Placing of Shares

Placing of Shares

Armadale Capital Plc

Armadale Capital Plc / Index: AIM / Epic: ACP / Sector: Investment Company

Armadale Capital Plc (‘Armadale’ or ‘the Company’)

Placing to raise £500,000 to expand investment portfolio

in natural resources and infrastructure sectors

Armadale, the AIM quoted investment company focussed on natural resources and infrastructure projects in Africa, is pleased to announce a placing ("Placing") of 666,666,800 new ordinary shares of 0.01 pence each in the capital of the Company ("Placing Shares") at a price of 0.075 pence per share to raise £500,000, before expenses, with institutional and other investors.

The Placing will allow the Company to further develop and expand its current investment portfolio through investment in additional prospective opportunities in the natural resources/infrastructure sector. The Board believes that, as an investment company, the diversification of assets and geography will provide investors with greater exposure to the emerging markets, and put the Company in a strong position for future growth and development. The expansion of Armadale’s investment portfolio will also complement its current interests, most notably its 40% holding in Mine Restoration Investments Ltd (‘MRI’), which is expected to commence generating revenues from its first anthracite coal briquetting operation in South Africa in September 2013.

The Placing is subject, inter alia, to admission of the Placing Shares to AIM, which is expected to occur at 8.00 a.m. on 1 August 2013. Application has been made to the London Stock Exchange for all of the Placing Shares to be admitted to trading on AIM. The Placing Shares will, when issued, rank pari passu in all respects with the Company's existing ordinary shares.

Peter Marks, Chairman of Armadale, said, “The placing to raise £500,000 allows Armadale to pursue its investment strategy and broaden its investment portfolio. With MRI’s coal briquetting operations on track to commence full production in September 2013 and potential investment opportunities under review, this is undoubtedly an exciting time for Armadale and I look forward to updating shareholders on developments in due course.”

The following directors have taken part in the Placing:

Name	Â	Number of Placing Shares	Â	Resulting holding	Â	Percentage of issued share capital on admission
Peter Marks		33,333,400		41,695,400		1.52%
Justin Lewis		60,000,000		60,000,000		2.73%

Following admission of the Placing Shares, the Company will have 2,198,041,150 ordinary shares in issue. The Company has no shares in treasury, therefore the figure of 2,198,041,150 should 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 of their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.

**ENDS**

Enquiries:

Company

Peter Marks, Chairman [phone]

Charles Zorab, Investor Relations

Nomad and broker: finnCap Limited

Stuart Andrews/Petre Norton [phone]

Press relations: St Brides Media & Finance Ltd.

Susie Geliher/Charlotte Heap [phone]

Notes

Armadale Capital Plc is focussed on investing in and developing a portfolio of investments, targeting the natural resources and/or infrastructure sectors. The Company, led by a team with operational experience and a strong track record in Africa, has a strategy of identifying high growth potential businesses where it can take an active role in their advancement.

Armadale currently holds approximately a 40% interest in Mine Restoration Investments Ltd, a South African listed company, which aims to develop profitable operations within the South African mining industry through its coal briquetting operation in KwaZulu Natal and acid mine drainage project in the Witwatersrand basins.

More information can be found on the website www.armadalecapitalplc.com