Photocat A/S : announce successful completed directed emission

Photocat successfully completes private placement of around SEK 9.6 million to Swedish investors.

Photocat A/S (publ) (Photocat or the Company) today announces that it has completed a private placement of 375.792 new shares to Swedish investors at a price of SEK 25.50 per share, providing the Company with around SEK 9.6 million before transaction related costs.

The price per share is approximately on par with 40 days volume weighted average price for Photocat's stock and the pricing of the share also considered the high volatility and low liquidity of the stock.

The private placement comprised an offering to around 20 investors. The largest investors in the placing being LMK Forward AB and Mikael Lönn.

The reason for deviating from the shareholders' preferential rights by conducting a directed new share issue is to ensure further equity in a short timeframe. The Board's view is that this directed offering will contribute to the benefit of all shareholders and would like to extend its gratitude to the participating investors.

The placement increases Photocat share capital from DKK 1.980.508 to DKK  2.356.300. After the placement, the total number of shares in Photocat will be 2.356.300. Existing shareholders will see dilution of approximately 16 percent after completion of the placement.

Mr. Michael Humle, CEO of Photocat A/S, comments; We are very pleased to welcome new investors to Photocat. The funds raised will enable us to further increase our growth going forward and demonstrate leadership in our expanding market. Our products are at the forefront in reducing harmful NOx levels in the air you breathe. As demonstrated in our Q1 report 2016, we have strong growth in both sales and actual volume delivered of photocatalyst products. Redeye AB is acting as financial advisor and Lett Advokatpartnerselskab acts as legal advisor in connection with the private placement

Photocat manufactures patented coating materials for both outdoor and indoor applications with the effect to degrade NOx and VOCs when exposed to light. Both NOx and VOCs are severely damaging to human health. Photocat's patented technology is a very efficient and an economically viable alternative to many of the traditional technologies targeting NOx (e.g. bus catalysts, flue gas cleaning etc.). Photocat's shares are listed on Nasdaq Stockholm, First North with the ticker symbol PCAT. The company's Certified Advisor is Redeye AB.

For More Information, Please Contact:
Michael Humle, CEO, Photocat A/S                            
Tel: +45 2210 2523                                                       
e-mail: michael@photocat.net