Company Update and Board Changes

20 May 2016

BOXHILL TECHNOLOGIES PLC

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

Company Update and Board Changes

Company Update

The board of directors of Boxhill (the "Board") has made considerable progress since the announcement of 10 February 2016 (the "Announcement") on both the restructuring described in the Announcement and the integration of the newly acquired Emex (UK) Group Limited, and the associated company, FreePayMaster Limited (collectively, "Emex").

During the period of suspension of trading in the Company's shares, growth in the business has continued. The payments division has continued to win new customers across all areas of e-commerce. With the additional services provided by Emex, the Company can now offer a more complete set of traditional and alternative payment services to customers.  As part of this expansion, the Company has established a new 100% owned Maltese subsidiary, Boxhill Technologies (Malta) Limited ("BTM"), to focus on the expanding Maltese payments and gaming sectors.

The Board is pleased to announce that having received confirmation of the appropriate licences, FreePayMaster Limited is today launching its new set of services, which includes accounts for individuals and businesses, peer-to-peer and alternative payments, access to foreign and crypto currency exchanges and wire and mass payment services. Beta customers are currently testing the systems with positive results.

Boxhill's former subsidiary, Pay Corporation Limited ("PayCorp") was subject to a consumer awareness notice by the FCA on 16 November 2015 regarding the alleged undertaking of activities that require authorisation by the FCA.  The Company has been in discussions with the FCA as the activities of PayCorp were not of a nature that required authorisation by the FCA and any such notice was erroneous; the Board can to confirm that the FCA has agreed with this position, and the "Unauthorised" status of PayCorp has been removed from the FCA Register.

The Company's shares remain suspended from trading pending publication of its Report and Accounts for the 18 month period to 31 January 2016. The Board anticipates that it will publish the Report and Accounts before the end of May, and at that point will seek a return from the suspension of trading of its shares on the AIM Market.

Board Changes

The rapid growth of the payments business has inevitably required the Board to review the appropriate management structure to move the company forward. In order to continue building upon the momentum in the payments business already achieved, Phil Jackson will step down from the Board with effect from 20 May 2016 to concentrate on the development of the business, including the integration of the former PayCorp business into Emex, and the establishment and growth of FreePayMaster and BTM in Malta and other locations. 

In order to drive growth and allow operational management the time to dedicate to the Company's commercial development, the Company will be introducing a structure with the Board overseeing an operational committee of the key management ("OpCom"). With effect from 20 May 2016, the Board will consist of:

·      Lord Timothy Razzall - Executive Chairman

·      Andrew Flitcroft - Finance Director

·      Clive Hyman - Non-Executive Director

·      Arno Rudolf - Non-Executive Director

Lord Razzall will temporarily hold the position of Executive Chairman while the Company seeks a new Chief Executive to help build the next stage of Boxhill's development.  On the appointment of a new Chief Executive, he will revert to Non-Executive Chairman. Further details about the OpCom, which includes Phil Jackson and James Rose (who heads the Company's lottery operations), will be released in due course.

Clive Hyman joins the Board as a Non-Executive Director and brings with him over 30 years of experience as a financial professional, working with companies involved in many sectors and industries.  Clive is a Fellow of the Institute of Chartered Accountants in England & Wales, having practiced at KPMG from 1983 to 2005, becoming a Partner in 1995.  Since leaving professional practice, Clive has been a director of a number of companies, both quoted and unquoted, and brings significant expertise in matters of corporate governance, capital markets and business strategy.

Additional information on Clive Hyman

Clive Mark Hyman, aged 54, is, or has been, a director or partner of the following entities within the past five years:

There are no further disclosures to be made in relation to Clive Mark Hyman under Schedule Two, paragraph (g) (i)-(viii) of the AIM Rules for Companies.

Arno Rudolf also joins the Board as a Non-Executive Director.  Arno is a Fellow of the Association of Chartered Certified Accountants, and has a varied and successful commercial career over some 50 years.  He has built and sold several businesses in different sectors, most recently a successful debt recovery business focussed on the bloodstock and horse racing industry.

Additional information on Arno Rudolf

Arno Rudolf, aged 78, is, or has been, a director or partner of the following entities within the past five years:

Arno Rudolf was a director of Regents Park Linen Hire Limited, which was placed into creditors' voluntary liquidation in April 1998 and has subsequently been dissolved. He was also a director of G.M. Containers Limited which was placed into creditors' voluntary liquidation in December 2003 and subsequently dissolved.

There is no further information required in accordance with Schedule Two, paragraph (g) (i)-(viii) of the AIM Rules for Companies.

For further information contact:

Boxhill Technologies PLC                                                                   020 7493 9644     

Philip Jackson, CEO

Website www.boxhillplc.com

Allenby Capital Limited (Nomad & Broker)                               

John Depasquale/Nick Harriss/ Richard Short                                           020 3328 5656