulted with the Company's nominated adviser, Cavendish, that the terms upon which TFG Asset Management UK is participating in the Subscription are fair and reasonable insofar as the Company's Shareholders are concerned.

The Director Subscriptions

The conditional subscriptions for the Director Subscription Shares by Participating Directors pursuant to the Director Subscriptions constitute related party transactions pursuant to Rule 13 of the AIM Rules. The Non-Participating Directors, being deemed independent for the purpose of assessing the Director Participation, having consulted with the Company's nominated adviser, Cavendish, consider that the terms of the participation in the Director Subscriptions by the Participating Directors are fair and reasonable insofar as the Company's Shareholders are concerned.

TAKEOVER CODE

The Takeover Code applies to the Company. Under Rule 9 of the Takeover Code, any person who acquires an interest in shares which, taken together with shares in which that person or any person acting in concert with that person is interested, carry 30 per cent. or more of the voting rights of a company which is subject to the Takeover Code is normally required to make an offer to all the remaining shareholders to acquire their shares.

Similarly, when any person, together with persons acting in concert with that person, is interested in shares which in the aggregate carry not less than 30 per cent. of the voting rights of such a company but does not hold shares carrying more than 50 per cent. of the voting rights of the company, an offer will normally be required if such person or any person acting in concert with that person acquires a further interest in shares which increases the percentage of shares carrying voting rights in which that person is interested.

A Rule 9 Offer must be made in cash at the highest price paid by the person required to make the offer, or any person acting in concert with such person, for any interest in shares of the company during the 12 months prior to the announcement of the offer.

Following Admission, TFG Asset Management UK (in its capacity as discretionary investment manager for and on behalf of the Relevant Funds) will be interested in a maximum of 958,000,000 shares, representing a maximum 86.9 per cent. of the voting rights of the Company (on the assumption that the Minimum Fundraising Condition is not satisfied). Therefore, on Admission, and assuming that no other person converts any convertible securities or exercises any options or any other right to subscribe for shares in the Company, TFG Asset Management UK would be interested in a maximum of 958,000,000 shares, representing approximately 86.9 per cent. of the enlarged voting rights of the Company.

Rule 9 of the Takeover Code further provides, among other things, that where any person who, together with persons acting in concert with that person holding shares carrying more than 50 per cent. of the voting rights of a company, acquires any further shares carrying voting rights, then such person will not generally be required to make a general offer to the other shareholders to acquire the balance of their shares. Following Admission, TFG Asset Management UK (on behalf of the Relevant Funds) will hold shares carrying more than 50 per cent. of the voting rights of the Company and may accordingly increase their aggregate interests in the Ordinary Shares without incurring any obligation to make a Rule 9 Offer.

In the event that the Proposals are approved at the General Meeting, TFG Asset Management UK will not be restricted from making an offer for the Company.

TFG Asset Management UK is presumed to be acting in concert (as defined in the Takeover Code) with its members, any discretionary investment funds discretionarily managed by it or TFG Asset Management L.P. (including the Relevant Funds) and Tetragon Financial Management LP. As such TFG Asset Management UK is presumed to be interested in the Ordinary Shares in the Company held by the Relevant Funds for the purposes of the Takeover Code.

WAIVER OF RULE 9 OF THE TAKEOVER CODE

Pursuant to the Takeover Code, the Panel may waive the requirement for a general offer to be made in accordance with Rule 9 of the Takeover Code if, amongst other things, the shareholders of a company who are independent of the person who would otherwise be required to make an offer, and any person acting in concert with it, pass an ordinary resolution on a poll approving such a waiver.

TFG Asset Management UK (on behalf of the Relevant Funds) is interested in shares which carry 28.6 per cent. of the Company's voting rights. Assuming that the Fundraising is completed and irrespective of whether the Minimum Fundraising Condition is satisfied or not, and assuming that no person exercises any options or other rights to subscribe for Ordinary Shares, as at Admission TFG Asset Management UK would be interested in Ordinary Shares carrying over 50 per cent. or more of the Company's voting rights. Ordinarily, the acquisition by any person, together with persons acting in concert with that person, of an interest in shares which increases the percentage of shares carrying voting rights to 30 per cent. or more would result in the person having to make a mandatory Rule 9 Offer.

The Panel has been consulted and has agreed, subject to the passing of the Rule 9 Waiver Resolution by the Independent Shareholders on a poll at the General Meeting, to waive the obligation of TFG Asset Management UK to make a mandatory offer for the ordinary shares in the capital of the Company not already owned by them which would otherwise arise following completion of the Proposals. Accordingly, the Company is proposing the Rule 9 Waiver Resolution to seek the approval of Independent Shareholders to the Rule 9 Waiver Resolution.

In addition, TFG Asset Management UK will not be restricted from making a subsequent offer in the future for the Company in the event that the Rule 9 Waiver is approved by Independent Shareholders and the Proposals take place.

Your attention is drawn to Part II (Additional Information) of this document which sets out certain further information and financial information that is required to be disclosed in this document pursuant to the rules contained in the Takeover Code.

Under Rule 25.2 of the Takeover Code, only the Directors who are independent of TFG Asset Management UK are able to make a recommendation to the Independent Shareholders with respect to the proposed Rule 9 Waiver Resolution. As at the date of this document, all Directors are independent of TFG Asset Management UK.

The Directors believe it is in the best interests of the Company that the Rule 9 Waiver Resolution be passed and hereby recommend that Independent Shareholders vote in favour of the Rule 9 Waiver Resolution. Cavendish, as the Company's independent financial adviser, has provided formal advice to the Directors that it considers the terms of the Proposals to be fair and reasonable and in the best interests of Shareholders and the Company as a whole. In providing this advice, Cavendish has taken into account the Directors' commercial assessments. In accordance with the requirements of the Takeover Code, TFG Asset Management UK is not permitted to vote on the Rule 9 Waiver Resolution in respect of its aggregate holding of 58 million Ordinary Shares.

GENERAL MEETING

The General Meeting will be held at the offices of Fieldfisher LLP, Riverbank House, 2 Swan Lane, London EC4R 3TT at 10.30 a.m. on 16 January 2025. The Resolutions proposed for consideration at the General Meeting are set out in full in the Notice of General Meeting at the end of this document. Voting on the Resolutions to be proposed at the General Meeting shall be held on a poll rather than on a show of hands. The General Meeting is being held for the purpose of considering and, if thought fit, passing the Resolutions set out in full in the Notice of General Meeting, as summarised below:

●        Resolution 1 is the Rule 9 Waiver Resolution which, as required by the Takeover Code, will be taken on a poll vote of Independent Shareholders, who will be entitled to one vote for each Ordinary Share in the capital of the Company held by them at 6.00 p.m. on 15 January 2025. TFG Asset Management UK will not vote on the resolution. Resolution 1 is an ordinary resolution to approve the Rule 9 Waiver;

●        Resolution 2 is an ordinary resolution to approve the adoption of the LTIPs;

●        Resolution 3 is an ordinary resolution appointing Martin Murphy as a non-executive director of the Company;

●        Resolution 4 is an ordinary resolution granting the Directors the authority to allot the New Ordinary Shares pursuant to the Fundraising;

●        Resolution 5 is an ordinary resolution to grant the Directors authority to grant awards under the Non-Employee LTIP which does not meet the definition of an "employee share scheme" under the Act and therefore a specific authority to allot is required in order to make grants pursuant to it;

●        Resolution 6 is a special resolution to grant the Directors authority to issue the New Ordinary Shares pursuant to the Fundraising for cash free of pre-emption rights;

●        Resolution 7 is a special resolution to grant the Directors authority to grant awards under the Non-Employee LTIP which does not meet the definition of an "employee share scheme" under the Act for cash and therefore a specific disapplication of pre-emption rights is required in order to make grants pursuant to it; and

●        Resolution 8 is a special resolution which amends the Articles of Association in the manner further described in paragraph 4 of Part I of this document.

The Fundraising is conditional upon all of the Resolutions being passed.

Explanatory notes in respect of each of the Resolutions, and details of the action you should take in order to appoint a proxy to attend and vote on your behalf at the General Meeting, are set out at the end of the Notice of General Meeting.

The Chairman and the Board have decided that the fairest way for the General Meeting to proceed would be by way of poll. This means that every Shareholder present in person or by proxy has one vote for every Ordinary Share held.

Conducting a meeting by way of a poll ensures that all Shareholders are given the opportunity to participate in the decision-making of the Company and have their votes recorded even if they do not attend the meeting in person.

IMPORTANCE OF VOTING AND ACTION TO BE TAKEN IN RELATION TO THE GENERAL MEETING

You will find accompanying this document a Form of Proxy for use at the General Meeting. Whether or not you intend to be present at the General Meeting, you are requested to complete the Form of Proxy in accordance with the instructions printed on it and to return it as soon as possible and in any case so as to be received by the Company's registrars, Link Group at Link Group, Central Square, 29 Wellington Street, Leeds LS1 4DL no later than 10.30 a.m. on 14 January 2025.

If you hold your Existing Ordinary Shares in uncertificated form in CREST, you may vote using the CREST Proxy Voting service in accordance with the procedures set out in the CREST Manual. Further details are also set out in the notes accompanying the Notice of General Meeting at the end of this document. Proxies submitted via CREST must be received by Link Group (CREST ID RA10) by no later than 10.30 a.m. on 14 January 2025 (or, if the General Meeting is adjourned, 48 hours (excluding any part of a day that is not a working day) before the time fixed for the adjourned meeting).

Shareholders can also vote electronically by using Link Group' Signal Shares share portal service at www.signalshares.com.

The return of the Form of Proxy or transmission of a CREST Proxy Instruction or other electronic vote will not prevent you from attending the meeting and voting in person if you wish.

Your attention is drawn to paragraph 14 in Part I of this document.

INDEPENDENT ADVICE

Cavendish has provided advice to the Directors, in accordance with the requirements of paragraph 4(a) of Appendix 1 to the Takeover Code, in relation to the granting of the Rule 9 Waiver.

This advice was provided by Cavendish to the Directors of the Company only and, in providing such advice, Cavendish has taken into account the Directors' commercial assessments as well as TFG Asset Management UK's future intentions in relation to the Company (as set out in paragraph 4 of Part II of this document).

