Milestone Group PLC : Issue of Equity

("Milestone" or the "Company")

Issue of Equity

The Company announces that it has raised gross proceeds of £517,220 through a placing of 172,406,670 new ordinary shares of 0.1p each ("Ordinary Shares") at a price of 0.3 p per share.

Further to the announcement made by the Company on 7 December 2016, the Company also advises that £60,000 of proceeds has been received from certain of the Broker Placees (as defined in the 7 December 2016 announcement) in respect of the placing originally announced on 20 October 2016 (the "October 2016 Placing").  These Broker Placees have also agreed to subscribe for a further 24,000,000 Ordinary Shares at par, providing the Company with additional gross proceeds of £24,000, the effect of which is to allow these Broker Placees to effectively subscribe at 0.3 p per share in respect of the new issue of equity and the October 2016 Placing when aggregated.

Accordingly, in aggregate, the Company will receive gross proceeds of £601,220 in relation to the new issue of equity and receipt of funds from the October 2016 Placing.

An amount of £1,325,000 remains outstanding in relation to the October 2016 Placing.   The Company remains in discussion with the remaining Broker Placee and, as already announced, intends to pursue the Company Placee (as defined in the 7 December 2016 announcement) in respect of the £1,250,000 outstanding from it.

Application has been made for the 196,406,670 Ordinary Shares to be admitted to trading on AIM ("Admission").  These new Ordinary Shares will upon Admission rank pari passu with the existing Ordinary Shares.  Admission is expected to occur on or around 21 December 2016.

Upon Admission, Milestone will have in issue 1,082,141,411 Ordinary Shares with voting rights.

The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Disclosure and Transparency Rules.

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

For further information:

Milestone Group PLC  
Deborah White, Chief ExecutiveTel: 0207 929 7826
Cairn Financial Advisers LLP, Nominated Adviser  
Liam Murray/Sandy JamiesonTel: 0207 213 0880
Hybridan LLP, Broker  
Claire Louise NoyceTel: 0203 764 2341
Walbrook PR Limited, PR  
Gary Middleton/Paul Cornelius/Paul WhittingtonTel: 0207 933 8780

This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.

The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Milestone Group PLC via GlobeNewswire