Trading Statement

1 March 2018

K3 CAPITAL GROUP PLC

("K3", the "Company" and including its subsidiaries, the "Group")

K3 Capital Group plc, a leading business and company sales specialist in the UK, is pleased to announce a trading update.

Performance across all operating divisions within the Group has continued to be strong since the interim results released on 16 January 2018. In line with the stated business strategy of winning and transacting higher value and more profitable mandates, the Company is pleased to announce that KBS Corporate Finance has completed another significant private equity transaction, amongst a number of other recent successful transactions across the Group.

As a result, the Company is trading substantially ahead of management's expectations for the year ending 31 May 2018. Whilst only at the end of the third quarter of its financial year, the Group has already demonstrated significant year-on-year growth across all key metrics, including revenue, profitability and cash flow. The Group now expects full-year revenue to be c. £16m, and anticipates achieving an EBITDA of c. £7m.

The Company continues to see year-on-year growth in KPIs and has a record pipeline of transactions for the current year and beyond, although neither the completion nor timing of these pipeline transactions can be guaranteed.

The Company looks forward to providing a more detailed update following the Company's financial year end.

John Rigby, CEO, commented:

"The completion of this significant deal demonstrates the Group's ability to attract the highest bidder for our clients. We are thrilled to have completed this landmark transaction and look forward to increasing our deal-flow in this higher-value sector of the market.

"We focus on strategically positioning our clients' businesses to maximise the value from a transaction. To ensure a competitive process, we regularly adopt a dual track sales approach to involve strategic trade buyers, PLCs, private equity and family offices. We have completed many transactions with UK and overseas PE houses as well as several with family offices in Europe and Canada over the last few years as we continually strive to find the optimal outcome for our clients. We are confident that this approach will continue to assist us in attracting higher value mandates and in turn delivering successful outcomes for our clients. We look forward to updating the market with more details after the Group's year-end." 

-ENDS-

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About K3 Capital

K3 Capital Group plc is a leading business sales and brokerage firm headquartered in Bolton with operations throughout the UK. It acts for vendors of businesses from c. £50,000 to c. £100 million through its three trading subsidiaries Knightsbridge, KBS Corporate, and KBS Corporate Finance. K3, through its trading subsidiaries, has received a number of adviser awards, most recently retaining its number 1 position in the FY 2017 Thomson Reuters Small-Cap Financial Advisory Review.

K3 Capital operates a disruptive business model with a direct marketing approach to client acquisition, using incentivised and experienced salespeople rather than advisory teams, while its highly visible online presence and proprietary online business valuation portal generates further leads. This innovative model, combined with a continuing strategy towards targeting higher value clients, are key drivers for growth and profitability.

The Group also offers all clients fully contingent and inclusive legal fees through its partner relationship with Gateley plc.

K3 Capital Group trades on the London Stock Exchange (AIM: K3C.L), having listed on 11 April 2017. Please visit www.k3capitalgroupplc.com for more information.