RECOMMENDATIONS

The Directors consider that all of the Resolutions are in the best interests of the Company and its Shareholders as a whole. Accordingly, the Directors unanimously recommend that Shareholders vote in favour of all the Resolutions as they intend to do in respect of their entire beneficial holdings, amounting in aggregate to 2,215,532 Ordinary Shares, representing approximately 1.09 per cent. of the entire issued share capital.

If any of the Resolutions are not approved by Shareholders at the General Meeting, the Fundraising will not proceed. As such, the anticipated proceeds of the Fundraising would not become available to the Company. There is no certainty that other funding would be available on suitable terms or indeed at all and the Clinical Trial would not be able to proceed. It is uncertain whether the Company could carry on its business as it is presently carried on.

The Directors are not making any recommendation to Qualifying Shareholders as to whether or not they should participate in the Open Offer. Qualifying Shareholders should consider whether the Ordinary Shares remain a suitable investment in light of their own personal circumstances and investment objectives.

Members of the public are not eligible to take part in the Placing.

If you are in any doubt as to what action you should take in respect of this document, you should immediately seek your own personal financial advice from your stockbroker, bank manager, solicitor, accountant or other independent professional adviser duly authorised under the Financial Services and Markets Act 2000 (as amended) if you are resident in the United Kingdom or, if not, from another appropriately authorised independent financial adviser.

Yours faithfully,

Mark Parry-Billings

Chairman

IMPORTANT NOTICES

MEMBERS OF THE PUBLIC ARE NOT ELIGIBLE TO TAKE PART IN THE PLACING. THIS ANNOUNCEMENT (INCLUDING THE APPENDIX) AND THE TERMS AND CONDITIONS SET OUT HEREIN (TOGETHER, THIS "ANNOUNCEMENT") ARE DIRECTED ONLY AT PERSONS WHOSE ORDINARY ACTIVITIES INVOLVE THEM IN ACQUIRING, HOLDING, MANAGING AND DISPOSING OF INVESTMENTS (AS PRINCIPAL OR AGENT) FOR THE PURPOSES OF THEIR BUSINESS AND WHO HAVE PROFESSIONAL EXPERIENCE IN MATTERS RELATING TO INVESTMENTS AND ARE: (1) IF IN A MEMBER STATE OF THE EUROPEAN ECONOMIC AREA ("EEA"), QUALIFIED INVESTORS AS DEFINED IN ARTICLE 2(E) OF REGULATION (EU) 2017/1129 (THE "EU PROSPECTUS REGULATION"); (2) IF IN THE UNITED KINGDOM, QUALIFIED INVESTORS AS DEFINED IN ARTICLE 2(E) OF REGULATION (EU) 2017/1129 AS IT FORMS PART OF UNITED KINGDOM DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 (THE "UK PROSPECTUS REGULATION") WHO (A) FALL WITHIN ARTICLE 19(5) OF THE FINANCIAL SERVICES AND MARKETS ACT 2000 (FINANCIAL PROMOTION) ORDER 2005, AS AMENDED (THE "ORDER") (INVESTMENT PROFESSIONALS) OR (B) FALL WITHIN ARTICLE 49(2)(A) TO (D) (HIGH NET WORTH COMPANIES, UNINCORPORATED ASSOCIATIONS, ETC.) OF THE ORDER; AND (3) OTHERWISE, PERSONS TO WHOM IT IS OTHERWISE LAWFUL TO COMMUNICATE IT TO (ALL SUCH PERSONS TOGETHER BEING REFERRED TO AS "RELEVANT PERSONS").

THIS ANNOUNCEMENT AND THE INFORMATION IN IT MUST NOT BE ACTED ON OR RELIED ON BY PERSONS WHO ARE NOT RELEVANT PERSONS. PERSONS DISTRIBUTING THIS ANNOUNCEMENT MUST SATISFY THEMSELVES THAT IT IS LAWFUL TO DO SO. ANY INVESTMENT OR INVESTMENT ACTIVITY TO WHICH THIS ANNOUNCEMENT RELATES IS AVAILABLE ONLY TO RELEVANT PERSONS AND WILL BE ENGAGED IN ONLY WITH RELEVANT PERSONS. THIS ANNOUNCEMENT DOES NOT ITSELF CONSTITUTE AN OFFER FOR SALE OR SUBSCRIPTION OF ANY SECURITIES IN SYNAIRGEN PLC.

THE NEW ORDINARY SHARES HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT") OR WITH ANY SECURITIES REGULATORY AUTHORITY OF ANY STATE OR JURISDICTION OF THE UNITED STATES, AND MAY NOT BE OFFERED, SOLD OR TRANSFERRED, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES (INCLUDING ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES AND THE DISTRICT OF COLUMBIA) (THE "UNITED STATES" OR THE "US") EXCEPT PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN COMPLIANCE WITH ANY APPLICABLE SECURITIES LAWS OF THE UNITED STATES. THE NEW ORDINARY SHARES ARE BEING OFFERED AND SOLD ONLY OUTSIDE OF THE UNITED STATES IN "OFFSHORE TRANSACTIONS" WITHIN THE MEANING OF, AND IN ACCORDANCE WITH, REGULATION S UNDER THE SECURITIES ACT AND OTHERWISE IN ACCORDANCE WITH APPLICABLE LAWS. NO PUBLIC OFFERING OF THE NEW ORDINARY SHARES IS BEING MADE IN THE UNITED STATES OR ELSEWHERE.

THIS ANNOUNCEMENT (INCLUDING THE APPENDIX) AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, THE REPUBLIC OF SOUTH AFRICA OR JAPAN OR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

THIS ANNOUNCEMENT IS NOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES. THIS ANNOUNCEMENT IS NOT AN OFFER OF SECURITIES FOR SALE OR SUBSCRIPTION INTO THE UNITED STATES. THE SECURITIES REFERRED TO HEREIN HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES, EXCEPT PURSUANT TO AN APPLICABLE EXEMPTION FROM REGISTRATION. NO PUBLIC OFFERING IS BEING MADE IN THE UNITED STATES.

The distribution of this Announcement and/or the Placing and/or the Open Offer and/or issue of the New Ordinary Shares in certain jurisdictions may be restricted by law. No action has been taken by the Company, Cavendish or any of their respective affiliates, agents, directors, officers, consultants, partners or employees ("Representatives") that would permit an offer of the New Ordinary Shares or possession or distribution of this Announcement or any other offering or publicity material relating to such New Ordinary Shares in any jurisdiction where action for that purpose is required. Persons into whose possession this Announcement comes are required by the Company and Cavendish to inform themselves about and to observe any such restrictions.

This Announcement or any part of it is for information purposes only and does not constitute or form part of any offer to issue or sell, or the solicitation of an offer to acquire, purchase or subscribe for, any securities in the United States, Australia, Canada, the Republic of South Africa or Japan or any other jurisdiction in which the same would be unlawful. No public offering of the New Ordinary Shares is being made in any such jurisdiction.

All offers of the New Ordinary Shares in the United Kingdom or the EEA will be made pursuant to an exemption from the requirement to produce a prospectus under the UK Prospectus Regulation or the EU Prospectus Regulation, as appropriate. In the United Kingdom, this Announcement is being directed solely at persons in circumstances in which section 21(1) of the Financial Services and Markets Act 2000 (as amended) does not require the approval of the relevant communication by an authorised person.

The New Ordinary Shares have not been approved or disapproved by the US Securities and Exchange Commission, any state securities commission or other regulatory authority in the United States, nor have any of the foregoing authorities passed upon or endorsed the merits of the Placing or the accuracy or adequacy of this Announcement. Any representation to the contrary is a criminal offence in the United States. The relevant clearances have not been, nor will they be, obtained from the securities commission of any province or territory of Canada, no prospectus has been lodged with, or registered by, the Australian Securities and Investments Commission or the Japanese Ministry of Finance; the relevant clearances have not been, and will not be, obtained from the South African Reserve Bank or any other applicable body in the Republic of South Africa in relation to the New Ordinary Shares; and the New Ordinary Shares have not been, nor will they be, registered under or offered in compliance with the securities laws of any state, province or territory of the United States, Australia, Canada, the Republic of South Africa or Japan. Accordingly, the New Ordinary Shares may not (unless an exemption under the relevant securities laws is applicable) be offered, sold, resold or delivered, directly or indirectly, in or into the United States, Australia, Canada, the Republic of South Africa or Japan or any other jurisdiction outside the United Kingdom or the EEA.

Persons (including, without limitation, nominees and trustees) who have a contractual right or other legal obligations to forward a copy of this Announcement should seek appropriate advice before taking any such action.

By participating in the Bookbuilding Process and the Placing, each person who is invited to and who chooses to participate in the Placing (a "Placee") by making an oral, electronic or written and legally binding offer to acquire Placing Shares will be deemed to have read and understood this Announcement in its entirety, to be participating, making an offer and acquiring Placing Shares on the terms and conditions contained herein and to be providing the representations, warranties, indemnities, acknowledgements and undertakings contained in the Appendix. Members of the public are not eligible to take part in the Placing and no public offering of Placing Shares is being or will be made.

This Announcement may contain, or may be deemed to contain, "forward-looking statements" with respect to certain of the Company's plans and its current goals and expectations relating to its future financial condition, performance, strategic initiatives, objectives and results. Forward-looking statements sometimes use words such as "aim", "anticipate", "target", "expect", "estimate", "intend", "plan", "goal", "believe", "seek", "may", "could", "outlook" or other words of similar meaning. By their nature, all forward-looking statements involve risk and uncertainty because they relate to future events and circumstances which are beyond the control of the Company, including amongst other things, United Kingdom domestic and global economic business conditions, market-related risks such as fluctuations in interest rates and exchange rates, the policies and actions of governmental and regulatory authorities, the effect of competition, inflation, deflation, the timing effect and other uncertainties of future acquisitions or combinations within relevant industries, the effect of tax and other legislation and other regulations in the jurisdictions in which the Company and its affiliates operate, the effect of volatility in the equity, capital and credit markets on the Company's profitability and ability to access capital and credit, a decline in the Company's credit ratings; the effect of operational risks; and the loss of key personnel. As a result, the actual future financial condition, performance and results of the Company may differ materially from the plans, goals and expectations set forth in any forward-looking statements. Any forward-looking statements made in this Announcement by or on behalf of the Company speak only as of the date they are made. Except as required by applicable law or regulation, the Company expressly disclaims any obligation or undertaking to publish any updates or revisions to any forward-looking statements contained in this Announcement to reflect any changes in the Company's expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based.

