yep £25 waiting to invest12 Jul 2017 15:19
News
Grand Group Investment PLC
("Grand Group", the "Company" or the "Group")
Final Results
Grand Group Investment PLC (AIM:GIPO), a provider of expansion capital and value added services to China-based SMEs with high growth potential, today announces its audited Final Results for the period from 1 January 2016 to 31 December 2016 (the "period").
For further information:
Grand Group Investment PLC
James Newman, Non-Executive Chairman
Tel: +44 (0) 20 7398 7714
Yang Xiao, Executive Director
www.grandgroupplc.com
ZAI Corporate Finance Limited
Ray Zimmerman / Ruby Qu (Nomad)
Tel: +44 (0) 20 7060 2220
Andrew Wilson (Broker)
www.zaicf.com
CHAIRMAN’S STATEMENT
2016 was an eventful and challenging year. I refer you to the announcement of 30 September 2016 for a detailed explanation of the events leading to the delay in issuing both the 2015 audited financials and the 2016 interim statements.
As notified on 30 September 2016, the company disposed of its two investments: Victory and JXT. These disposals triggered paragraph 5.6 (sub-paragraph 2) of the AIM Note for Investing Companies, and as such the company became treated as an AIM Rule 15 cash shell. In accordance with AIM Rule 15, the company has until 30 September 2017, approximately 3 months from now, either to implement the current investing policy or to make an acquisition which would be considered a reverse takeover under the AIM Rules. If the company is unable to do so it will be suspended again, this time pursuant to AIM Rule 40.
The company started 2017 with a virtually clean slate, having sold its investments. As of 2016 year end, proceeds from the sales of Victory and JXT investments have been coming in on time, and cash had grown to RMB 140.8 million. As of the end of April, funds continued to arrive on time and total (unaudited) cash was RMB 221.2 million – approximately £25 million. No new investments have yet been made with the proceeds.
The group has much to do in 2017 - notably finishing collecting the proceeds from the investment exits, but as importantly developing the pipeline of investment opportunities and investing by the September 30 deadline.