6 Dec 2022 14:29
The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
6 December 2022
7digital Group plc
("7digital" or "the Company")
Further Shareholder Loan
7digital (AIM: 7DIG), the global leader in B2B end-to-end digital music solutions, announces that it has
entered into an addendum agreement ("Agreement") to the facility agreement ("Facility"), announced on 23 September 2022, with Magic Investments S.A. ("Magic"), a significant shareholder represented by David Lazarus who is a director of the Company, for a loan of a further £500,000 ("Loan"). The total loan Facility is now £1,000,000.
The key terms of the Loan are:
· Repayable on or before 1 October 2023
· Interest at 5% (five percent) per annum, payable on a quarterly basis
· The principal amount will be repayable in one lump sum on the repayment date
· The Loan is unsecured
The funds will be used by the Company for historic creditor settlement, and general corporate and working capital purposes.
Paul Langworthy, CEO of 7digital, said: "We are pleased to have secured this financing, and I'd like to extend my thanks to David on behalf of myself and the executive team for his trust and support."
Related Party Transaction
David Lazarus is a Non-executive director of the Company and, via Magic, is interested in 742,436,219 ordinary shares representing 27.3% of the Company's issued share capital. Accordingly, the Loan is a related party transaction pursuant to Rule 13 of the AIM Rules for Companies.
The independent directors (being the 7digital directors excluding David Lazarus), having consulted with Strand Hanson as the Company's nominated adviser, consider the terms of the Agreement to be fair and reasonable insofar as the shareholders are concerned.
For further information please contact:
7digital Group plc | |
Paul Langworthy | c/o +44 (0)20 4582 3500 |
Strand Hanson Limited (Nominated and Financial Adviser) | |
Richard Johnson, James Harris | +44 (0)20 7409 3494 |
Arden Partners plc (Broker) | |
Ruari McGirr | +44 (0)20 7614 5900 |
Gracechurch Group (Financial PR) | |
Harry Chathli, Claire Norbury | +44 (0)20 4582 3500 |
7digitalIR@gracechurchpr.com |
About 7digital
7digital is the global leader in B2B end-to-end digital music solutions, providing a scalable cloud-based platform that enables companies and brands to connect to its global music catalogue and rights management system to launch and manage unique and engaging music experiences. Operating worldwide in over 80 markets and integrated with more than 300,000 labels and publishers, 7digital's platform automates the complex and time-consuming processes of music management, making it easier to access and use music in streaming services, social media, home fitness, gaming, retail and more. With best-in-class infrastructure, deep industry expertise and intelligence tools, 7digital empowers their clients to innovate, grow and serve tomorrow's music consumer. For more information, visit http://www.7digital.com/ .