Cavendish Capital Markets Limited is authorised and regulated by the Financial Conduct Authority (the "FCA") in the United Kingdom and is acting exclusively for the Company and no one else in connection with the Bookbuilding Process and the Fundraising, and Cavendish will not be responsible to anyone (including any Placees) other than the Company for providing the protections afforded to its clients or for providing advice in relation to the Bookbuilding Process or the Fundraising or any other matters referred to in this Announcement.

Cavendish's responsibilities as the Company's nominated adviser under the AIM Rules for Nominated Advisers are owed solely to the Exchange and are not owed to the Company or to any director of the Company or to any other person.

No representation or warranty, express or implied, is or will be made as to, or in relation to, and no responsibility or liability is or will be accepted by Cavendish or by any of its Representatives as to, or in relation to, the accuracy or completeness of this Announcement or any other written or oral information made available to or publicly available to any interested party or its advisers, and any liability therefor is expressly disclaimed.

No statement in this Announcement is intended to be a profit forecast or estimate, and no statement in this Announcement should be interpreted to mean that earnings per share of the Company for the current or future financial years would necessarily match or exceed the historical published earnings per share of the Company.

The price of shares and any income expected from them may go down as well as up and investors may not get back the full amount invested upon disposal of the shares. Past performance is no guide to future performance, and persons needing advice should consult an independent financial adviser.

The Placing Shares to be issued pursuant to the Placing will not be admitted to trading on any stock exchange other than the AIM market of the London Stock Exchange.

Neither the content of the Company's website nor any website accessible by hyperlinks on the Company's website is incorporated in, or forms part of, this Announcement.

Information to Distributors

UK product governance

Solely for the purposes of the product governance requirements contained within Chapter 3 of the FCA Handbook Product Intervention and Product Governance Sourcebook (the "UK Product Governance Requirements"), and disclaiming all and any liability, whether arising in tort, contract or otherwise, which any "manufacturer" (for the purposes of the UK Product Governance Requirements) may otherwise have with respect thereto, the Placing Shares have been subject to a product approval process, which has determined that such securities are: (i) compatible with an end target market of investors who meet the criteria of retail investors and investors who meet the criteria of professional clients and eligible counterparties, each as defined in paragraph 3 of the FCA Handbook Conduct of Business Sourcebook; and (ii) eligible for distribution through all distribution channels (the "Target Market Assessment"). Notwithstanding the Target Market Assessment, distributors (for the purposes of UK Product Governance Requirements) should note that: (a) the price of the Placing Shares may decline and investors could lose all or part of their investment; (b) the Placing Shares offer no guaranteed income and no capital protection; and (c) an investment in the Placing Shares is compatible only with investors who do not need a guaranteed income or capital protection, who (either alone or in conjunction with an appropriate financial or other adviser) are capable of evaluating the merits and risks of such an investment and who have sufficient resources to be able to bear any losses that may result therefrom. The Target Market Assessment is without prejudice to the requirements of any contractual, legal or regulatory selling restrictions in relation to the Placing. Furthermore, it is noted that, notwithstanding the Target Market Assessment, Cavendish will only procure investors who meet the criteria of professional clients and eligible counterparties.

For the avoidance of doubt, the Target Market Assessment does not constitute: (a) an assessment of suitability or appropriateness for the purposes of Chapter 9A or 10A respectively of the FCA Handbook Conduct of Business Sourcebook; or (b) a recommendation to any investor or group of investors to invest in, or purchase, or take any other action whatsoever with respect to the Placing Shares.

Each distributor is responsible for undertaking its own target market assessment in respect of the Placing Shares and determining appropriate distribution channels.

EEA product governance

Solely for the purposes of the product governance requirements contained within: (a) EU Directive 2014/65/EU on markets in financial instruments, as amended ("MiFID II"); (b) Articles 9 and 10 of Commission Delegated Directive (EU) 2017/593 supplementing MiFID II; and (c) local implementing measures in the European Economic Area (together, the "MiFID II Product Governance Requirements"), and disclaiming all and any liability, whether arising in tort, contract or otherwise, which any "manufacturer" (for the purposes of the MiFID II Product Governance Requirements) may otherwise have with respect thereto, the Placing Shares have been subject to a product approval process, which has determined that the Placing Shares are: (i) compatible with an end target market of (a) retail investors, (b) investors who meet the criteria of professional clients and (c) eligible counterparties, each as defined in MiFID II; and (ii) eligible for distribution through all distribution channels as are permitted by MiFID II (the "EU Target Market Assessment"). Notwithstanding the EU Target Market Assessment, distributors should note that: the price of the Placing Shares may decline and investors could lose all or part of their investment; the Placing Shares offer no guaranteed income and no capital protection; and an investment in the Placing Shares is compatible only with investors who do not need a guaranteed income or capital protection, who (either alone or in conjunction with an appropriate financial or other adviser) are capable of evaluating the merits and risks of such an investment and who have sufficient resources to be able to bear any losses that may result therefrom. The Target Market Assessment is without prejudice to the requirements of any contractual, legal or regulatory selling restrictions in relation to the Placing. Furthermore, it is noted that, notwithstanding the EU Target Market Assessment, Cavendish will only procure investors who meet the criteria of professional clients and eligible counterparties.

For the avoidance of doubt, the EU Target Market Assessment does not constitute: (a) an assessment of suitability or appropriateness for the purposes of MiFID II; or (b) a recommendation to any investor or group of investors to invest in, or purchase, or take any other action whatsoever with respect to the Placing Shares.

Each distributor is responsible for undertaking its own target market assessment in respect of the Placing Shares and determining appropriate distribution channels.

APPENDIX - TERMS AND CONDITIONS OF THE PLACING

IMPORTANT INFORMATION FOR INVITED PLACEES ONLY REGARDING THE PLACING.

MEMBERS OF THE PUBLIC ARE NOT ELIGIBLE TO TAKE PART IN THE PLACING. THIS ANNOUNCEMENT (INCLUDING THIS APPENDIX) AND THE TERMS AND CONDITIONS SET OUT HEREIN (TOGETHER, THIS "ANNOUNCEMENT") ARE DIRECTED ONLY AT PERSONS WHOSE ORDINARY ACTIVITIES INVOLVE THEM IN ACQUIRING, HOLDING, MANAGING AND DISPOSING OF INVESTMENTS (AS PRINCIPAL OR AGENT) FOR THE PURPOSES OF THEIR BUSINESS AND WHO HAVE PROFESSIONAL EXPERIENCE IN MATTERS RELATING TO INVESTMENTS AND ARE (1) IF IN A MEMBER STATE OF THE EUROPEAN ECONOMIC AREA ("EEA"), QUALIFIED INVESTORS AS DEFINED IN ARTICLE 2(E) OF REGULATION (EU) 2017/1129 (THE "EU PROSPECTUS REGULATION"); (2) IF IN THE UNITED KINGDOM, QUALIFIED INVESTORS AS DEFINED IN ARTICLE 2(E) OF REGULATION (EU) 2017/1129 AS IT FORMS PART OF UNITED KINGDOM DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 (THE "UK PROSPECTUS REGULATION") WHO (A) FALL WITHIN ARTICLE 19(5) OF THE FINANCIAL SERVICES AND MARKETS ACT 2000 (FINANCIAL PROMOTION) ORDER 2005, AS AMENDED (THE "ORDER") (INVESTMENT PROFESSIONALS) OR (B) FALL WITHIN ARTICLE 49(2)(A) TO (D) (HIGH NET WORTH COMPANIES, UNINCORPORATED ASSOCIATIONS, ETC.) OF THE ORDER; AND (3) OTHERWISE, PERSONS TO WHOM IT IS OTHERWISE LAWFUL TO COMMUNICATE IT TO (ALL SUCH PERSONS TOGETHER BEING REFERRED TO AS "RELEVANT PERSONS").

THIS ANNOUNCEMENT AND THE INFORMATION IN IT MUST NOT BE ACTED ON OR RELIED ON BY PERSONS WHO ARE NOT RELEVANT PERSONS. PERSONS DISTRIBUTING THIS ANNOUNCEMENT MUST SATISFY THEMSELVES THAT IT IS LAWFUL TO DO SO. ANY INVESTMENT OR INVESTMENT ACTIVITY TO WHICH THIS ANNOUNCEMENT RELATES IS AVAILABLE ONLY TO RELEVANT PERSONS AND WILL BE ENGAGED IN ONLY WITH RELEVANT PERSONS. THIS ANNOUNCEMENT DOES NOT ITSELF CONSTITUTE AN OFFER FOR SALE OR SUBSCRIPTION OF ANY SECURITIES IN SYNAIRGEN PLC.

THE PLACING SHARES HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT") OR WITH ANY SECURITIES REGULATORY AUTHORITY OF ANY STATE OR JURISDICTION OF THE UNITED STATES, AND MAY NOT BE OFFERED, SOLD OR TRANSFERRED, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES (INCLUDING ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES AND THE DISTRICT OF COLUMBIA) (THE "UNITED STATES" OR THE "US")  EXCEPT PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN COMPLIANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES. THE PLACING SHARES ARE BEING OFFERED AND SOLD ONLY OUTSIDE OF THE UNITED STATES IN "OFFSHORE TRANSACTIONS" WITHIN THE MEANING OF, AND IN ACCORDANCE WITH, REGULATION S UNDER THE SECURITIES ACT AND OTHERWISE IN ACCORDANCE WITH APPLICABLE LAWS. NO PUBLIC OFFERING OF THE PLACING SHARES IS BEING MADE IN THE UNITED STATES OR ELSEWHERE.

