Midatech Pharma PLC Closes Massive $6.0m Private Placement, Switches Brokers

Midatech Pharma PLC (AIM:MTPH.L)(NASDAQ:MTP) is pleased to announce the successful closing of its Private Placement of 10,344,822 Units at an issue price of US$0.58 per Unit. This Placement, which was announced on 9 February 2023, will enable Midatech to further improve the bio-delivery and bio-distribution of medicines.

The Company is launching a Private Placement, issuing a total of 2,600,160 new American Depository Shares representing 65,004,000 new Ordinary Shares of 0.1p each, as well as 7,744,662 Pre-Funded Warrants and A Warrants and B Warrants, each Unit comprising of one of the aforementioned securities. The total number of new securities issued is subject to adjustment set out in the Company’s announcement of 9 February 2023.

Today, the 65 million Placing Shares issued in the Private Placement have been admitted to trading on AIM and are now trading in full parity with the pre-existing Ordinary Shares. The market opened at 8.00 a.m., signalling the start of a new and exciting chapter for investors!

Midatech is thrilled to announce that its Private Placement has raised approximately US$5.2 million (approximately £4.3 million), which will be used primarily to continue funding its clinical development program of MTX110, its product for recurrent glioblastoma and DIPG, as well as for working capital and general corporate purposes. This is an exciting development as Midatech takes another step forward in its mission to provide groundbreaking treatments to those in need.

Ladenburg Thalmann & Co. Inc. was proud to act as the exclusive placement agent for the Private Placement, providing investors with a unique opportunity to benefit from a successful investment.

Subject to shareholder approval, the Company plans to grant a total of 10,344,822 A Warrants and 15,517,236 B Warrants to investors in the Private Placement. These Warrants will give the holders the right to subscribe for one ADS for free and will be valid for five and three years, respectively.

Shareholders, mark your calendars! A circular calling for a general meeting will be sent out shortly, so don’t miss out on the chance to have your voice heard.

Change of Broker

Midatech is delighted to announce the appointment of Strand Hanson Limited (“Strand Hanson”) as its sole broker, with immediate effect. Strand Hanson will also continue to serve the Company as its Nominated Adviser.

Additional Information

The Private Placement securities, along with the Warrants, have been exclusively offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended, and Regulation D promulgated thereunder. As such, they have not been registered with the U.S. Securities and Exchange Commission, and may not be offered or sold in the United States without satisfying the registration requirements and applicable state securities laws or obtaining an applicable exemption.

We are excited to announce the sale of these securities, and invite you to join us in this opportunity! However, these securities may not be sold or offered in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

This announcement includes conversions of US dollars into British Pounds Sterling, with a rate of exchange of £1.00 to US$1.2174. For those who prefer to think in terms of international currency, this presents a great opportunity to make their money go further!

The terms set out in the Company’s announcement of 9 February 2023 shall retain their original meanings and continue to be capitalised throughout.

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