AFC Energy : Over Subscribed Open Offer

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement via a Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, THE REPUBLIC OF IRELAND, THE REPUBLIC OF SOUTH AFRICA, JAPAN, NEW ZEALAND OR ANY JURISDICTION WHERE TO DO SO MIGHT CONSTITUTE A VIOLATION OF LOCAL SECURITIES LAWS OR REGULATIONS.

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE OR FORM PART OF ANY OFFER OR INVITATION TO SELL OR ISSUE, OR ANY SOLICITATION OF ANY OFFER TO PURCHASE OR SUBSCRIBE FOR, ANY NEW ORDINARY SHARES, NOR SHALL IT (OR ANY PART OF IT), OR THE FACT OF ITS DISTRIBUTION, FORM THE BASIS OF, OR BE RELIED ON IN CONNECTION WITH, OR ACT AS ANY INDUCEMENT TO ENTER INTO, ANY CONTRACT OR COMMITMENT WHATSOEVER WITH RESPECT TO THE PROPOSED PLACING.

AFC Energy PLC

('AFC Energy' or the 'Company')

Over Subscribed Open Offer and Director Shareholdings

AFC Energy, the industrial fuel cell power company, is pleased to announce that the Open Offer to raise up to approximately £2.1 million at 10 pence per share has been oversubscribed by 56.9% and that the Company has successfully raised £2.1 million through the Open Offer.

The Open Offer closed for acceptances at 11.00 a.m. on 2 March 2017 and the Company received valid acceptances in respect of the entirety of the Open Offer Shares from Qualifying Shareholders. Qualifying Shareholders who have validly applied for Open Offer Shares will receive their full Open Offer Entitlement. Applications under the Excess Application Facility will be scaled back in accordance with the terms of the Open Offer.

The Company has therefore raised aggregate gross proceeds of £2.1 million through the Open Offer.

Director Shareholdings

Both Tim Yeo and Mitchell Field participated in the Open Offer, and as a result the beneficial and non-beneficial interests of both directors and persons closely associated with them in Ordinary Shares have changed, as set out in the table below:

	Before the Open Offer		New Ordinary Shares	Immediately following the Fundraising*
	Number of Ordinary Shares	Percentage of ordinary share capital	Number of Ordinary Shares	Number of Ordinary Shares	Percentage of Issued ordinary share capital
Director
Tim Yeo	877,272	0.28%	50,000	927,272	0.24%
Mitchell Field	2,894,810	0.93%	66,322	2,961,132	0.76%

*assuming the admission of all New Ordinary Shares

This announcement should be read in conjunction with the full text of the Circular posted to Shareholders on 15 February 2017, a copy of which is available on the Company's website.

Capitalised terms in this announcement have the same meaning as given in the Circular.

For further information, please contact:

AFC Energy plc Adam Bond (Chief Executive Officer)	[phone]
Cantor Fitzgerald Europe - Nominated Adviser and Joint Broker Andrew Craig Richard Salmond	[phone]
M C Peat & Co LLP - Joint Broker Charlie Peat	[phone]
Lionsgate Communications - Public Relations Jonathan Charles	[phone]

About AFC Energy

AFC Energy plc has developed and successfully operated an alkaline fuel cell system ('KORE'), which converts hydrogen into 'clean' electricity. AFC Energy's key project POWER-UP demonstrated the world's largest operational alkaline fuel cell system at Air Products' industrial gas plant in Stade, Germany in January 2016. The Company is now looking to build upon an already established pipeline of commercial opportunities and drive the findings from the development phase of the technology into a technically optimised and commercially relevant fuel cell system. For further information, please visit our website: www.afcenergy.com.