THIS ANNOUNCEMENT (INCLUDING THIS APPENDIX) AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, THE REPUBLIC OF SOUTH AFRICA OR JAPAN OR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

THIS ANNOUNCEMENT IS NOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES. THIS ANNOUNCEMENT IS NOT AN OFFER OF SECURITIES FOR SALE OR SUBSCRIPTION INTO THE UNITED STATES. THE SECURITIES REFERRED TO HEREIN HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES, EXCEPT PURSUANT TO AN APPLICABLE EXEMPTION FROM REGISTRATION. NO PUBLIC OFFERING IS BEING MADE IN THE UNITED STATES.

The distribution of this Announcement and/or the Placing and/or issue of the Placing Shares in certain jurisdictions may be restricted by law. No action has been taken by the Company, Cavendish or any of its Representatives that would permit an offer of the Placing Shares or possession or distribution of this Announcement or any other offering or publicity material relating to such Placing Shares in any jurisdiction where action for that purpose is required. Persons into whose possession this Announcement comes are required by the Company and Cavendish to inform themselves about and to observe any such restrictions.

This Announcement or any part of it is for information purposes only and does not constitute or form part of any offer to issue or sell, or the solicitation of an offer to acquire, purchase or subscribe for, any securities in the United States, Australia, Canada, the Republic of South Africa or Japan or any other jurisdiction in which the same would be unlawful. No public offering of the Placing Shares is being made in any such jurisdiction.

All offers of the Placing Shares in the United Kingdom or the EEA will be made pursuant to an exemption from the requirement to produce a prospectus under the UK Prospectus Regulation or the EU Prospectus Regulation, as appropriate. In the United Kingdom, this Announcement is being directed solely at persons in circumstances in which section 21(1) of the Financial Services and Markets Act 2000 (as amended) (the "FSMA") does not require the approval of the relevant communication by an authorised person.

The Placing Shares have not been approved or disapproved by the US Securities and Exchange Commission, any state securities commission or other regulatory authority in the United States, nor have any of the foregoing authorities passed upon or endorsed the merits of the Placing or the accuracy or adequacy of this Announcement. Any representation to the contrary is a criminal offence in the United States. The relevant clearances have not been, nor will they be, obtained from the securities commission of any province or territory of Canada, no prospectus has been lodged with, or registered by, the Australian Securities and Investments Commission or the Japanese Ministry of Finance; the relevant clearances have not been, and will not be, obtained from the South African Reserve Bank or any other applicable body in the Republic of South Africa in relation to the Placing Shares and the Placing Shares have not been, nor will they be, registered under or offered in compliance with the securities laws of any state, province or territory of the United States, Australia, Canada, the Republic of South Africa or Japan. Accordingly, the Placing Shares may not (unless an exemption under the relevant securities laws is applicable) be offered, sold, resold or delivered, directly or indirectly, in or into the United States, Australia, Canada, the Republic of South Africa or Japan or any other jurisdiction outside the United Kingdom or the EEA.

Persons (including, without limitation, nominees and trustees) who have a contractual right or other legal obligations to forward a copy of this Announcement should seek appropriate advice before taking any such action.

This Announcement should be read in its entirety. In particular, you should read and understand the information provided in the "Important Notices" section of this Announcement.

By participating in the Bookbuilding Process and the Placing, each Placee will be deemed to have read and understood this Announcement in its entirety, to be participating, making an offer and acquiring Placing Shares on the terms and conditions contained herein and to be providing the representations, warranties, indemnities, acknowledgements and undertakings contained in this Appendix.

EACH PLACEE SHOULD CONSULT WITH ITS OWN ADVISERS AS TO LEGAL, REGULATORY, TAX, BUSINESS AND RELATED ASPECTS OF A SUBSCRIPTION FOR THE PLACING SHARES.

In particular, each such Placee represents, warrants, undertakes, agrees and acknowledges (amongst other things) to Cavendish and the Company that:

1.         it is a Relevant Person and undertakes that it will acquire, hold, manage or dispose of any Placing Shares that are allocated to it for the purposes of its business;

2.         in the case of a Relevant Person in the United Kingdom who acquires any Placing Shares pursuant to the Placing:

(a)        it is a Qualified Investor within the meaning of Article 2(e) of the UK Prospectus Regulation; and

(b)        in the case of any Placing Shares acquired by it as a financial intermediary, as that term is used in Article 5(1) of the UK Prospectus Regulation:

(i)         the Placing Shares acquired by it in the Placing have not been acquired on behalf of, nor have they been acquired with a view to their offer or resale to, persons in the United Kingdom other than Qualified Investors or in circumstances in which the prior consent of Cavendish has been given to the offer or resale; or

(ii)         where Placing Shares have been acquired by it on behalf of persons in the United Kingdom other than Qualified Investors, the offer of those Placing Shares to it is not treated under the UK Prospectus Regulation as having been made to such persons;

3.         in the case of a Relevant Person in a member state of the EEA (each a "Relevant State") who acquires any Placing Shares pursuant to the Placing:

(a)        it is a Qualified Investor within the meaning of Article 2(e) of the EU Prospectus Regulation; and

(b)        in the case of any Placing Shares acquired by it as a financial intermediary, as that term is used in Article 5(1) of the EU Prospectus Regulation:

(i)         the Placing Shares acquired by it in the Placing have not been acquired on behalf of, nor have they been acquired with a view to their offer or resale to, persons in a Relevant State other than Qualified Investors or in circumstances in which the prior consent of Cavendish has been given to the offer or resale; or

(ii)         where Placing Shares have been acquired by it on behalf of persons in a Relevant State other than Qualified Investors, the offer of those Placing Shares to it is not treated under the EU Prospectus Regulation as having been made to such persons;

4.         it is acquiring the Placing Shares for its own account or is acquiring the Placing Shares for an account with respect to which it exercises sole investment discretion and has the authority to make and does make the representations, warranties, indemnities, acknowledgements, undertakings and agreements contained in this Announcement;

5.         it understands (or if acting for the account of another person, such person has confirmed that such person understands) the resale and transfer restrictions set out in this Appendix;

6.         except as otherwise permitted by the Company and subject to any available exemptions from applicable securities laws, it (and any account referred to in paragraph 4 above) is outside of the United States acquiring the Placing Shares in offshore transactions as defined in and in accordance with Regulation S under the Securities Act; and

7.         the Company and Cavendish will rely upon the truth and accuracy of the foregoing representations, warranties, acknowledgements and agreements.

No prospectus

The Placing Shares are being offered to a limited number of specifically invited persons only and will not be offered in such a way as to require any prospectus or other offering document to be published. No prospectus or other offering document has been or will be submitted to be approved by the FCA in relation to the Placing or the Placing Shares and Placees' commitments will be made solely on the basis of (i)  the information contained in this Announcement, (ii) any information publicly announced through a Regulatory Information Service (as defined in the AIM Rules for Companies (the "AIM Rules")) by or on behalf of the Company on or prior to the date of this Announcement and (iii) the business and financial information that the Company is required to publish in accordance with the AIM Rules and the Market Abuse Regulation (EU Regulation No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018 (the "UK MAR") (together, the "Publicly Available Information") and subject to any further terms set out in the contract note, electronic trade confirmation or other (oral or written) confirmation to be sent to individual Placees.

Each Placee, by participating in the Placing, agrees that the content of this Announcement is exclusively the responsibility of the Company and confirms that it has neither received nor relied on any information (other than the Publicly Available Information), representation, warranty or statement made by or on behalf of Cavendish or the Company or any other person and none of Cavendish, the Company nor any other person acting on such person's behalf nor any of their respective Representatives has or shall have any liability for any Placee's decision to participate in the Placing based on any other information, representation, warranty or statement. Each Placee acknowledges and agrees that it has relied on its own investigation of the business, financial or other position of the Company in accepting a participation in the Placing. No Placee should consider any information in this Announcement to be legal, tax or business advice. Nothing in this paragraph shall exclude the liability of any person for fraudulent misrepresentation.

Details of the Placing Agreement and the Placing Shares

Cavendish has today entered into a placing agreement (the "Placing Agreement") with the Company under which, on the terms and subject to the conditions set out in the Placing Agreement, Cavendish, as agent for and on behalf of the Company, has agreed to procure the publication of this Announcement. The Placing is not being underwritten.

The Placing Shares will, when issued, be subject to the articles of association of the Company, be credited as fully paid and will rank pari passu in all respects with the Existing Ordinary Shares in the capital of the Company, including the right to receive all dividends and other distributions declared, made or paid in respect of such Existing Ordinary Shares after the date of issue of the Placing Shares.

The Placing is subject to and conditional upon the Minimum Fundraising Condition being satisfied.

Lock-up

As part of the Placing, the Company has agreed that it will not for a period of 28 days after (but including) Admission, directly or indirectly, issue, offer, sell, lend, pledge, contract to sell or issue, grant any option, right or warrant to purchase or otherwise dispose of any Ordinary Shares (or any interest therein or in respect thereof) or other securities of the Company exchangeable for, convertible into or representing the right to receive Ordinary Shares or any substantially similar securities or otherwise enter into any transaction (including derivative transaction) directly or indirectly, permanently or temporarily, to dispose of any Ordinary Shares or undertake any other transaction with the same economic effect as any of the foregoing or announce an offering of Ordinary Shares or any interest therein or to announce publicly any intention to enter into any transaction described above. This agreement is subject to certain customary exceptions and does not prevent the grant or exercise of options under any of the Company's existing share incentives and share option schemes, or following Admission the issue by the Company of any Ordinary Shares upon the exercise of any right or option or the conversion of a security already in existence.

Application for admission to trading

Application will be made to the London Stock Exchange for admission of the Placing Shares to trading on AIM.

It is expected that Admission will take place on or before 8.00 a.m. on 17 January 2025 and that dealings in the Placing Shares on AIM will commence at the same time.

The Bookbuilding Process

Cavendish will commence the Bookbuilding Process to determine demand for participation in the Placing by Placees immediately following the publication of this Announcement. This Appendix gives details of the terms and conditions of, and the mechanics of participation in, the Placing. No commissions will be paid to Placees or by Placees in respect of any Placing Shares.

Cavendish and the Company shall be entitled to effect the Placing by such alternative method to the Bookbuilding Process as they may, in their sole discretion, determine.

