21 Jun 2016 10:13
CLEAR LEISURE PLC - Disposal and Loan FacilityCLEAR LEISURE PLC - Disposal and Loan Facility
PR Newswire
London, June 21
21 June 2016
Clear Leisure plc("Clear Leisure" or "the Company")
DISPOSAL OF NON-CORE ASSET ANDLOAN FACILITY FOR EUR 50,000 FROM RELATED PARTY
Clear Leisure (AIM: CLP) advises that the Company has disposed of its 9.9% holding in Ascend Capital Limited, being 5,500 shares, for a total consideration of £50,000 (£9.09 per share). The Company has not incurred any loss by this sale, as the 31 December 2014, carrying value of the holding in Ascend Capital Limited was EUR 60,000 (£47,000).
Although the transaction adds just a modest amount to the Company’s working capital, the positive outcome is the result of the thorough investigation which the new board is undertaking to deliver returns to shareholders. A detailed review of the Board’s progress will accompany the publication of the 2015 annual accounts before the end of June 2016.
The Board is also pleased to announce that the Company has entered into a new unsecured convertible loan facility agreement (the Facility") with Eufingest S.A. ("Eufingest"), a Swiss investor and major shareholder in the Company.
Under the Facility, Eufingest provides a facility of EUR 50,000 at an interest rate of 2.5 per cent per annum. The Facility is repayable on 30 September 2016. The Facility will be fully drawn down immediately.
The proceeds of the Facility will be used to fund the cost of ascertaining and realising the Company’s asset portfolio.
The Company may repay the Facility early at any time without penalty. At any time before 30 September 2016, Eufingest may convert the outstanding balance of the Facility into Shares at the rate of 0.75 pence per Share.
To date, Eufingest has provided a total of five convertible loans. The amounts to be repaid between 15 September and 31 December 2016, including interest, are EUR 516,874.38 and £303,500.
Eufingest is the beneficial holder of more than 10 per cent of the ordinary share capital of the Company. Eufingest is a "related party" for the purposes of the AIM Rules.
The Directors of the Company (each of whom is independent from Eufingest), having consulted with the Company's NOMAD, consider the terms of the transaction to be fair and reasonable insofar as shareholders are concerned.
Eufingest, as the largest shareholder, remains fully supportive of the Board’s efforts to realise value from its investments. As previously reported in a Trading Update dated 30 March 2016, a facility of £200,000, also provided by Eufingest, was drawn down on 15 March 2016 and is repayable no later than 15 September 2016. A second facility for £100,000, also provided by Eufingest, was drawn down on 5 May 2016 and is repayable no later than 30 September 2016.
Francesco Gardin, CEO and Chairman of Clear Leisure, commented, "We are pleased to have secured this further loan from one of our longest standing shareholders, which will enable us to continue the process of restructuring the Company to help us realise the value of our non-core assets, as in the case of the 9.9% of Ascend Capital Ltd disposal."
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For further information please contact:
| Clear Leisure plc Francesco Gardin, CEO and Executive Chairman | +39 335 296573 |
| ZAI Corporate Finance (Nominated Adviser) Tim Cofman/Jamie Spotswood | +44 (0)20 7060 2220 |
| Peterhouse Corporate Finance (Joint Broker) Lucy Williams / Heena Karani | +44 (0) 20 7469 0935 |
| Cadogan Leander (Financial PR) Christian Taylor-Wilkinson | +44 (0) 7795 168 157 |
About Clear Leisure Plc
Clear Leisure plc (AIM: CLP) is an AIM listed investment company with a portfolio of companies primarily encompassing the leisure and real estate sectors mainly in Italy. The Company may be either a passive or active investor and Clear Leisure’s investment rationale ranges from acquiring minority positions with strategic influence through to larger controlling positions. For further information, please visit, www.clearleisure.com