17 Sep 2012 07:00
Embargoed: 0700hrs 17 September 2012
Akers Biosciences, Inc.
("ABI" or the "Company")
$675,000 Private Placing
Akers Biosciences, Inc (AIM: AKR), a leading designer and manufacturer of rapid diagnostic screening and testing products, is pleased to announce the investment of US entrepreneur Thomas J. Knox ('Knox") through the purchase of 30M common shares and 10M preferred shares.
The Company has raised $450,000 through the issue of 30,000,000 new common shares of no par value ("Placing Shares") at $0.015 each. This represents a small premium to the closing mid price on 14 September of $0.012 (0.75p). The Company has existing authorities in place to allow the issue of the Placing Shares for cash on a non pre-emptive basis and the Placing therefore does not require additional shareholder approvals.
Application has been made for the Placing Shares to be admitted to trading on AIM. It is expected that admission will occur and that dealings will commence at 8.00 a.m. on 21 September 2012. On Admission, the Placing Shares will rank pari passu in all respects with the Company's existing common shares in issue.
In addition, 10,000,000 preferred shares ("Preferred Shares") have been issued at $0.0225 per Preferred Share in consideration for a $225,000 promissory note to the Company from Knox carrying a 3% per annum coupon.
The Preferred Shares pay a $0.00135 dividend per annum, equivalent to a 6% yield, and carry super voting rights of 5 votes per share. The Preferred Shares are convertible at any time into common shares, at the rate of 5 common shares for each preferred share, for an additional payment of $0.05 per converted Preferred Share. This conversion price is equivalent to $0.0145 per commons share and, if all the Preferred Shares were converted, would raise an additional $500,000 for the Company. The conversion of the Preferred Shares is conditional upon the granting of the requisite authorities by shareholders at a general meeting to be convened in the near future.
Immediately following admission of the Placing Shares, the Company will have 198,715,666 common shares in issue and 10,000,000 preferred shares in issue. The Preferred Shares each have five votes per share and the Company has no ordinary shares held in treasury. The total number of voting rights in the Company is therefore 248,715,666. This figure may therefore 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 voting capital of the Company under the FSA's Disclosure and Transparency Rules.
Knox will be interested in 32.16 per cent. of the Company's issued voting rights.
Knox is a Philadelphia, Pennsylvania-based businessman who has owned, managed, and ultimately sold multiple profitable companies in the software, banking, and health insurance industries including Disc Systems, Inc., Crusader Bank, Gimco International, and Kasser Industries and Fidelity Insurance Group . He also served as Chief Executive Officer for United HealthCare of Pennsylvania and served as Special Deputy Rehabilitator & Chief Executive Officer of Fidelity Mutual Life Insurance Co., Pennsylvania's 5th largest insurer.
Knox is active in Philadelphia politics having held the position of Deputy Mayor for the Office of Management and Productivity, and currently serving as the chair of the Mayor's Task Force on City-owned Facilities. In addition to his commitment to public service, Mr. Knox is the Chief Executive Officer of Knox Consulting Group and Indecs Corp.
Enquiries:
Thomas A. Nicolette
President and CEO
Tel. +1 856 848 8698
Antony Legge / Emma Earl
Daniel Stewart (Nomad and Broker)
Tel. +44 (0)20 7776 6550
About Akers Biosciences, Inc.
Akers Biosciences develops, manufactures, and supplies rapid, point of care screening and testing products designed to bring healthcare information both rapidly and directly to the consumer or healthcare provider. The Company has advanced the science of diagnostics while responding to major shifts in healthcare through the development of several proprietary platform technologies. The company's state-of-the-art rapid diagnostic assays can be performed virtually anywhere in minutes when time is of the essence. ABI has aligned with major healthcare companies and high volume medical products distributors to maximize product offerings, and to be a major worldwide competitor in diagnostics. Additional information on the Company and its products can be found at www.akersbiosciences.com