11 Jun 2014 15:47
11 June 2014
AfriAg Plc
("AfriAg" or the "Company")
Cancellation of YAGM Equity Swap and Placing
AfriAg is pleased to announce that it has agreed with YA Global Master SPV, Ltd ("YAGM") to cancel the Equity Swap agreement for £600,000 in aggregate, as announced on 12 September 2013, and in return YAGM will become a strategic long term shareholder of AfriAg.
In full consideration, AfriAg will issue YAGM with 32.5 million new ordinary shares ("Shares") in the Company. The agreement is conditional only upon admission of these Shares to trading on AIM ("Admission") and has been carried out within the Company's share authorities.
The Shares will represent 2.74% of the enlarged issued share capital of the Company. Application has been made for the Shares to be admitted to trading on AIM and it is anticipated that Admission will occur on 18 June 2014.
Following Admission, the Company's enlarged issued share capital will comprise 1,188,001,037 ordinary shares. The Company does not hold any shares in treasury. This figure of 1,188,001,037 ordinary shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.
David Lenigas, AfriAg's Chairman, commented:
"This deal with YAGM was restructured at the Company's request to remove the uncertainty in the market on the swap component on the equity swap and YAGM have now become a strategic investor in AfriAg".
For further information please contact:
AfriAg Plc David Lenigas Donald Strang
| +44 (0) 20 7440 0640
|
Cairn Financial Advisers LLP Nominated Adviser and Broker James Caithie / Jo Turner / Carolyn Sansom
| +44 (0) 20 7148 7900
|
Square Consulting Public Relations David Bick/Mark Longson
| +44 (0) 20 7929 5599
|