Equity placement of c. £850,000

EQTEC plc (AIM: EQT), a global technology innovator powering distributed, decarbonised, new energy infrastructure through its waste-to-value solutions for hydrogen, biofuels, and energy generation, is pleased to announce a fundraise of c. £850,000 (gross) at 1.4 pence per ordinary share in the Company (being a c. 18% discount to the closing price of 1.7 pence on 24 May 2024, being the last business day prior to the Placing) (the "Placing").

The Placing will result in the issuance of 60,887,490 ordinary shares of €0.01 each in the Company ("Shares") to the subscribers (the "Placing Shares"). A further 2,435,499 new Shares are being issued in settlement of certain fees in relation to the Placing ("Fee Shares"). The Placing has been arranged by Fortified Securities.

The Placing has been undertaken via direct subscription letters executed with the Company by the subscribers (the "Subscribers"), who are regulated stockbrokers. In aggregate the Subscribers have subscribed for gross proceeds of c. £850,000.

The issuance of Placing Shares is conditional upon cleared funding from the Subscribers, being received by the Company on or around 29 May 2024, save for c. £500,000 of the Placing which is to settle through Global Investment Strategy UK Limited, an existing broker for the Company, acting as a settlement agent, on or around 10 June 2024.

Application will be made for the Placing Shares and Fee Shares to be admitted to AIM. A further announcement will be made in relation to the dates of admission to AIM of the new Shares to be issued.

The Placing Shares will be issued under the Company's existing share authorities and represent the entire remaining authorised share capital of the Company free of pre-emption. The directors intend to seek further authority to allot in due course at the next general meeting.

No portion of the Placing relates to ordinary shares in the Company arising from the Syndicated CLN nor any conversion of any of the debt pursuant to the Term Loan (each term as defined and detailed in the Company's announcement of 23 May 2024). The Placing represents a new capital injection raised for cash proceeds. No portion of the Placing will be used for repayments of the Term Loan with the lenders having waived the rights to any prepayment arising from the Placing.

The board intends for the proceeds of the Placing to be used for the working capital for the operations of the Company and, alongside existing cash balances and the Logik settlement proceeds (as announced by the Company on 1 May 2024 and expected to be received by 28 June 2024), to support the execution of the previously announced strategic pivot.

David Palumbo, CEO of EQTEC, commented:

"This Placing, alongside the recently announced refinance through the Term Loan, provides the Company with a clear capital runway to develop and execute the previously announced strategic pivot. We look forward to updating the market on upcoming pipeline developments and the closing of the Logik settlement in due course. We thank our shareholders for their continued support during this transitionary period."

Further information on the Company can be found at www.eqtec.com.