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Placing of New Ordinary Shares to raise gross proceeds of approximately £6.1 million StatPro to accelerate investment in Cloud offering

StatPro Group plc, (AIM:SOG), the AIM listed provider of portfolio analysis and asset pricing services for the global asset management industry, is pleased to announce that it has today entered into a placing agreement with Cenkos Securities plc to raise approximately £6.1 million (before expenses) through the placing of 6,059,613 ordinary shares of 1p each in the capital of the Company ("Placing Shares") at a price of 101 pence (the "Placing Price") per Placing Share (the "Placing") with management and institutional shareholders. Directors and senior management are subscribing for approximately £0.2 million to the Placing.

The Placing Shares, which were conditionally issued under the authority granted to the directors at the Company's last Annual General Meeting held on 2 May 2012, represent approximately 10 per cent. of the existing issued share capital of the Company.

Objectives of Placing and Uses of Funds

The board of directors (the "Board") believes that the growing pace of client sign up to StatPro Revolution, its cloud-based service, is indicative of the current market opportunity and intends to use part of the proceeds from the Placing to accelerate investment in its cloud-based technology offering. Whilst this may marginally reduce projected profits in 2013 and 2014, it is the Board's view that this increased investment is in the long-term interests of the shareholders.

The net proceeds of the Placing will be used primarily for working capital purposes, to bring forward implementation of the Company's growth strategy through accelerating development of StatPro Revolution, strengthening its client services and sales teams, increasing its marketing and fund administrator and partner distribution network and for the purchase of data sources. The Placing proceeds will initially be used to reduce the Group's debt.

Further trading update

Since the Company's Q3 trading update issued on 18 October 2012, the Group has continued to trade well and as at the end of October 2012 had signed up 146 clients for StatPro Revolution, generating recurring annual revenue of £1.25 million (US$2.0 million). The Company is focussing its efforts on partnering with Fund Administrators and currently £0.65 million (52%) of StatPro Revolution revenue is from Fund Administrators.

Total annualised recurring software revenue from clients who have contracted for StatPro Revolution (including Seven revenue) amounts to £3.87 million, which equates to approximately 16% of total software revenue of £24.57 million. The Group also has annualised data revenue amounting to £4.80 million. All figures are as at the end of October 2012 at month end exchange rates.

Directors' interests

The directors are subscribing for 113,861 of the Placing shares. Following the Placing, the directors' beneficial interests will be as follows:

Ordinary Shares Beneficially Owned

Placing

Placing

Resulting number of

% of enlarged share

Cash £

shares

shares

capital

JMBT Wheatley

Chief Executive

50,000

49,505

7,329,672

10.86%

MC Adorian

Non-executive director

-

-

2,645,698

3.92%

CR Bacon

Non-executive Chairman

25,000

24,752

793,752

1.18%

MC Fairbairn

Non-executive director

-

-

779,834

1.16%

AM Fabian

Finance director

15,000

14,852

264,647

0.39%

SJ Clark

Non-executive director

-

-

-

0.00%

JE Tozer

Non-executive director

25,000

24,752

24,752

0.04%

Total

115,000

113,861

11,838,355

17.54%

In addition to the above interests, JMBT Wheatley has an indirect interest in 93,000 ordinary shares in a family trust being a trustee and potential beneficiary of the trust,

Application has been made for the 6,059,613 Placing Shares to be admitted to trading on AIM ("Admission"). Admission of the Placing Shares is expected to occur on 14 November 2012. The Placing Shares will rank pari passu with the existing ordinary shares in the share capital of the Company. Following Admission, StatPro will have 67,703,650 ordinary shares in issue, including 225,000 ordinary shares held in treasury. The total of 67,478,650 ordinary shares may therefore be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or change in their interest in, the share capital of the Company under the FSA's Disclosure and Transparency Rules.

Commenting on the placing Justin Wheatley, Chief Executive of StatPro Group, said: "I am delighted with the strong level of support we have received from our shareholders. The Placing will provide StatPro with funding to accelerate our development programme for StatPro Revolution and StatPro Revolution Plus, enabling us to capitalise on what we believe to be a significant current market opportunity."