ESCH8 Aug 2011 08:58
Escher Group Holdings Public Limited Company
First Day of Dealings
Escher Group Holdings Public Limited Company (AIM: ESCH.L, "Escher" the "Group" or the "Company"), a world leading provider of outsourced, point of sale software to the postal industry, is pleased to announce that the Company's shares have today been admitted to trading on the AIM Market of the London Stock Exchange plc under the TIDM code "ESCH" and ISIN Code IE00B6SKRB38.
9,033,097 Placing Shares have been allocated to institutional investors at a price of 170 pence per share raising approximately US$25.0 million (£15.4 million) for the Company before expenses. On admission to AIM a total of 17,033,097 Ordinary Shares were in issue capitalising the Company at approximately US$47.1 million (£29.0 million) at the Placing Price.
The Company's nominated adviser and broker is Panmure Gordon (UK) Limited.
Background on the Group
· Escher is a world leading provider of outsourced, point of sale software to the postal industry. Escher's core software, Riposte, provides a solution for postal authorities which are seeking to counteract a decrease in traditional mail volumes by widening their service offering, reducing cost and increasing efficiency.
· Postal authorities' software requirements have become more complex, leading to a growing trend towards outsourcing. Riposte is already in use in 30 countries and territories worldwide. It is licensed for over 150,000 workstations.
· Substantially all of Escher's existing customers are national postal authorities including An Post in Ireland, Austria Post, Deutsche Post, Norway's Posten and SAPO in South Africa. Long licence and maintenance contracts and repeat business from quasi governmental customers give Escher good visibility of high quality earnings and have increased Continuing EBITDA (as defined in the Admission Document) from US$0.7 million in 2008 to US$4.3 million in 2010 (US$4.6 million net of one-off costs).
· The Company is targeting continued growth through incremental sales to existing customers, new sales within the postal industry, penetration of new vertical markets and through the launch of its revolutionary new product, RiposteTrEx.