LONDON, UK: Quantum Exponential Limited, a company formed to identify investment opportunities in the quantum technology sector, intends to apply for admission of its Ordinary Shares to trading on the Aquis Stock Exchange Growth Market.

The Company is proposing to raise up to £5 million by way of a placing to investors and a subscription to qualifying shareholders at 5p per ordinary share. Quantum Exponential recently completed a pre-IPO fund raising of £2.5 million and has already secured firm commitments of c £2.3 million towards the Fundraising.

The Company will be admitted to the Access segment of the AQSE Growth Market. Admission is expected during August 2021.

Oberon Capital are acting as sole book runner and broker to the Company and Novum Securities are acting as AQSE Corporate Adviser.

Investment Highlights:

§ Quantum technology has the power to revolutionise traditional technologies and industries, opening new chapters in the realms of artificial intelligence, manufacturing and healthcare

§ Until now public market investors have had no means to gain pure exposure to this exciting new technology; Quantum Exponential provides this opportunity

§ Quantum Exponential will be the first investment company focused solely on quantum technology – investing in quantum communications, quantum sensing, quantum metrology and quantum computing software and components – bringing deep technical know-how and expertise in this field coupled with unparalleled market access, professional portfolio selection and professional due diligence

§ Quantum Exponential’s strategy is to assemble a portfolio of minority investments in leading global quantum technology companies, primarily in NATO allied countries:

§ More than 175 quantum companies screened and over 60 start-ups identified which potentially meet the Company’s investment strategy;

§ Investment co-operation with Notion Capital, a leading VC technology investor;

§ The Directors intend to create an initial portfolio of between eight to ten investments, where there will be likely follow on investments made;

§ Each single investment will have an expected value of between c. £100,000 to £500,000; and

§ The Company has secured an option to acquire shares in Arqit Limited, which is expected to list on NASDAQ in the coming months with an expected pro forma equity valuation of $1.4 billion.

§ The Board of Directors and Advisory Board on Admission will comprise a team that is highly experienced with unparalleled market leading knowledge, experience and contacts in this emerging technology sector which the Company believes will have unique access to deal flow. The Advisory Board includes David Williams, founder of Arqit, and who is well known for his experience in the UK satellite industry including as founder Chairman of Seraphim Space Ventures

§ £2.3 million of the Fundraise raise has been corner-stoned by existing investors.

Martin Schwedler, CEO of Quantum Exponential, commented: “The proposed admission of Quantum Exponential to AQSE is very exciting. This first of its kind investment category will give institutional and private investors access to many forms of technical innovation, which over the next decade is expected to deliver very strong returns for early investors.

“With revenues from quantum computing, which is just one part of quantum technology, forecast to grow from US$472 million in 2021 to US$1.8 billion by 2026, and government spending increasing, I believe now is the right time to gain investment exposure to this growth.

“The admission will enable us to access capital which can accelerate our investment decisions, maximise the opportunity ahead and, we believe, deliver rewards and results for all stakeholders. With a significant amount of money already raised and committed, we look forward to welcoming further new investors at this important time for the Company, and to sharing a highly prosperous future.”

Expected IPO and Fundraising highlights

§ Admission to trading on the Access segment of the Aquis Stock Exchange Growth Market targeted during August 2021

§ Placing to certain institutional investors and a subscription to qualifying investors raising gross proceeds of up to £5 million of which £2.3 million has already been committed

§ Net proceeds raised will primarily be used to acquire minority interests in a number of different companies in the quantum technology sector