Last checked at 19 Feb 2014 07:00
24/7 Gaming Group Holdings Plc
(the "Company" or "24/7 Gaming")
Equity placing and conversion of certain outstanding debts
24/7 Gaming is pleased to announce that it has conditionally raised approximately £502,000 before expenses by way of a subscription of 16,733,328 new ordinary shares of no par value ("Ordinary Shares") at a price of 3p per Ordinary Share.
The funds have been raised from institutional clients and other investors of Daniel Stewart & Company Plc and will be used to provide additional working capital for the Company enabling it to grow its business and to seek out acquisition opportunities.
In addition, the Company has agreed to convert into equity certain outstanding fees and loans at a price of 5p per share and therefore the board has agreed to issue 859,700 new Ordinary Shares to former directors of the Company and 833,333 new Ordinary Shares in satisfaction of a loan owed to a former director.
In addition, both Willy Simon, a Non-Executive director and ex-chairman of the Company, and David Mathewson, a Non-Executive director who becomes Executive Chairman, have each proposed to the Company to subscribe for 491,500 new Ordinary Shares in lieu of all fees outstanding to them at a price of 5p per share. A further announcement will be made in due course.
In addition, service providers have agreed to convert certain other outstanding fees owed to them into 800,000 Ordinary Shares at a price of 3p per share.
The Board also proposes to convert certain other loans totalling €460,000 into 7,666,600 Ordinary Shares at a price of 5p per share subject to the approval of shareholders, which will be sought at the next Annual General Meeting.
As announced on 5 February 2014, Mr Mathewson has been appointed Executive Chairman with Mr Simon remaining on the board as a Non-Executive Director. It is also proposed that in recognition of his role as Executive Chairman, Mr Mathewson will be awarded with options over Ordinary Shares and a further announcement will be made once this proposal has been finalised.
Total voting rights
The new Ordinary Shares will rank pari passu with all existing Ordinary Shares and application has been made for the 19,226,361 new Ordinary Shares to be admitted to trading on AIM which is expected to take effect on or around 24 February 2014 ("Admission").
Following Admission the Company's issued share capital will comprise 165,958,488 Ordinary Shares. The Company does not hold any Ordinary Shares in treasury. This figure 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 to their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure and Transparency Rules.
For further information please contact:
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Daniel Stewart & Company
David Hart +44 (0)207 776 6550
Martin Lampshire
About 24/7 Gaming
24/7 Gaming Group Holdings Plc specialises in providing gaming entertainment on various platforms. The group's approach is to provide players with a personal and direct experience. This interaction with players is realised by applying a combination of new technologies. Technology is also the driver in the Group's efficiency in attracting new players and pursuing player satisfaction.