Principal terms of the Bookbuilding Process and the Placing

1.         Cavendish is acting as bookrunner to the Placing, as agent for and on behalf of the Company.

2.         Participation in the Placing will only be available to persons who may lawfully be, and are, invited by Cavendish to participate. Cavendish and any of its affiliates are entitled to enter bids in the Bookbuilding Process.

3.         The price per Placing Share (the "Issue Price") is fixed at 2 pence and is payable to Cavendish (as agent for the Company) by all Placees whose bids are successful. The number of Placing Shares will be agreed between Cavendish and the Company following completion of the Bookbuilding Process. The number of Placing Shares will be announced by the Company (such announcement being the "Placing Results Announcement") following the completion of the Bookbuilding Process and the entry into the Placing Agreement by the Company and Cavendish.

4.         To bid in the Bookbuilding Process, Placees should communicate their bid by telephone or email to their usual sales contact at Cavendish. Each bid should state the number of Ordinary Shares which a Placee wishes to acquire at the Issue Price. Bids may be scaled down by Cavendish on the basis referred to in paragraph 9 below. Cavendish is arranging the Placing as agent of the Company.

5.         The Bookbuilding Process is expected to close no later than 11.00 a.m. on 15 January 2025 but may be closed earlier or later subject to the agreement of Cavendish and the Company. Cavendish may, in agreement with the Company, accept bids that are received after the Bookbuilding Process has closed. The Company reserves the right (upon agreement of Cavendish) to reduce or seek to increase the amount to be raised pursuant to the Placing, in its discretion.

6.         Each Placee's allocation will be determined by Cavendish in its discretion following consultation with the Company and will be confirmed to Placees either orally or by email by Cavendish. Cavendish may choose to accept bids, either in whole or in part, on the basis of allocations determined at its absolute discretion, in consultation with the Company, and may scale down any bids for this purpose on the basis referred to in paragraph 9 below.

7.         The Company will release the Placing Results Announcement following the close of the Bookbuilding Process detailing the aggregate number of the Placing Shares to be issued.

8.         Each Placee's allocation and commitment will be evidenced by a contract note, electronic trade confirmation or other (oral or written) confirmation issued to such Placee by Cavendish. The terms of this Appendix will be deemed incorporated in that contract note, electronic trade confirmation or other (oral or written) confirmation.

9.         Subject to paragraphs 4, 5 and 6 above, Cavendish may choose to accept bids, either in whole or in part, on the basis of allocations determined at its discretion and may scale down any bids for this purpose on such basis as it may determine or be directed. Cavendish may also, notwithstanding paragraphs 4, 5 and 6 above, subject to the prior consent of the Company:

(a)        allocate Placing Shares after the time of any initial allocation to any person submitting a bid after that time; and

(b)        allocate Placing Shares after the Bookbuilding Process has closed to any person submitting a bid after that time.

10.        A bid in the Bookbuilding Process will be made on the terms and subject to the conditions in this Appendix and will be legally binding on the Placee on behalf of which it is made and except with Cavendish's consent will not be capable of variation or revocation after the time at which it is submitted. Following Cavendish's oral or written confirmation of each Placee's allocation and commitment to acquire Placing Shares, each Placee will have an immediate, separate, irrevocable and binding obligation, owed to Cavendish (as agent for the Company), to pay to it (or as it may direct) in cleared funds an amount equal to the product of Issue Price and the number of Placing Shares such Placee has agreed to acquire and the Company has agreed to allot and issue to that Placee.

11.        Except as required by law or regulation, no press release or other announcement will be made by Cavendish or the Company using the name of any Placee (or its agent), in its capacity as Placee (or agent), other than with such Placee's prior written consent.

12.        Irrespective of the time at which a Placee's allocation(s) pursuant to the Placing is/are confirmed, settlement for all Placing Shares to be acquired pursuant to the Placing will be required to be made at the same time, on the basis explained below under "Registration and Settlement".

13.        All obligations under the Bookbuilding Process and Placing will be subject to fulfilment of the conditions referred to below under "Conditions of the Placing" and to the Placing not being terminated on the basis referred to below under "Termination of the Placing".

14.        By participating in the Bookbuilding Process, each Placee will agree that its rights and obligations in respect of the Placing will terminate only in the circumstances described below and will not be capable of rescission or termination by the Placee.

15.        To the fullest extent permissible by law and applicable FCA rules and regulations, neither:

(a)        Cavendish;

(b)        any of its Representatives; nor

(c)        to the extent not contained within (a) or (b), any person connected with Cavendish as defined in the FSMA ((b) and (c) being together "affiliates" and individually an "affiliate" of Cavendish);

shall have any liability (including to the extent permissible by law, any fiduciary duties) to Placees or to any other person whether acting on behalf of a Placee or otherwise. In particular, neither Cavendish nor any of its affiliates shall have any liability (including, to the extent permissible by law, any fiduciary duties) in respect of Cavendish's conduct of the Bookbuilding Process or of such alternative method of effecting the Placing as Cavendish and the Company may agree. Each Placee acknowledges and agrees that the Company is responsible for the allotment of the Placing Shares to the Placees and Cavendish shall have no liability to the Placees for any failure by the Company to fulfil those obligations.

Registration and Settlement

If Placees are allocated any Placing Shares in the Placing they will be sent a contract note, electronic trade confirmation or other (oral or written) confirmation which will confirm the number of Placing Shares allocated to them, the Issue Price and the aggregate amount owed by them to Cavendish.

Each Placee will be deemed to agree that it will do all things necessary to ensure that delivery and payment is completed as directed by Cavendish in accordance with either the standing CREST or certificated settlement instructions which they have in place with Cavendish.

Settlement of transactions in the Placing Shares (ISIN: GB00B0381Z20) following Admission will take place within the CREST system, subject to certain exceptions. Settlement through CREST is expected to occur on 17 January 2025 (the "Settlement Date") in accordance with the contract note, electronic trade confirmation or other (oral or written) confirmation. Settlement will be on a delivery versus payment basis. However, in the event of any difficulties or delays in the admission of the Placing Shares to CREST or the use of CREST in relation to the Placing, the Company and Cavendish may agree that the Placing Shares should be issued in certificated form. Cavendish reserves the right to require settlement for the Placing Shares, and to deliver the Placing Shares to Placees, by such other means as it deems necessary if delivery or settlement to Placees is not practicable within the CREST system or would not be consistent with regulatory requirements in the jurisdiction in which a Placee is located.

Interest is chargeable daily on payments not received from Placees on the due date in accordance with the arrangements set out above, in respect of either CREST or certificated deliveries, at the rate of three percentage points above the prevailing base rate of Barclays Bank plc as determined by Cavendish.

Subject to the conditions set out above, payment in respect of the Placees' allocations is due as set out below. Each Placee should provide its settlement details in order to enable instructions to be successfully matched in CREST.

The relevant settlement details for the Placing Shares are as follows:

Each Placee is deemed to agree that, if it does not comply with these obligations, Cavendish may sell any or all of the Placing Shares allocated to that Placee on their behalf and retain from the proceeds, for Cavendish's own account and benefit, an amount equal to the aggregate amount owed by the Placee plus any interest due. The relevant Placee will, however, remain liable for any shortfall below the Issue Price and for any stamp duty or stamp duty reserve tax (together with any interest or penalties) imposed in any jurisdiction which may arise upon the sale of such Placing Shares on its behalf. By communicating a bid for Placing Shares, such Placee confers on Cavendish all such authorities and powers necessary to carry out such sale and agrees to ratify and confirm all actions which Cavendish lawfully takes in pursuance of such sale.

If Placing Shares are to be delivered to a custodian or settlement agent, Placees must ensure that, upon receipt, the conditional contract note, electronic trade confirmation or other (oral or written) confirmation is copied and delivered immediately to the relevant person within that organisation. Insofar as Placing Shares are registered in a Placee's name or that of its nominee or in the name of any person for whom a Placee is contracting as agent or that of a nominee for such person, such Placing Shares should, subject as provided below, be so registered free from any liability to United Kingdom stamp duty or stamp duty reserve tax. If there are any circumstances in which any United Kingdom stamp duty or stamp duty reserve tax or other similar taxes or duties (including any interest and penalties relating thereto) is payable in respect of the allocation, allotment, issue, sale, transfer or delivery of the Placing Shares (or, for the avoidance of doubt, if any stamp duty or stamp duty reserve tax is payable in connection with any subsequent transfer or agreement to transfer Placing Shares), the Company shall not be responsible for payment thereof. Placees will not be entitled to receive any fee or commission in connection with the Placing.

Conditions of the Placing

The Placing is conditional upon the Placing Agreement becoming unconditional and not having been terminated in accordance with its terms.

The obligations of Cavendish under the Placing Agreement are, and the Placing is, conditional upon, inter alia:

(a)        the Resolutions having been duly passed at the General Meeting (or at any adjournment thereof);

(b)        none of the warranties on the part of the Company contained in the Placing Agreement being untrue, inaccurate or misleading at Admission, by reference to the facts and circumstances then subsisting;

(c)        the Minimum Fundraising Condition being satisfied;

(d)        the Company complying with its obligations under the Placing Agreement to the extent that they fall to be performed on or before Admission;

(e)        the Company and Cavendish agreeing the final number of Placing Shares and executing a results agreement no later than 5.00 p.m. on the business day immediately preceding the General Meeting (or such later time and/or date as Cavendish may agree with the Company);

(f)         the Company having allotted, subject only to Admission, the Placing Shares in accordance with the Placing Agreement; and

(g)        Admission having become effective at or before 8.00 a.m. on 17 January 2025 or such later time as Cavendish may agree with the Company (not being later than 8.00 a.m. on 31 January 2025),

(all conditions to the obligations of Cavendish included in the Placing Agreement being together, the "Conditions").

If any of the Conditions are not fulfilled or, where permitted, waived by Cavendish in accordance with the Placing Agreement within the stated time periods (or such later time and/or date as the Company and Cavendish may agree), or the Placing Agreement is terminated in accordance with its terms, the Placing will lapse and the Placees' rights and obligations shall cease and terminate at such time and each Placee agrees that no claim can be made by or on behalf of the Placee (or any person on whose behalf the Placee is acting) in respect thereof.

