RE: 15-01 20156 Feb 2015 22:20
Do you lot not read RNS before investing, seriously you need to do your due diligence before you part with your hard earned cash. Then you have Pis complaining about being shafted. The companies progress in acquisition is all in the last RNS how could you guys miss that??
Convertible Loan Agreement; Update on Invt Policy
Thu, 15th Jan 2015 07:00
RNS Number : 1882C
Verdes Management PLC
15 January 2015
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Verdes Management PLC ("Verdes" or the "Company")
Convertible Loan Agreement and Update on Implementation of Investing Policy
15 January 2015
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The Board of Verdes Management PLC (AIM: VMP) is pleased to confirm it has signed a new convertible loan agreement ("Agreement") to provide up to £250,000 of loan capital (the "Loan") to the Company. Details are set out below.
Investing Policy update
As the Company has no trading business, nor any investments which generate income, the Company is still regarded as an "investing company" under the AIM Rules for Companies ("Rules"). It has until 14 February 2015 to make an acquisition or acquisitions which constitute a reversetakeover under AIM Rule 14 or otherwise implement its investing policy ("Policy") to the satisfaction of the London Stock Exchange, or its shares will be suspended from trading. The Company would then have a further six months to implement this Policy, otherwise its shares would be de-listed from trading on AIM.
The Company has to date reviewed over 20 opportunities to fulfil its Policy. To the Board's frustration it has reached an advanced stage in progressing two successive potential investments during 2014, each of which fell down late in the process. The Company is currently about to commence due diligence on a further promising investment which would constitute a reverse takeover under the Rules and which, if terms are agreed, the Board believes will meet the criterion. The Company has not as yet signed heads of terms, so it is premature to be able to confirm details of this potential transaction.
Cash and working capital position
The costs relating to the aborted transactions referred to above, together with the on-going operating costs of the Company, means that at 31 December 2014 the Company's cash balances have reduced to approximately £121,000 (unaudited). The Board believes that the funds received by the Company from the Loan will provide working capital for the Company and defray costs involved with implementing its Policy
Terms of the Loan
The Loan has the following principal terms:
Lender: the Loan is being provided by Helium Rising Stars Fund ("Helium" or "the "Lender"), a substantial shareholder in the Company.
Principal: £250,000.
Draw down: the Loan will be drawn down by the Company immediately upon signing of the Agreement.
Premium: a