Croma Security Regulatory News (CSSG)

30 Apr 2008 11:13

Croma Group PLC30 April 2008 CROMA GROUP PLC ('CROMA' OR 'THE GROUP') Conversion of loan notes into equity The Board of Croma, the AIM listed surveillance security and homeland Defencespecialist, announces that it has reached agreement with the former shareholdersof Vigilant Security (Scotland) Limited ("Vigilant"), a wholly owned subsidiaryof the Group, to issue a total of 6,400,800 ordinary shares of 5 pence("Ordinary Shares") at par in satisfaction of outstanding loan notes and accruedinterest. Vigilant was acquired by the Group in January 2006 for a considerationof equity and loan notes. Accordingly, Sebastian Morley, who is now the CEO of the Group and who convertedhis loan notes into shares in June 2007 has been issued a further balance of508,943 Ordinary Shares in final settlement arising from the release of aretention following the write back of a creditor provision. Paul Williamson, who since the acquisition has remained the managing director ofVigilant, has been issued 5,891,857 Ordinary Shares in satisfaction of loannotes and accrued interest due to him. The resultant beneficial holdings in Croma for Sebastian Morley and PaulWilliamson are 17,703,634 and 12,981,979 Ordinary Shares, representing 9.98% and7.32% of the issued ordinary share capital, respectively. The Board believes that this conversion into Ordinary Shares at par by these twokey individuals represents a significant vote of confidence in the progress thatthe Group has made recently. Enquiries: Croma Group plcNick Hewson, Chairman 07798 847 656 Seymour Pierce LimitedMark Percy / Jeremy Garrett-Cox 020 7107 8000 This information is provided by RNS The company news service from the London Stock Exchange