(Alliance News) - AIM cash shell Ridgecrest PLC on Thursday said it will cancel trading with effect on Friday due to not being able to secure a reverse takeover within 12 months of the company becoming a cash shell.
Ridgecrest said earlier it was in talks for investing a significant part of its existing cash resources in a hospitality business, with a heads of terms agreement being prepared. The company is now considering buying a minority interest in a franchisee of a high-street hospitality business, which itself is looking to acquire further franchises.
Should the investment go forward, Ridgecrest expects the franchisee to apply for listing on the Access segment of the AQSE Growth Market in 2022, with a valuation in excess of GBP50 million.
Discussions are still in progress, and the company stressed that there was no guarantee that any deal will go through.
Shares in Ridgecrest have been suspended.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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