RMMIC Update

12 July 2018

LEI: 2138005C7REHURGWHW31

River and Mercantile Group PLC ("the Company")

River and Mercantile UK Micro Cap Investment Company Limited

River and Mercantile Group PLC (the "Company") announces that it has been informed by the Board of River and Mercantile UK Micro Cap Investment Company Limited ("RMMIC") that RMMIC intends to implement a partial compulsory redemption of shares in RMMIC in accordance with the prospectus published at the time of RMMIC's IPO in November 2014. RMMIC intends to return approximately £12 million, less the costs of the redemption, to its shareholders at a price based on RMMIC's NAV per share at the close of business on 6 July 2018. Further detail of the RMMIC partial compulsory redemption is available in the RMMIC RNS of 11 July 2018 (RNS Number 3625U).

The Company's subsidiary River and Mercantile Asset Management LLP ("RAMAM") is the appointed investment manager of RMMIC. RAMAM is entitled to receive a performance fee based on the amount by which RMMIC's investment portfolio outperforms the total return of its benchmark when RMMIC implements a compulsory redemption of shares. Accordingly, as a result of the substantial outperformance delivered for shareholders of RMMIC, RAMAM is due to receive a performance fee of approximately £1.98 million, following the compulsory redemption of the RMMIC shares.

George Ensor, Portfolio Manager commented:

"The returns that have been delivered demonstrate the ongoing execution of our investment philosophy, PVT, and process, both of which remain unchanged not only since the Trust's IPO but since the founding of the River and Mercantile Equities business. The capital return highlights the Board's focus on the discount and willingness to use the tools at their disposal. Finally, and importantly, the return reinforces our opinion that this is a necessary process for the Trust to remain appropriately sized for the universe in which it is investing."

James Barham, CEO of River and Mercantile Asset Management commented:

"George has been critically involved in delivering exceptional performance since the Company's IPO in 2014 and I am delighted to see the strong investment returns generated for shareholders continue under his precise stewardship. He continues to apply the PVT process in a clear and consistent manner to the benefit of shareholders".

This announcement includes inside information as defined in Article 7 of the Market Abuse Regulation No. 596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.

Sally Buckmaster

Company Secretary

River and Mercantile Group PLC

For further information please contact:

River and Mercantile Group PLC +44 (0)20 3327 5100