Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

Plutus PowerGen Plc / Ticker: PPG / Index: AIM

PLUTUS POWERGEN PLC

("Plutus", the "Group" or the "Company")

New Share Option Scheme,

Exercise of Warrants,

Director Dealings

and Total Voting Rights

Plutus PowerGen PLC (AIM: PPG), the AIM listed power company focused on the development and operation of flexible energy generation ('FlexGen') projects in the UK, has received a notice of exercise of warrants in respect of 20,000,000 ordinary shares of 0.1p each in the capital of the Company ("Ordinary Shares") at a price of 0.9 pence per New Ordinary Share.  In aggregate, the exercise of these warrants amounts to a cash subscription of approximately £180,000.

The Company has also decided to adopt a new share option scheme designed to incentivise the directors and management. 

Exercise of warrants

10,000,000 Ordinary Shares have been issued to Charles Tatnall, Executive Director, and a further 10,000,000 Ordinary Shares have been issued to James Longley, Chief Financial Officer, following the exercise of an aggregate of 20 million warrants at an exercise price of 0.9p per ordinary share, representing a cash subscription to the Company of £180,000.

New Share Option Incentive scheme

The 2017 Share Option Scheme announced today is designed to incentivise the Directors as Plutus changes direction towards gas powered FlexGen projects, of which the Company has 150MW in its pipeline and in the pre-planning and planning stages.  The Directors of the Company continue to focus on financing these sites without recourse to an equity capital raise in order to maximise value for the Company's existing shareholders.  This is the first share option scheme to be implemented since the reverse acquisition of Plutus Energy Limited in August 2014 (the "Reverse Acquisition"), since when minimal shareholder dilution has been incurred with regard to external equity financing. The Company has ensured that the ongoing development of the Rockpool funded portfolio of 180MW of FlexGen sites have been financed totally through external equity and debt.

The Company  has today granted an aggregate of 60,000,000 share options with an exercise price of 1.485p (representing a 7.6% premium to yesterday's mid-market closing price of the Ordinary Shares of the Company) pursuant to the 2017 Share Option Scheme, all vesting in three equal annual instalments (the "Options"). 15,000,000 Options have today been granted to each of Paul Lazarevic, James Longley, Phil Stephens and Charles Tatnall.

Charles Tatnall and James Longley hold 4,770,000 existing share options each which were awarded prior to the Reverse Acquisition. All of the Directors have indicated that they will not sell any shares that they hold for the next eighteen months.

Following the issue of options and exercise of warrants, there are a total of 69,540,000 options in the Company outstanding, representing approximately 9.8% of the Company's issued share capital.

Director Dealings

Following the warrant exercise, the interests of the Directors in the issued share capital of the Company before and after the issue of the New Ordinary Shares is as follows:

Total Voting Rights

Application has been made for the 20,000,000 New Ordinary Shares to be admitted to trading on AIM.  Dealings in the New Ordinary Shares are expected to become effective on or around 25 May 2017.  Following the issue of the New Ordinary Shares, the Company has 711,428,935 ordinary shares of 0.1 pence each in issue.

ENDS

For further information, please visit www.plutuspowergen.com, or contact:

Appendix

Notes to Editors

Plutus PowerGen plc is an AIM listed company focused on the development, construction and operation of flexible stand-by power generation sites in the UK.  At present, the market dynamics for flexible power generation are positive as a result of the continued downward pressure on capacity available to National Grid to balance supply and demand, leading to their announcements about possible power shortages over the next few years.

Flexible Power generators such as PPG offer a viable and timely solution to the power capacity shortfall in the UK.  To this end, PPG is initially focusing on delivering 200MW of capacity by the end of 2017 and currently has a project pipeline of potential development sites with 700MW of power generation capacity.

PPG has a straightforward multi-revenue stream model with large and stable counter-parties and is using project/EIS funding through SPVs to finance construction of the generation assets. This structure has the benefit of limiting dilution to plc shareholders as the assets are financed and built.