By participating in the Bookbuilding Process, each Placee agrees that its rights and obligations cease and terminate only in the circumstances described above and under "Termination of the Placing" below and will not be capable of rescission or termination by it.

Cavendish may, in its absolute discretion and upon such terms as it thinks fit, waive fulfilment of all or any of the Conditions in whole or in part, or extend the time provided for fulfilment of one or more Conditions, save that certain Conditions including the condition relating to Admission referred to above may not be waived. Any such extension or waiver will not affect Placees' commitments as set out in this Appendix.

Cavendish may terminate the Placing Agreement in certain circumstances, details of which are set out below.

Neither Cavendish nor any of its affiliates nor the Company shall have any liability to any Placee (or to any other person whether acting on behalf of a Placee or otherwise) in respect of any decision any of them may make as to whether or not to waive or to extend the time and/or date for the satisfaction of any condition to the Placing nor for any decision any of them may make as to the satisfaction of any condition or in respect of the Placing generally and by participating in the Placing each Placee agrees that any such decision is within the absolute discretion of Cavendish.

Termination of the Placing

Cavendish may, in its absolute discretion, by notice to the Company, terminate the Placing Agreement at any time up to Admission if, inter alia:

(a)        there has, in the opinion of Cavendish, been a breach of the warranties given to it;

(b)        there has, in the opinion of Cavendish, been a material adverse change;

(c)        any statement contained in this Announcement, the Placing Results Announcement or any other document or announcement issued or published by or on behalf of the Company in connection with the Placing is or has become or has been discovered to be untrue or inaccurate or misleading; or

(d)        in the opinion of Cavendish, there has been a force majeure event.

If the Placing Agreement is terminated in accordance with its terms, the rights and obligations of each Placee in respect of the Placing as described in this Announcement shall cease and terminate at such time and no claim can be made by any Placee in respect thereof.

By participating in the Bookbuilding Process, each Placee agrees with the Company and Cavendish that the exercise by the Company or Cavendish of any right of termination or any other right or other discretion under the Placing Agreement shall be within the absolute discretion of the Company or Cavendish or for agreement between the Company and Cavendish (as the case may be) and that neither the Company nor Cavendish need make any reference to such Placee and that none of the Company, Cavendish nor any of their respective Representatives shall have any liability to such Placee (or to any other person whether acting on behalf of a Placee or otherwise) whatsoever in connection with any such exercise. Each Placee further agrees that they will have no rights against Cavendish, the Company or any of their respective directors or employees under the Placing Agreement pursuant to the Contracts (Rights of Third Parties) Act 1999 (as amended).

By participating in the Placing, each Placee agrees that its rights and obligations terminate only in the circumstances described above and under the "Conditions of the Placing" section above and will not be capable of rescission or termination by it after the issue by Cavendish of a contract note, electronic trade confirmation or other (oral or written) confirmation confirming each Placee's allocation and commitment in the Placing.

Representations, warranties and further terms

By submitting a bid in the Bookbuilding Process, each Placee (and any person acting on such Placee's behalf) irrevocably confirms, represents, warrants, acknowledges and agrees (for itself and for any such prospective Placee) with the Company and Cavendish (in its capacity as bookrunner and Placing agent of the Company in respect of the Placing) that (save where Cavendish expressly agrees in writing to the contrary):

1.         it has read and understood this Announcement in its entirety and that its acquisition of the Placing Shares is subject to and based upon all the terms, conditions, representations, warranties, indemnities, acknowledgements, agreements and undertakings and other information contained herein and that it has not relied on, and will not rely on, any information given or any representations, warranties or statements made at any time by any person in connection with Admission, the Placing, the Company, the Placing Shares or otherwise, other than the information contained in this Announcement and the Publicly Available Information;

2.         it has not received and will not receive a prospectus or other offering document in connection with the Placing and acknowledges that no prospectus or other offering document:

(a)        is required under the UK Prospectus Regulation or other applicable law; and

(b)        has been or will be prepared in connection with the Placing;

3.         the Ordinary Shares are admitted to trading on AIM, and that the Company is therefore required to publish certain business and financial information in accordance with the AIM Rules for the Companies (the "AIM Rules") and the Market Abuse Regulation (EU Regulation No. 596/2014 as it applies in the United Kingdom as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018 (the "UK MAR")), which includes a description of the nature of the Company's business and the Company's most recent balance sheet and profit and loss account and that it is able to obtain or access such information without undue difficulty, and is able to obtain access to such information or comparable information concerning any other publicly traded company, without undue difficulty;

4.         it has made its own assessment of the Placing Shares and has relied on its own investigation of the business, financial or other position of the Company in accepting a participation in the Placing and neither Cavendish nor the Company nor any of their respective Representatives nor any person acting on behalf of any of them has provided, and will not provide, it with any material regarding the Placing Shares or the Company or any other person other than the information in this Announcement or the Publicly Available Information; nor has it requested Cavendish, the Company, any of their respective Representatives or any person acting on behalf of any of them to provide it with any such information;

5.         neither Cavendish nor any person acting on behalf of it nor any of its Representatives has or shall have any liability for any Publicly Available Information, or any representation relating to the Company, provided that nothing in this paragraph excludes the liability of any person for fraudulent misrepresentation made by that person;

6.        

(a)        the only information on which it is entitled to rely on and on which it has relied in committing to acquire the Placing Shares is contained in this Announcement and the Publicly Available Information, such information being all that it deems necessary to make an investment decision in respect of the Placing Shares and it has made its own assessment of the Company, the Placing Shares and the terms of the Placing based on the information in this Announcement and the Publicly Available Information;

(b)        neither Cavendish, nor the Company (nor any of their respective Representatives) have made any representation or warranty to it, express or implied, with respect to the Company, the Placing or the Placing Shares or the accuracy, completeness or adequacy of the Publicly Available Information, nor will it provide any material or information regarding the Company, the Placing or the Placing Shares;

(c)        it has conducted its own investigation of the Company, the Placing (including its terms and conditions) and the Placing Shares, satisfied itself that the information is still current and relied on that investigation for the purposes of its decision to participate in the Placing; and

(d)        it has not relied on any investigation that Cavendish or any person acting on its behalf may have conducted with respect to the Company, the Placing or the Placing Shares;

7.         the content of this Announcement and the Publicly Available Information has been prepared by and is exclusively the responsibility of the Company and that neither Cavendish nor any persons acting on its behalf nor any of their respective Representatives is responsible for or has or shall have any liability for any information, representation, warranty or statement relating to the Company contained in this Announcement or the Publicly Available Information nor will they be liable for any Placee's decision to participate in the Placing based on any information, representation, warranty or statement contained in this Announcement, the Publicly Available Information or otherwise. Nothing in this Appendix shall exclude any liability of any person for fraudulent misrepresentation;

8.         neither it nor the beneficial owner of the Placing Shares is, nor will, at the time the Placing Shares are acquired, be a resident of the United States, Australia, Canada, the Republic of South Africa or Japan;

9.         the Placing Shares have not been registered or otherwise qualified, and will not be registered or otherwise qualified, for offer and sale nor will a prospectus be cleared or approved in respect of any of the Placing Shares under the securities laws of the United States, or any state or other jurisdiction of the United States, Australia, Canada, the Republic of South Africa or Japan and, subject to certain exceptions, may not be offered, sold, taken up, renounced or delivered or transferred, directly or indirectly, within the United States, Australia, Canada, the Republic of South Africa or Japan or in any country or jurisdiction where any such action for that purpose is required;

10.        it may be asked to disclose in writing or orally to Cavendish: (i) if he or she is an individual, his or her nationality; or (ii) if he or she is a discretionary fund manager, the jurisdiction in which the funds are managed or owned;

11.        it has the funds available to pay for the Placing Shares for which it has agreed to acquire and acknowledges and agrees that it will pay the total amount in accordance with the terms of this Announcement on the due time and date set out herein, failing which the relevant Placing Shares may be placed with other Placees or sold at such price as Cavendish determines;

12.        it and/or each person on whose behalf it is participating:

(a)        is entitled to acquire Placing Shares pursuant to the Placing under the laws and regulations of all relevant jurisdictions;

(b)        has fully observed such laws and regulations;

(c)        has the capacity and authority and is entitled to enter into and perform its obligations as an acquirer of Placing Shares and will honour such obligations; and

(d)        has obtained all necessary consents and authorities (including, without limitation, in the case of a person acting on behalf of a Placee, all necessary consents and authorities to agree to the terms set out or referred to in this Appendix) under those laws or otherwise and complied with all necessary formalities to enable it to enter into the transactions contemplated hereby and to perform its obligations in relation thereto and, in particular, if it is a pension fund or investment company it is aware of and acknowledges it is required to comply with all applicable laws and regulations with respect to its acquisition of Placing Shares;

13.        it is not, and any person who it is acting on behalf of is not, and at the time the Placing Shares are acquired will not be, a resident of, or with an address in, or subject to the laws of, the United States, Australia, Canada, the Republic of South Africa or Japan, and it acknowledges and agrees that the Placing Shares have not been and will not be registered or otherwise qualified under the securities legislation of the United States, Australia, Canada, the Republic of South Africa or Japan and may not be offered, sold, or acquired, directly or indirectly, within those jurisdictions;

14.        it and the beneficial owner of the Placing Shares is, and at the time the Placing Shares are acquired will be, outside the United States and acquiring the Placing Shares in an "offshore transaction" as defined in, and in accordance with, Regulation S under the Securities Act;

15.        it understands that the Placing Shares have not been, and will not be, registered under the Securities Act and may not be offered, sold or resold in or into or from the United States except pursuant to an effective registration under the Securities Act, or pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in accordance with applicable state securities laws; and no representation is being made as to the availability of any exemption under the Securities Act for the reoffer, resale, pledge or transfer of the Placing Shares;

16.        it (and any account for which it is purchasing) is not acquiring the Placing Shares with a view to any offer, sale or distribution thereof within the meaning of the Securities Act;

17.        it understands that:

(a)        the Placing Shares are "restricted securities" within the meaning of Rule 144(a)(3) of the Securities Act and will be subject to restrictions on resale and transfer subject to certain exceptions under US law;

