COVID-19 Update

24 March 2020

Cake Box Holdings plc

("Cake Box" or the "Company" or the "Group")

COVID-19 Update

Cake Box Holdings plc, the specialist retailer of fresh cream cakes, notes the statement issued by the UK Government in relation to COVID-19 yesterday evening. In light of this statement and to protect our staff, franchisees and customers and also to help relieve any further pressure on our NHS during this crisis, the Group confirms that it is informing all of its franchisees that the Group's franchise stores should be shut until government advice changes.

Cake Box confirms that trading to date has been in line with its expectations for the financial year to 31 March 2020. Given it is not currently possible to know how long the Group's franchise stores will remain closed for, the Group is unable to quantify the full impact of COVID-19 at this stage on its business. As well as lost revenue from the Group's franchise stores, there may also be an impact on the timing of new franchise store openings although the current pipeline remains strong.

Cake Box has a strong balance sheet with a current cash balance of c£4m.The Group's only debt is mortgage debt of £1.6m secured by its freehold properties in Enfield and Coventry. The Group operates a franchise model and therefore has relatively low levels of fixed costs and will take all appropriate measures to conserve its cash during this period. The Group notes and appreciates the various actions taken by the UK Government to support businesses and employees during these challenging times and will assess how best to utilise these while the Group's stores remain closed.

The Group will provide all possible and appropriate support to its franchisees during this challenging period.

For further information, please contact: