Accsys Technologies PLC ("Accsys" or "the Company")
. Accsys to raise €17 million through the issue of new Ordinary Shares
Accsys today announces that it proposes to raise approximately €17 million before expenses by means of a subscription by institutional investors and certain Directors and senior managers of the Company for 34,744,134 new ordinary shares of €0.01 each in the capital of the Company (the “new Ordinary Shares”) (the “Subscription”) at a price of €0.4865 per share (the “Subscription Price”).

The Subscription Price is the volume weighted average trading price of the Company’s ordinary shares for the two weeks ended 4 December 2009 and represents a discount of 2.7 per cent. to the closing market price of an Accsys share on 7 December 2009 of €0.50 per share. The new Ordinary Shares will, when issued, rank pari passu with the existing Ordinary Shares.

On completion of the Subscription, the Company will also issue a further 8,221,994 ordinary shares (the “Loan Shares”) at the Subscription Price to discharge the Company’s obligations under the convertible loan (€4,000,000) referred to in the Company’s Half Yearly Report announced on 17 November 2009. The convertible loan holder has also participated in the Subscription and has waived its option, announced on 17 November 2009, to subscribe for an additional €2,000,000 convertible loan.

The new Ordinary Shares and the Loan Shares will together represent approximately 21.6% of the enlarged issued share capital of the Company.

The Subscription is conditional on, inter alia, Accsys shareholders approving the issue of the new Ordinary Shares and the Loan Shares at a general meeting of the Company, which is expected to be held in January 2010 (the “General Meeting”), and the admission of the new Ordinary Shares and the Loan Shares to trading on AIM and NYSE Euronext Amsterdam (“Admission”). Admission and completion of the Subscription are expected to take place at the end of January 2010 once a prospectus has been filed with the United Kingdom Listing Authority.

Commitments from subscribers have already been received by the Company in respect of the new Ordinary Shares.

Two Directors of the Company, Paul Clegg and Kevin Wood, have committed to subscribe for 41,110 and 10,000 new Ordinary Shares, respectively, at the Subscription Price, to be allotted at the completion of the Subscription. Following Admission, Paul Clegg and Kevin Wood will have an interest in 41,110 and 10,000 new Ordinary Shares respectively, representing 0.02 and 0.005 per cent. respectively of the enlarged issued share capital of the Company.

The net proceeds of the Subscription will be used for several purposes, which include supporting production and sales of Accoya® wood out of the Company’s plant in Arnhem, advancing the production of panel products using the Company’s proprietary technology to a commercial scale and providing working capital to meet the Company’s short and medium term requirements.

Paul Clegg, Chief Executive Officer of Accsys, said, "The strengthening of our financial position through this fundraising is a significant step. We have made great strides over the past few months in expanding our global network of distributors, building the Accoya® wood brand and raising awareness within the industry that our product has the high performance of a hard wood whilst being fully sustainable. We strongly believe that this will fuel greater licensing opportunities.

“The results of this are already being seen, with demand at our Arnhem facility during the months of October and November reaching its highest level to date and increasing levels of interest from potential licensees. I am delighted to welcome our new shareholders at this extremely exciting stage of the Company’s development.”