(b)        no representation is made as to the availability of the exemption provided by Rule 144 of the Securities Act for resales or transfers of Placing Shares; and

(c)        it will not deposit the Placing Shares in an unrestricted depositary receipt programme in the United States or for US persons (as defined in the Securities Act);

18.        it will not offer, sell, transfer, pledge or otherwise dispose of any Placing Shares except:

(a)        in an offshore transaction in accordance with Rules 903 or 904 of Regulation S under the Securities Act; or

(b)        pursuant to another exemption from registration under the Securities Act, if available,

and in each case in accordance with all applicable securities laws of the states of the United States and other jurisdictions;

19.        no representation has been made as to the availability of the exemption provided by Rule 144, Rule 144A or any other exemption under the Securities Act for the reoffer, resale, pledge or transfer of the Placing Shares;

20.        it understands that the Placing Shares are expected to be issued to it through CREST but may be issued to it in certificated, definitive form and acknowledges and agrees that the Placing Shares may, to the extent they are delivered in certificated form, bear a legend to the following effect unless agreed otherwise with the Company:

"THESE SECURITIES HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR UNDER THE APPLICABLE SECURITIES LAWS OR WITH ANY SECURITIES REGULATORY AUTHORITY OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES, AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT (A) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (B) IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR (C) PURSUANT TO ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES. NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THE FOREGOING, THE SECURITIES MAY NOT BE DEPOSITED INTO ANY UNRESTRICTED DEPOSITARY RECEIPT FACILITY IN RESPECT OF THE COMPANY'S SECURITIES ESTABLISHED OR MAINTAINED BY A DEPOSITARY BANK. EACH HOLDER, BY ITS ACCEPTANCE OF THESE SHARES, REPRESENTS THAT IT UNDERSTANDS AND AGREES TO THE FOREGOING RESTRICTIONS.";

21.        it is not taking up the Placing Shares as a result of any "general solicitation" or "general advertising" efforts (as those terms are defined in Regulation D under the Securities Act) or any "directed selling efforts" (as such term is defined in Regulation S under the Securities Act);

22.        it understands that there may be certain consequences under United States and other tax laws resulting from an investment in the Placing and it has made such investigation and has consulted its own independent advisers or otherwise has satisfied itself concerning, without limitation, the effects of United States federal, state and local income tax laws and foreign tax laws generally;

23.        it will not distribute, forward, transfer or otherwise transmit this Announcement or any part of it, or any other presentational or other materials concerning the Placing in or into or from the United States (including electronic copies thereof) to any person, and it has not distributed, forwarded, transferred or otherwise transmitted any such materials to any person;

24.        none of Cavendish, the Company nor any of their respective Representatives nor any person acting on behalf of any of them is making any recommendations to it or advising it regarding the suitability of any transactions it may enter into in connection with the Placing and that participation in the Placing is on the basis that it is not and will not be a client of Cavendish and that Cavendish has no duties or responsibilities to it for providing the protections afforded to its clients or for providing advice in relation to the Placing nor in respect of any representations, warranties, undertakings or indemnities contained in the Placing Agreement nor for the exercise or performance of any of its rights and obligations thereunder including any rights to waive or vary any Conditions or exercise any termination right;

25.        it will make payment to Cavendish for the Placing Shares allocated to it in accordance with the terms and conditions of this Announcement on the due times and dates set out in this Announcement, failing which the relevant Placing Shares may be placed with others on such terms as Cavendish determines in its absolute discretion without liability to the Placee and it will remain liable for any shortfall below the net proceeds of such sale and the Placing proceeds of such Placing Shares and may be required to bear any stamp duty or stamp duty reserve tax (together with any interest or penalties due pursuant to the terms set out or referred to in this Announcement) which may arise upon the sale of such Placee's Placing Shares on its behalf;

26.        its allocation (if any) of Placing Shares will represent a maximum number of Placing Shares which it will be entitled, and required, to subscribe for, and that the Company may call upon it to subscribe for a lower number of Placing Shares (if any), but in no event in aggregate more than the aforementioned maximum;

27.        no action has been or will be taken by any of the Company, Cavendish or any person acting on behalf of the Company or Cavendish that would, or is intended to, permit a public offer of the Placing Shares in the United States or in any country or jurisdiction where any such action for that purpose is required;

28.        the person who it specifies for registration as holder of the Placing Shares will be:

(a)        the Placee; or

(b)        a nominee of the Placee, as the case may be,

and that Cavendish and the Company will not be responsible for any liability to stamp duty or stamp duty reserve tax resulting from a failure to observe this requirement. Each Placee and any person acting on behalf of such Placee agrees to acquire Placing Shares pursuant to the Placing and agrees to indemnify the Company and Cavendish in respect of the same on the basis that the Placing Shares will be allotted to a CREST stock account of Cavendish or transferred to a CREST stock account of Cavendish who will hold them as nominee on behalf of the Placee until settlement in accordance with its standing settlement instructions with it;

29.        the allocation, allotment, issue and delivery to it, or the person specified by it for registration as holder, of Placing Shares will not give rise to a stamp duty or stamp duty reserve tax liability under (or at a rate determined under) any of sections 67, 70, 93 or 96 of the Finance Act 1986 (depository receipts and clearance services) and that it is not participating in the Placing as nominee or agent for any person or persons to whom the allocation, allotment, issue or delivery of Placing Shares would give rise to such a liability;

30.        if it is within the United Kingdom, it and any person acting on its behalf (if within the United Kingdom) falls within Article 19(5) and/or 49(2) of the Order and undertakes that it will acquire, hold, manage and (if applicable) dispose of any Placing Shares that are allocated to it for the purposes of its business only;

31.        it has not offered or sold and will not offer or sell any Placing Shares to persons in the United Kingdom or a Relevant State prior to the expiry of a period of six months from Admission except to persons whose ordinary activities involve them in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of their business or otherwise in circumstances which have not resulted and which will not result in an offer to the public in the United Kingdom within the meaning of section 85(1) of the FSMA or within the meaning of the UK Prospectus Regulation, or an offer to the public in any member state of the EEA within the meaning of the EU Prospectus Regulation;

32.        if it is within the United Kingdom, it is a Qualified Investor as defined in Article 2(e) of the UK Prospectus Regulation and if it is within a Relevant State, it is a Qualified Investor as defined in Article 2(e) of the EU Prospectus Regulation;

33.        it has only communicated or caused to be communicated and it will only communicate or cause to be communicated any invitation or inducement to engage in investment activity (within the meaning of section 21 of the FSMA) relating to Placing Shares in circumstances in which section 21(1) of the FSMA does not require approval of the communication by an authorised person and it acknowledges and agrees that this Announcement has not been approved by Cavendish in its capacity as an authorised person under section 21 of the FSMA and it may not therefore be subject to the controls which would apply if it was made or approved as financial promotion by an authorised person;

34.        it has complied and it will comply with all applicable laws with respect to anything done by it or on its behalf in relation to the Placing Shares (including all relevant provisions of the FSMA and the UK MAR in respect of anything done in, from or otherwise involving the United Kingdom);

35.        if it is a financial intermediary, as that term is used in Article 5(1) of the UK Prospectus Regulation, the Placing Shares acquired by it in the Placing will not be acquired on a non-discretionary basis on behalf of, nor will they be acquired with a view to their offer or resale to, persons in the United Kingdom other than Qualified Investors, or in circumstances in which the express prior written consent of Cavendish has been given to each proposed offer or resale;

36.        if in the United Kingdom, unless otherwise agreed by Cavendish, it is a "professional client" or an "eligible counterparty" within the meaning of Chapter 3 of the FCA Handbook Conduct of Business Sourcebook ("COBS") and it is acquiring Placing Shares for investment only and not with a view to resale or distribution;

37.        if it has received any inside information (for the purposes of the UK MAR and section 56 of the Criminal Justice Act 1993 or other applicable law) about the Company in advance of the Placing, it warrants that it has received such information within the market soundings regime provided for in Article 11 of UK MAR and has not:

(a)        dealt (or attempted to deal) in the securities of the Company or cancelled or amended a dealing in the securities of the Company;

(b)        encouraged, recommended or induced another person to deal in the securities of the Company or to cancel or amend an order concerning the Company's securities; or

(c)        unlawfully disclosed such information to any person, prior to the information being made publicly available;

38.        Cavendish and its affiliates, acting as an investor for its or their own account(s), may bid or subscribe for and/or purchase Placing Shares and, in that capacity, may retain, purchase, offer to sell or otherwise deal for its or their own account(s) in the Placing Shares, any other securities of the Company or other related investments in connection with the Placing or otherwise. Accordingly, references in this Announcement to the Placing Shares being offered, subscribed, acquired or otherwise dealt with should be read as including any offer to, or subscription, acquisition or dealing by, Cavendish and/or any of its affiliates acting as an investor for its or their own account(s). Neither Cavendish nor the Company intend to disclose the extent of any such investment or transaction otherwise than in accordance with any legal or regulatory obligation to do so;

39.        it:

(a)        has complied with its obligations in connection with money laundering and terrorist financing under the Proceeds of Crime Act 2002 (as amended), the Terrorism Act 2000 (as amended), the Terrorism Act 2006, the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (as amended) and all related or similar rules, regulations or guidelines, issued, administered or enforced by any government agency having jurisdiction in respect thereof and the Money Laundering Sourcebook of the FCA (together, the "Money Laundering Regulations");

(b)        is not a person:

(i)         with whom transactions are prohibited under the US Foreign Corrupt Practices Act of 1977 or any economic sanction programmes administered by, or regulations promulgated by, the Office of Foreign Assets Control of the U.S. Department of the Treasury;

(ii)         named on the Consolidated List of Financial Sanctions Targets maintained by HM Treasury of the United Kingdom; or

(iii)        subject to financial sanctions imposed pursuant to a regulation of the European Union or a regulation adopted by the United Nations or other applicable law,

