(Alliance News) - Hertsford Capital PLC on Tuesday confirmed the acquisition of OTAQ Group Ltd, a marine technology company.
Hertsford, a cash shell, in February announced heads of terms to buy OTAQ. Shares were suspended at the time as the deal is considered a reverse takeover.
Shares remain suspended, last quoted at 10.25 pence each.
The company said Tuesday it will be issuing 21.5 million shares to the sellers at 57.5 pence each, giving OTAQ a value of GBP12.4 million. As part of the deal, Hertsford will be changing its name to OTAQ PLC.
The acquisition needs the approval of Hertsford shareholders, with a vote to take place on March 27 in London.
OTAQ provides marine technology to the global aquaculture and oil & gas industries. It has "multiple" acoustic deterrent systems in Scotland, Chile, Finland, and Russia, which deter seals from attacking aquaculture sites.
Hertsford also said it would be raising GBP1.5 million in a placing of 2.6 million shares.
Hertsford is planning a number of board changes, it also said. Chair Harry Hyman and Chief Executive Rodger Sargent will resign, with Non-Executive Director Alex Hambro taking over as non-executive chair. Non-Executive Director Sarah Gills will remain in her role.
Philip Newby has been named CEO-designate. He is currently OTAQ CEO, a role he has held since March 2016.
Simon Walters has been appointed chief financial officer-designate. He has previously been finance director at a number of listed firms such as AFC Energy PLC and bookmaker Neville Porter.
George Watt will be joining as a non-executive director. He is currently the chair of Spaceandpeople PLC, an AIM-listed media and retail services firm.
By George Collard; georgecollard@alliancenews.com
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