(Alliance News) - Lottery and e-commerce operator St James House PLC said on Thursday it is working to receive GBP500,000 in subscription funds owed by Auxilum Investere SJ Ltd.
Auxilum is a UK company controlled by a Michael and Linda Peters.
In January, Windsor-based St James House said Auxilum subscribed for 1.7 million shares at 30 pence each, thereby acquiring a 30% stake.
The stock was trading 4.0% lower at 36.00p each on Thursday afternoon in London.
The company had welcomed the subscription having earlier warned about constraints on its working capital. "This incoming investment means that our working capital position is significantly improving," Chief Executive Graeme Paton said at the time.
However, on Thursday, St James House said it has not received the funds despite requesting payment. It added that it is in discussion with Auxilum's sole director, Michael Peters, who has provided assurance that the GBP500,000 will be paid.
"Peters has provided personal surety for the monies due, and the board remain confident that the funds will be received, and all options to ensure receipt will be pursued."
The company said its working capital remains constrained but reported improvement in its operating revenues.
In October, St James House said revenue for the six months to July 31 fell by 23% year-on-year to GBP422,000 from GBP550,000, with pretax loss stretching to GBP1.3 million from GBP668,000.
By Ife Taiwo; ifetaiwo@alliancenews.com
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