Last checked at 11 Nov 2013 07:00
Release date: 11 November 2013
Embargoed until: 07:00
NOT FOR DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL
CLS Holdings plc
("CLS", the "Company" or the "Group")
Sale of Treasury Shares
The Company is pleased to announce that on 8 November 2013 it sold 1,600,000 ordinary shares of 25p each in the Company ("Ordinary Shares"), previously held as treasury shares, at a price of 1215 pence per Ordinary Share (the "Sale").
The Ordinary Shares were placed with a number of institutional investors through the Company's joint broker, Liberum Capital.
The Board considers that the Sale, which is in response to feedback from its institutional investors, will increase liquidity in the trading of the Company's Ordinary Shares. It will also provide additional strength to the Group's balance sheet and extra flexibility to take advantage of opportunities which arise in the real estate market and other opportunities within the Company's existing portfolio.
Following the settlement of Ordinary Shares pursuant to the Sale, which is expected to occur on or around 15 November 2013, the Company will have 46,856,893 Ordinary Shares in issue, of which 2,903,103 Ordinary Shares will be held as treasury shares. Therefore, the total number of Ordinary Shares in issue following completion of the Sale, excluding treasury shares, and also the total number of voting rights in the Company will be 43,953,790. The Company does not have any other class of shares in issue other than the Ordinary Shares.
The above figure of 43,953,790 may be used by shareholders 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, Ordinary Shares in the Company under the FCA's Disclosure and Transparency Rules.
Sten Mortstedt, Executive Chairman of CLS, commented:
"I am pleased that, by this placing, we have been able to satisfy some of the demand for shares in the Company.
"The fact that the shares were sold at a premium to the past five days' average closing price, is evidence that the investors share our optimistic view of the future possibilities.
"The Sale should increase liquidity in the trading of the Company's shares and will further strengthen our ability to exploit future opportunities to add value for our shareholders."
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For further information, please contact:
CLS Holdings plc +44 (0)20 7582 7766
www.clsholdings.com
Sten Mortstedt, Executive Chairman
Henry Klotz, Executive Vice Chairman
Richard Tice, Chief Executive Officer
Liberum Capital Limited +44 (0)20 3100 2222
Tom Fyson
Thomas Bective
Charles Stanley Securities +44 (0)20 7149 6000
Mark Taylor
Kinmont Limited +44 (0)20 7087 9100
Jonathan Gray
Smithfield Consultants (Financial PR) +44 (0)20 7903 0669
Alex Simmons
Important Information
This announcement may not be published, distributed or transmitted by any means or media, directly or indirectly, in whole or in part, in or into the United States. This announcement does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States. Securities may not be offered or sold in the United States absent (i) registration under the U.S. Securities Act of 1933, as amended (the "Securities Act") or (ii) an available exemption from registration under the Securities Act. The securities mentioned herein have not been, and will not be, registered under the Securities Act and will not be offered to the public in the United States.