(together with the Money Laundering Regulations, the "Regulations") and if making payment on behalf of a third party, that satisfactory evidence has been obtained and recorded by it to verify the identity of the third party as required by the Regulations and has obtained all governmental and other consents (if any) which may be required for the purpose of, or as a consequence of, such purchase, and it will provide promptly to Cavendish such evidence, if any, as to the identity or location or legal status of any person which it may request from it in connection with the Placing (for the purpose of complying with the Regulations or ascertaining the nationality of any person or the jurisdiction(s) to which any person is subject or otherwise) in the form and manner requested by Cavendish on the basis that any failure by it to do so may result in the number of Placing Shares that are to be acquired by it or at its direction pursuant to the Placing being reduced to such number, or to nil, as Cavendish may decide at its sole discretion;

40.        in order to ensure compliance with the Regulations, Cavendish (for itself and as agent on behalf of the Company) or the Company's registrars may, in their absolute discretion, require verification of its identity. Pending the provision to Cavendish or the Company's registrars, as applicable, of evidence of identity, definitive certificates in respect of the Placing Shares may be retained at Cavendish's absolute discretion or, where appropriate, delivery of the Placing Shares to it in uncertificated form may be delayed at Cavendish's or the Company's registrars', as the case may be, absolute discretion. If within a reasonable time after a request for verification of identity Cavendish (for itself and as agent on behalf of the Company) or the Company's registrars have not received evidence satisfactory to them, either Cavendish and/or the Company may, at its absolute discretion, terminate its commitment in respect of the Placing, in which event the monies payable on acceptance of allotment will, if already paid, be returned without interest to the account of the drawee's bank from which they were originally debited;

41.        its participation in the Placing would not give rise to an offer being required to be made by it, or any person with whom it is acting in concert, pursuant to Rule 9 of the Takeover Code;

42.        any money held in an account with Cavendish on behalf of the Placee and/or any person acting on behalf of the Placee will not be treated as client money within the meaning of the relevant rules and regulations of the FCA made under the FSMA. The Placee acknowledges that the money will not be subject to the protections conferred by the client money rules; as a consequence, this money will not be segregated from Cavendish's money in accordance with the client money rules and will be used by Cavendish's in the course of its business; and the Placee will rank only as a general creditor of Cavendish;

43.        Cavendish may choose to invoke the CASS Delivery Versus Payment exemption (under CASS 7.11.14R within the FCA Handbook Client Assets Sourcebook) with regard to settlement of funds, in connection with the Placing, should it see fit;

44.        neither it nor, as the case may be, its clients expect Cavendish to have any duties or responsibilities to such persons similar or comparable to the duties of "best execution" and "suitability" imposed by the COBS, and that Cavendish is not acting for it or its clients, and that Cavendish will not be responsible for providing the protections afforded to clients of Cavendish or for providing advice in respect of the transactions described in this Announcement;

45.        it acknowledges that its commitment to acquire Placing Shares on the terms set out in this Announcement and in the contract note, the electronic trade confirmation or other (oral or written) confirmation will continue notwithstanding any amendment that may in future be made to the terms and conditions of the Placing and that Placees will have no right to be consulted or require that their consent be obtained with respect to the Company's or Cavendish's conduct of the Placing;

46.        it has knowledge and experience in financial, business and international investment matters as is required to evaluate the merits and risks of acquiring the Placing Shares. It further acknowledges that it is experienced in investing in securities of this nature and is aware that it may be required to bear, and is able to bear, the economic risk of, and is able to sustain, a complete loss in connection with the Placing. It has relied upon its own examination and due diligence of the Company and its affiliates taken as a whole, and the terms of the Placing, including the merits and risks involved;

47.        it irrevocably appoints any duly authorised officer of Cavendish as its agent for the purpose of executing and delivering to the Company and/or its registrars any documents on its behalf necessary to enable it to be registered as the holder of any of the Placing Shares for which it agrees to acquire upon the terms of this Announcement;

48.        the Company, Cavendish and others (including each of their respective Representatives) will rely upon the truth and accuracy of the foregoing representations, warranties, acknowledgements and agreements, which are given to Cavendish on its own behalf and on behalf of the Company and are irrevocable;

49.        it is acting as principal only in respect of the Placing or, if it is acquiring the Placing Shares as a fiduciary or agent for one or more investor accounts, it:

(a)        is duly authorised to do so and it has full power and authority to make, and does make, the foregoing representations, warranties, acknowledgements, agreements and undertakings on behalf of each such accounts; and

(b)        will remain liable to the Company and Cavendish for the performance of all its obligations as a Placee in respect of the Placing (regardless of the fact that it is acting for another person);

50.        subject to acquiring any Placing Shares, it will be bound by the terms of the articles of association of the Company;

51.        time is of the essence as regards its obligations under this Appendix;

52.        any document that is to be sent to it in connection with the Placing will be sent at its risk and may be sent to it at any address provided by it to Cavendish;

53.        the Placing Shares will be issued subject to the terms and conditions of this Appendix; and

54.        the terms and conditions contained in this Appendix and all documents into which this Appendix is incorporated by reference or otherwise validly forms a part and/or any agreements entered into pursuant to these terms and conditions and all agreements to acquire Placing Shares pursuant to the Bookbuilding Process and/or the Placing and all non-contractual or other obligations arising out of or in connection with them, will be governed by and construed in accordance with English law and it submits to the exclusive jurisdiction of the English courts in relation to any claim, dispute or matter arising out of such contract (including any dispute regarding the existence, validity or termination or such contract or relating to any non-contractual or other obligation arising out of or in connection with such contract), except that enforcement proceedings in respect of the obligation to make payment for the Placing Shares (together with interest chargeable thereon) may be taken by the Company or Cavendish in any jurisdiction in which the relevant Placee is incorporated or in which any of its securities have a quotation on a recognised stock exchange.

By participating in the Placing, each Placee (and any person acting on such Placee's behalf) agrees to indemnify and hold the Company, Cavendish and each of their respective Representatives harmless from any and all costs, claims, liabilities and expenses (including legal fees and expenses) arising out of or in connection with any breach of the representations, warranties, acknowledgements, agreements and undertakings given by the Placee (and any person acting on such Placee's behalf) in this Appendix or incurred by Cavendish, the Company or each of their respective Representatives arising from the performance of the Placee's obligations as set out in this Announcement, and further agrees that the provisions of this Appendix shall survive after the completion of the Placing.

The rights and remedies of Cavendish and the Company under these terms and conditions are in addition to any rights and remedies which would otherwise be available to each of them and the exercise or partial exercise or partial exercise of one will not prevent the exercise of others.

The agreement to allot and issue Placing Shares to Placees (or the persons for whom Placees are contracting as agent) free of stamp duty and stamp duty reserve tax in the United Kingdom relates only to their allotment and issue to Placees, or such persons as they nominate as their agents, direct by the Company. Such agreement assumes that the Placing Shares are not being acquired in connection with arrangements to issue depositary receipts or to transfer the Placing Shares into a clearance service. If there are any such arrangements, or the settlement related to any other dealings in the Placing Shares, stamp duty or stamp duty reserve tax may be payable. In that event, the Placee agrees that it shall be responsible for such stamp duty or stamp duty reserve tax and neither the Company nor Cavendish shall be responsible for such stamp duty or stamp duty reserve tax. If this is the case, each Placee should seek its own advice and they should notify Cavendish accordingly. In addition, Placees should note that they will be liable for any capital duty, stamp duty and all other stamp, issue, securities, transfer, registration, documentary or other duties or taxes (including any interest, fines or penalties relating thereto) payable outside the United Kingdom by them or any other person on the acquisition by them of any Placing Shares or the agreement by them to acquire any Placing Shares and each Placee, or the Placee's nominee, in respect of whom (or in respect of the person for whom it is participating in the Placing as an agent or nominee) the allocation, allotment, issue or delivery of Placing Shares has given rise to such non-United Kingdom stamp, registration, documentary, transfer or similar taxes or duties undertakes to pay such taxes and duties, including any interest and penalties (if applicable), forthwith and to indemnify on an after-tax basis and to hold harmless the Company and Cavendish in the event that either the Company and/or Cavendish have incurred any such liability to such taxes or duties.

The representations, warranties, acknowledgements and undertakings contained in this Appendix are given to Cavendish for itself and on behalf of the Company and are irrevocable.

Cavendish Capital Markets Limited is authorised and regulated by the FCA in the United Kingdom and is acting exclusively for the Company and no one else in connection with the Bookbuilding Process and the Fundraising, and Cavendish will not be responsible to anyone (including any Placees) other than the Company for providing the protections afforded to its clients or for providing advice in relation to the Bookbuilding Process or the Fundraising or any other matters referred to in this Announcement.

Each Placee and any person acting on behalf of the Placee acknowledges that Cavendish does not owe any fiduciary or other duties to any Placee in respect of any representations, warranties, undertakings, acknowledgements, agreements or indemnities in the Placing Agreement.

Each Placee and any person acting on behalf of the Placee acknowledges and agrees that Cavendish may (at its absolute discretion) satisfy its obligations to procure Placees by itself agreeing to become a Placee in respect of some or all of the Placing Shares or by nominating any connected or associated person to do so.

When a Placee or any person acting on behalf of the Placee is dealing with Cavendish, any money held in an account with Cavendish on behalf of the Placee and/or any person acting on behalf of the Placee will not be treated as client money within the meaning of the relevant rules and regulations of the FCA made under the FSMA. Each Placee acknowledges that the money will not be subject to the protections conferred by the client money rules; as a consequence this money will not be segregated from Cavendish's money in accordance with the client money rules and will be held by it under a banking relationship and not as trustee.

References to time in this Announcement are to London time, unless otherwise stated.

All times and dates in this Announcement may be subject to amendment. Placees will be notified of any changes.

No statement in this Announcement is intended to be a profit forecast or estimate, and no statement in this Announcement should be interpreted to mean that earnings per share of the Company for the current or future financial years would necessarily match or exceed the historical published earnings per share of the Company.

The price of shares and any income expected from them may go down as well as up and investors may not get back the full amount invested upon disposal of the shares. Past performance is no guide to future performance, and persons needing advice should consult an independent financial adviser.

The Placing Shares to be issued pursuant to the Placing will not be admitted to trading on any stock exchange other than the AIM market of the London Stock Exchange.

Neither the content of the Company's website nor any website accessible by hyperlinks on the Company's website is incorporated in, or forms part of, this Announcement.

Definitions

The following definitions apply throughout this Placing Announcement unless the context requires otherwise: