Earthport Regulatory News (EPO)

13 Dec 2005 16:06

Earthport PLC13 December 2005 For Immediate Release Stock Exchange Announcement 13th December 2005 earthport plc ("earthport" or the "Company") Placing of £1.3 million and completion of Debt Refinancing The Board of earthport announces that it has placed 4,065,882 Ordinary Shares of10p each, at prices ranging from 31.5p to 35p, raising £1.3m and confirms thatthe debt restructuring referred to in the RNS announcement dated 17 October 2005has now been completed. Application has been made for an aggregate of 6,242,667 ordinary shares of 10peach to be admitted to trading on AIM on 16 December 2005. 2,176,785 of thesesnew Ordinary Shares of 10p each represent part of the funding of £3.2 millionreported on the RNS on 21 October 2005. The 2,176,785 new Ordinary Shares of 10p each were issued at prices between 32pand 35p for cash raising £715,000. A further £1m remains to be drawn down underthe facility announced on 21 October 2005. Following this listing the total number of earthport Ordinary Shares in issuewill be 20,753,703. In addition, the Board of earthport today confirms that the debt restructuringreferred to in the RNS announcement dated 17 October 2005 has now beencompleted. Approximately £4m of finance creditors have been settled for £1.mcash and £0.25m 7% Loan Notes 2007. The £1m cash has been financed with a new £1.25m five year amortising secureddebt facility provided by General Capital Venture Finance Limited ("GCVF") and Michael Gerson Finance plc. The remaining £0.25m of the debt facility is for general working capital purposes. GCVF is a wholly owned subsidiary of General Capital Group plc a company ofwhich Jonathan Hill, a non-executive director of earthport, is a director and asignificant shareholder. The Directors of earthport, with the exception of Jonathan Hill who is a relatedparty, consider, having consulted with earthport's Nominated Adviser,Nabarro Wells & Co. limited, that the terms of the transaction are fair andreasonable insofar as the Company and its shareholders are concerned. -End- Press enquiries: Mike Harrison Chief Executive - earthport plc +44 20 7220 9700 David Nabarro/Jonathan Naess - Nabarro Wells +44 20 7710 7400 This information is provided by RNS The company news service from the London Stock Exchange