Prior to publication, the information contained within this announcement was deemed by the Company to constitute inside information as stipulated under the UK Market Abuse Regulation. With the publication of this announcement, this information is now considered to be in the public domain.

12 December 2022

Grafenia plc

("Grafenia", the "Company" or the "Group")

Bond Issue

Grafenia plc (AIM: GRA) is pleased to announce that the Company has issued further bonds (the "Bonds") via the perpetual bond facility put in place in July 2020. The Company has issued £3,200,000 million of the Bonds, at nominal value, to investors, raising approximately £2,720,000 million before expenses. The key terms of the Bonds that have been issued are:

●    amount issued - £3,200,000 million;

●    issued at 85% of their nominal value;

●    no interest until July 2023;

●    thereafter, interest of 6% per annum payable annually in arrears;

●    trade date of 12 December 2022 and settlement date of 14 December 2022;

●    redeemable by the Company on 19 July 2023 or any anniversary thereafter;

●    admitted to trading in the Open Market on the Frankfurt Stock Exchange with ISIN DE000A28ZF69 and stock exchange abbreviation PF5A;

●    non-convertible;

●    unsecured - to rank pari passu with any past and future bonds.

The Bond was arranged by the Company's Settlement and Paying Agent Quirin Privatbank AG ("Quirin").

The net proceeds of the Bonds issued will be used to support the Company's acquisition strategy.

Gavin Cockerill, Acting CEO of Grafenia commented "Over the last 12 months we have invested in building the structure required for us to be a serial acquirer and permanent home for vertical market software businesses. The funds being raised via the bond placing are for further potential acquisitions we currently have in the pipeline. We're pleased with the ongoing progress being made with our acquisition strategy. We will provide further updates in due course."

Market Abuse Regulation (MAR)

MAR came into effect from 3 July 2016.  Market soundings, as defined in MAR, were taken in respect of the Bond with the result that certain persons became aware of inside information, as permitted by MAR.  That inside information is set out in this announcement has been disclosed as soon as possible in accordance with paragraph 7 of article 17 of MAR.  Therefore, those persons that received inside information in a market sounding are no longer in possession of inside information relating to the Company and its securities.

For further information:

Grafenia plc

Gavin Cockerill (Acting CEO)                                                            07968 510 662

Allenby Capital Limited (Nominated Adviser and broker)           0203 328 5656

David Hart / Piers Shimwell