July 2020 Midatech Pharma PLC ("Midatech" or the "Company") Broker Option Fully Exercised and Total Voting Rights Midatech Pharma PLC (AIM: MTPH.L; Nasdaq: MTP), a drug delivery technology company focused on improving th

("Midatech" or the "Company")

Broker Option Fully Exercised

PLC (AIM: MTPH.L; Nasdaq: MTP), a drug delivery technology company focused on improving the bio-delivery and biodistribution of

medicines, announces that it has raised 0.75 million (before expenses) pursuant to a Broker

Option following the completion of the UK Placing. The result of the UK Placing of 18,518,518 Placing Shares at an Issue Price

of 0.27 per share was announced earlier today. The UK Placing was significantly oversubscribed and brings new UK institutions

into the Company's shareholder base.

Company granted an option to Turner Pope under the Placing Agreement to enable them to deal with additional demand under the UK

Placing in the event that requests to participate in the UK Placing from qualifying investors were received during the period from

the time of the announcement of the UK Placing to 8.00 a.m. on 27 July 2020 up to a maximum of 0.75 million. Turner Pope

has exercised the Broker Option to the maximum extent in respect of 2,777,777 Broker Option Shares at the same price as the UK

the total number of New Ordinary Shares to be issued by the Company pursuant to the UK Placing and the Broker Option is 21,296,295.

The aggregate gross proceeds of the UK Placing and the Broker Option is 5.75 million. Aggregate proceeds, net of expenses,

are expected to be 5.28 million.

for Admission to trading on AIM

Subject to all conditions being met, application

will be been made for 21,296,295 New Ordinary Shares to be admitted

to trading on AIM. It is expected that settlement of the Placing Shares and the Broker Option Shares and Admission will take place

at 8.00 a.m. on or about 3 August 2020 and that dealings in the Placing Shares and, if applicable, the Broker Option Shares will

commence at that time.

When issued the New Ordinary Shares will

be fully paid and will rank pari passu in all respects with the existing Ordinary Shares.

The Company's issued share capital following

the issue of equity noted above, will comprise 60,548,852 ordinary shares of 0.1p each with voting rights. The Company does not

hold any shares in treasury. This figure of 60,548,852 may be used by shareholders in the Company as the denominator for the calculations

by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital

of the Company under the FCA's Disclosure and Transparency Rules.

Capitalised terms used in this announcement

have the meanings given to them in the announcement of the UK Placing earlier today.

Stephen Stamp, Midatech CEO and CFO, said: "I am delighted with the result of the UK Placing and welcome on board our

new shareholders. The oversubscription of the UK Placing followed by full take-up of the Broker Option is a massive vote of confidence

in our new strategy and the progress we have made since we started our strategic review in April."

This announcement contains inside information

for the purposes of Article 7 of EU Regulation 596/2014.

For more information,

in this press release may constitute "forward-looking statements" within the meaning of legislation in the United Kingdom

and/or United States Private Securities Litigation Reform Act. All statements contained in this press release that do not relate

to matters of historical fact should be considered forward-looking statements, including, but not limited to, any payments that

may be received as a result of the strategic review, the success of the research collaboration in developing novel products, statements

regarding the timing and expected closing of the proposed UK Placing and the use of proceeds from the UK Placing.

Reference should be made to those documents

that Midatech shall file from time to time or announcements that may be made by Midatech in accordance with the London Stock Exchange

AIM Rules for Companies ("AIM Rules"), the Disclosure and Transparency Rules ("DTRs") and the rules and regulations

promulgated by the US Securities and Exchange Commission, which contains and identifies other important factors that could cause

actual results to differ materially from those contained in any projections or forward-looking statements. These forward-looking

statements speak only as of the date of this announcement. All subsequent written and oral forward-looking statements by or concerning

Midatech are expressly qualified in their entirety by the cautionary statements above. Except as may be required under the AIM

Rules or the DTRs or by relevant law in the United Kingdom or the United States, Midatech does not undertake any obligation to

publicly update or revise any forward-looking statements because of new information, future events or otherwise arising.