20 October 2017

Elektron Technology plc

("Elektron" or the "Company")

Sale of Sheen Instruments Limited

Elektron Technology plc (AIM:EKT, "Elektron" or the "Group"), the global technology group, has completed the sale of its wholly owned subsidiary, Sheen Instruments Limited ("Sheen"), to Industrial Physics Inc.  The transaction was executed through Industrial Physics' Dutch subsidiary, Büchel B.V., for a total gross consideration of approximately £1.2 million cash of which £1.1 million was received on completion and approximately £0.1 million is due in October 2018 subject to any adjustment for unforeseen liabilities. Industrial Physics is a platform company of Union Park Capital, a US-based private equity firm specializing in industrial technology.

Sheen is a leading manufacturer and supplier of inspection and testing instruments used in the paint, coating, automotive and other industries.

In the year ended 31 January 2017 the sales of Sheen were £2.6 million and 'Brand Contribution' was £0.2 million. Brand Contribution is an internal measure of profitability before the allocation of certain Group pooled costs such as finance, information technology and human resources. After making a deduction for a fair share of these costs the Board estimates Sheen's operating profit to be £0.1m million for the year ended 31 January 2017.

The cash proceeds will be used by Elektron for working capital purposes. The disposal will be dilutive of earnings initially but the Board expects to improve the performance of the remaining businesses.

The disposal is part of the Group's rationalisation of its portfolio, further focusing its investment on its remaining businesses namely Bulgin, Checkit, Elektron Eye Technology and Queensgate.

Enquiries:

Notes to Editors

Elektron conceives designs and markets innovative engineered products and services for businesses that connect, monitor and control. We have a multi skilled team of engineers, software and product line specialists based in Cambridge focused on the opportunities created by global trends in the following areas:

- Demand for ubiquitous power and data: Bulgin

- New waves of "aware" business applications: Checkit

- The effect of ageing on sight: Elektron Eye Technology

- Growth in high precision manufacture: Queensgate