AIM: KBT

K3 BUSINESS TECHNOLOGY GROUP PLC

("K3" or "the Company" or "the Group")

Board Change

K3, which provides mission‐critical business software and cloud solutions, announces that having managed the recent successful disposal of Starcom Technologies Limited, which has substantially strengthened the Company's financial position, and with the Company moving into a new phase of development, Adalsteinn Valdimarsson is stepping down as Chief Executive Officer and leaving K3. 

Chairman Tom Crawford assumes the role of interim Chief Executive Officer until the recruitment of a successor completes, a process that is already under way. These Board changes take immediate effect.

Adalsteinn joined the Company in 2016, initially as a non-executive director, and was subsequently appointed as Chief Executive Officer. He led a fundamental restructuring of the Company, and refocused its strategic direction to develop own-IP and the K3|Imagine software platform as the foundation for corporate and customer growth. The Board would like to thank him for his significant contribution and committed leadership, and wishes him every success in his new ventures. 

As previously announced, K3 will report final results on 30 March when it also expects to provide a further update on the recruitment process.

Adalsteinn Valdimarsson, outgoing Chief Executive Officer, said,

"K3 has significant growth potential and with the business on a firm financial footing, I am confident that it will thrive under new leadership.  I would like to thank all my colleagues for their commitment to the Group, and wish them every success for the future as they take the business forward."   

Tom Crawford, Chairman and interim Chief Executive Officer, said,

"Adalsteinn has made a significant contribution to K3 over the last five years, and shown tremendous dedication. He is respected by the Board and staff alike, and we would all like to thank him for his hard work and commitment. 

"K3 is entering a new phase of development and we expect to be in a position to announce the results of our recruitment process in March with results." 

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the company's obligations under Article 17 of MAR.

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