Third party loan and related party transaction

On 20 May 2021 the Company announced that it had secured a third-party loan for £2,000,000 which was repayable on or before 30 June 2022 (the "Loan"). On 13 December 2021 the Company announced that the Loan had been extended such that it was repayable on or before 30 June 2025. All other terms of the Loan remained the same including the annual interest rate of 7 per cent accruing daily and interest being payable in arrears on 31 March, 30 June, 30 September and 31 December.

CEPS announces that the Loan has been extended for a further 12 months such that it is repayable on or before 30 June 2026. The annual interest rate has been increased to 9 per cent effective from 15 May 2025. All other terms of the Loan remain the same.

CEPS' obligations in respect of the Loan have been guaranteed by Mr David Horner, a director of the Company, and the provision of the guarantee is considered to be a related party transaction under AIM Rule 13. Mr Horner is not receiving any benefit from the provision of the guarantee.

The directors of the Company who are considered independent for the purposes of the Loan, being Vivien Langford, Kevin Allen and David Johnson, having consulted with Cairn Financial Advisers LLP, the Company's Nominated Advisor, consider the guarantee of the Loan by David Horner to be fair and reasonable insofar as the Company's shareholders are concerned.

The Directors of the Company accept responsibility for the content of this announcement.