8 Oct 2018 07:00
8 October 2018
7digital Group plc
("7digital" or "the Company")
Shareholder Funding and Consolidation
7digital (AIM:7DIG), the global leader in B2B end-to-end digital music solutions, announces that it has made significant progress toward completing consolidation of its business following the acquisition of 24-7 in 2017. Overall headcount has been reduced by 35% since December 2017.
In addition, further to statements in its 2017 annual accounts and 2018 interim statements, the Company has agreed terms with two existing shareholders to provide working capital and support for costs involved in the consolidation. It is expected that, subject to final contract, the aggregate facility in the initial tranche of loan notes will be £1.0 million on standard market terms and convertible to ordinary shares at certain specified times.
The Company expects to enter into final agreements within the next week. The funds provided will be used for working capital and consolidation costs as the Company continues to move to operating profit and positive cash flow.
For further information please contact:
7digital | 020 7099 7777 |
Simon Cole, Chief Executive |
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David Holmwood, Interim Chief Financial Officer Holly Ashmore, PR Manager |
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Arden Partners (nominated adviser and broker) |
020 7614 5900 |
Chris Hardie/Ruari McGirr/Benjamin Cryer - Corporate Finance |
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About 7digital
7digital is the global leader in B2B end-to-end digital music solutions. The core of its business is the provision of robust and scalable technical infrastructure and extensive global music rights used to create music streaming and radio services for a diverse range of customers - including consumer brands, mobile carriers, broadcasters, automotive systems, record labels and retailers. 7digital also offers radio production and music curation services, editorial strategy and content management expertise.
7digital fosters industry growth and innovation by simplifying access to music for clients such as MediaMarktSaturn, Onkyo and musical.ly. From years of being the largest independent producer of programming for the BBC and powering services for partners like Panasonic, TDC and Fender, 7digital is perfectly positioned to lead innovation at the intersection of digital music and next-generation radio services.