Chalkstream Investment Company plc

October 16, 2015 10:11 ET

Proposal to Withdraw from ISDX Growth Market

                                    CHALKSTREAM INVESTMENT COMPANY PLC
                                     ("Chalkstream" or the "Company")

                              Proposed Withdrawal from the ISDX Growth Market

Chalkstream  announces  that the Company is today giving notice of its intention to withdraw  its  ordinary
shares  of 0.1p each in the Company ("Ordinary Shares") from trading on the ISDX Growth Market with  effect
from the close of business on Friday, 14 November 2015 (the "Withdrawal").

This announcement sets out the reasons for the Withdrawal and explains why the Directors believe that it is
in the best interests of the Company and its shareholders.

Background to and the reasons for the Withdrawal

Chalkstream  was established by the Directors as an ISDX Growth Market investment vehicle. The Company  was
listed  on  ISDX  in  May  2013. The Directors believed that there were a number of potentially  attractive
opportunities  within  small and medium size enterprises in the UK with strong management  and  significant
growth  opportunities  and  decided to seek an ISDX Growth Market trading facility  for  a  new  investment
company to look to make either a reverse acquisition or an investment in this area.

However  after  in  excess  of  two years, despite the Board evaluating a significant  number  of  possible
acquisitions,  the  Company  was unable to find a target which the Board felt would  significantly  enhance
shareholder value.

Accordingly,  the Company is today notifying the ISDX Growth Market of its intention to withdraw  from  the
market  and it is anticipated that trading in the Ordinary Shares on the ISDX Growth Market will  cease  at
the close of business on Friday, 14 November 2015.

Effect of the Withdrawal on Shareholders

The  principal effect of the Withdrawal is anticipated to be a reduction in the liquidity and marketability
of  the Ordinary Shares. There would no longer be a formal market mechanism enabling shareholders to  trade
their  Ordinary  Shares on the ISDX Growth Market or any other recognised market or  trading  exchange.  No
dealing and settlement arrangements will be in place following the withdrawal from ISDX.

Following  the  Withdrawal,  the Company will no longer be required to comply  with  any  of  the  specific
corporate governance requirements for companies admitted to trading on the ISDX Growth Market. In addition,
Alfred  Henry Corporate Finance Limited will cease to be the Company's ISDX Corporate Adviser and the  ISDX
Growth  Market  - Rules for Issuers will no longer apply to the Company. The Company will, however,  remain
subject to the City Code  on  Takeovers  and Mergers.

It  is  the  Directors' current intention to in due course liquidate the Company and return  the  remaining
funds to shareholders.

Withdrawal process and Shareholder Undertakings

Under the ISDX Growth Market - Rules for Issuers, the Company must announce an intention to  withdraw   its
securities  from  the  ISDX Growth Market, with any withdrawal of shares ordinarily being  conditional   on
the  approval  at  a General Meeting by shareholders representing 75 per cent of the votes cast in  respect
of  each class of securities.

However,  ISDX has granted the Company a derogation from the requirement to convene a General  Meeting  and
obtain  shareholder approval for the Withdrawal on the grounds that shareholders who have  been  approached
and  who in aggregate hold approximately 81.3% of the shares eligible to vote at a General Meeting  of  the
Company,  have undertaken that they would vote in favour of any resolution to approve the Withdrawal.   The
shareholders who have given these undertakings are as follows:

Shareholder                                            Number of      % of Issued
                                                 ordinary shares    Share Capital

Dominic Buch                                         400,000,000           49.69%
Hargreave Hale Nominees Limited                       50,000,000            6.21%
Minevco Limited                                       75,000,000            9.32%
Andrew Tuckey                                         50,000,000            6.21%
James Emslie                                          30,000,000            3.73%
Robert Ware                                           25,000,000            3.11%
Smith & Williamson Nominees Limited                   25,000,000            3.11%
                                                     655,000,000           81.37%

Accordingly,  the  Company is simply required to give 20 business days' notice of the intended  Withdrawal,
which will take effect from the close of business on Friday, 14 November 2015.

The Company accepts responsibility for the contents of this announcement.

For further information please contact:

Dominic Buch
Chalkstream Investment Company PLC

Jon Isaacs and Nick Michaels
Alfred Henry Corporate Finance Limited
Tel:  +44 (0) 20 7251 3762

Contact Information

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