LONDON (Alliance News) - Zamano PLC on Friday said that it withdrew from its existing business lines and is in talks with a potential investor to develop new business.
The mobile applications and services provider has been hit by significant regulatory changes to its business with the arrival of PayForIt, a UK mobile network operators joint initiative to regulate mobile payments.
Since its introduction Zamano said it has seen a significant hit to its business performance, and regulatory changes also came into effect in Ireland in 2017, which resulted in the immediate disposal of Zamano's operating business and assets to Kilavan Holdings Ltd at the end of June last year.
As a result, the company's 2017 results reflect six months operating activities as a cash shell investing company, as it had not completed a transaction which would enable it to restart trading following the disposal.
Revenue decreased to EUR4.3 million compared with EUR32.1 million in 2016. However, pretax loss narrowed to EUR1.3 million from EUR5.2 million the prior year. The company said that the loss was mainly associated with a loss on disposal of operations.
Administrative expenses also fell significantly year-on-year to EUR2.2 million from EUR9.3 million.
Zamano's shares were suspended on both London and Irish markets from March 9.
Looking ahead, the company said it is in discussions with "one party" to acquire certain operating assets in return for the issue of new shares in Zamano which will constitute a reverse takeover transaction. The company said it also intends to raise new capital through share placing to a new investor. These funds will be used to develop the new business, Zamano said.
