Jeffries sells 50 million shares20 Jan 2020 12:08
Sells 1/5 of his holding and entering into convertible loan agreement.
Quote:
In addition, the Company announces that its controlling shareholder, Christopher Jeffries, has agreed to sell 50,000,000 ordinary shares of 1p each that he holds in the capital of the Company to third party purchasers procured by its broker, Novum Securities Limited, at 1p per share ("Sale"). On completion of the Sale, Christopher Jeffries will hold 200,000,000 ordinary shares of the Company, representing 46.28 per cent of the Company's issued share capital.
Christopher Jeffries and the Company have entered into a convertible loan note, pursuant to which the net proceeds of the Sale, amounting to £400,000 (after tax, costs and commission), will be provided to the Company as subscription amount for convertible loan notes ("Notes"). The Notes will be convertible into ordinary shares of 1p each in the capital of the Company at Christopher Jeffries' option, at any time, subject to, among other things, the Company not being required to publish a prospectus in connection with the issue of shares on conversion of the Notes and no obligations under Rule 9 of the City Code on Takeovers and Mergers being triggered by such issue of shares. Unless previously repaid or converted, the Notes will be redeemed at par by the Company on the fifth anniversary of the convertible loan note. The Notes will bear a zero coupon.