K3 Business Technology : Signing of Facility Amendment Agreement

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN, INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, THE REPUBLIC OF SOUTH AFRICA, THE REPUBLIC OF IRELANDOR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

4 July 2017

AIM: KBT

K3 Business Technology Group plc

('K3' or 'Company')

Signing of Facility Amendment Agreement

Further to K3's announcement of 12 June 2017, the Company is pleased to announce the signing of a Facility Amendment Agreement with its senior debt lenders, Barclays Bank plc and HSBC Bank plc (together, the 'Banks'), regarding its lending arrangements.

Under the terms of the agreement, the Banks have amended banking covenant levels at 30 November 2017 and 28 February 2018 and moved covenant test dates to bring them into line with K3's new financial year end, being 30 November.

The Placing and Open Offer are conditional on the signing of this agreement and remain conditional on the passing of the Resolution at the General Meeting today and Admission of the New Ordinary Shares to AIM, which is expected to take place at 8.00 a.m. on 5 July 2017.

Capitalised terms not otherwise defined in the text of this announcement have the meanings given to them in the Company's circular dated 12 June 2017.

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