Aqua Bio Technology — Capital/Financing Update 2020

Aug 25, 2020

AQUA BIO TECHNOLOGY ASA: RESOLUTIONS TO INCREASE THE SHARE CAPITAL - FURTHER INFORMATION ABOUT THE SUBSEQUENT OFFERING

AQUA BIO TECHNOLOGY ASA: RESOLUTIONS TO INCREASE THE SHARE CAPITAL - FURTHER INFORMATION ABOUT THE SUBSEQUENT OFFERING

Reference is made to the stock exchange notices announced on 18 August 2020

regarding the successful placing of a private placement with gross proceeds of

NOK 10.5 million (the "Private Placement") and a private placement with gross

proceeds of NOK 2.13 million (the "Private Placement II"). In order to reduce

the dilutive effect of the Private Placement and the Private Placement II, the

Board of Directors of Aqua Bio Technology ASA ("ABT" or the "Company") also

decided to initiate a subsequent offering of new shares towards eligible

shareholders (the "Subsequent Offering").

The Board of Directors has today resolved share capital increases in connection

with the Private Placement II and the Subsequent Offering, as further detailed

below.

In connection with the Private Placement II, the Board of Directors has resolved

to increase the share capital with NOK 1,065,000 through issuance of 426,000 new

shares, each with a par value of NOK 2.50. The subscription price for the new

shares is NOK 5 per new share, and the new shares are expected to be delivered

to the subscribers on or about 17 September 2020. For further information,

please refer to the stock exchange notices from the Company dated 17 and 18

August 2020.

In connection with the Subsequent Offering, the Board of Directors has resolved

to increase the share capital with minimum NOK 2.50 and maximum NOK 1,263,000

through issuance of minimum 1 and maximum 505,200 new shares (the "Offer

Shares"). Each Offer Share will be offered at a price of NOK 5.

The Subsequent Offering is directed towards the shareholders of the Company as

of 17 August 2020, as registered in the VPS on 19 August 2020, except (i)

shareholders that were invited to subscribe for Offer Shares in the Private

Placement and the Private Placement II, and (ii) shareholders who are resident

in a jurisdiction where such offering would be unlawful, or would require any

prospectus filing, registration or similar action (the "Eligible Shareholders").

Each Eligible Shareholder will be granted non-transferable subscription rights

that, subject to applicable law, provide preferential rights to subscribe for

and be allocated Offer Shares. Each Eligible Shareholder will receive 0.17316

subscription right per share registered as held in the VPS as of 19 August

2020. Granted subscription rights will be rounded up to the nearest whole

subscription right. Each whole subscription right will give the right to

subscribe for one (1) Offer Share.

Subscription without subscription rights will not be permitted in the Subsequent

Offering, except that subscribers who participated in the Private Placement and

the Private Placement II may subscribe for unsubscribed Offer Shares based on

their pro rata subscription of the total number of shares subscribed in the

Private Placement and the Private Placement II. Oversubscription will not be

allowed in the Subsequent Offering.

The subscription period in the Subsequent Offering will commence on 27 August

2020 at 09.00 hours CEST and expire on 10 September 2020 at 16.30 hours CEST.

Further information and subscription documents will be distributed to the

Eligible Shareholders in connection with the start of the application period.

For further information, please contact Espen Kvale, CEO, telephone

+47 9162 8092.

Aqua Bio Technology (ABT) is developing and commercializing sustainable

biotechnology for use in skin care products. ABT's cosmetics ingredients are

highly effective and they provide the cosmetics industry with natural

alternatives to traditional ingredients. ABT is also marketing and distributing

natural skin care products developed by partners towards consumers and

professional users.  ABT's focus on commercialization and development of natural

ingredients and natural skin care products has been, and will continue to be, an

important part of the company's strategy going forward. Aqua Bio Technology is

listed on the Axess market of the Oslo Stock Exchange.

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.