23 Dec 2010 07:30
Insetco PLC
("Insetco" or the "Company")
Announcement of Suspension of Trading
The Company has previously announced that the administrators of ASG Media plc (the Company's previous name) had disposed of the business and assets of the Company's trading subsidiaries. This disposal was deemed to be a fundamental change of business and therefore, pursuant to Rule 15 of the AIM Rules for Companies, Insetco became an investing company. Under Rule 15, the Company was required to make an acquisition which constituted a reverse takeover or otherwise implement its investing policy to the satisfaction of the London Stock Exchange (the "Exchange") within twelve months of becoming an investing company.
Following the disposal listed above, the Company adopted an investing policy of focusing on the life insurance settlement market ("Life Settlements"), which involves the acquisition of life insurance policies. The Company would look to either invest directly in such policies or purchase a company or business that already operates in this market. This policy was formally approved by shareholders on 9 April 2010. Whilst the Company continues to develop its Life Settlements business, as previously announced in May 2010, and whilst the Company is now generating revenues, its development is still at an early stage. Furthermore, whilst the Company is negotiating a potential acquisition, there is no guarantee that this acquisition will complete or that it will satisfy the requirements of AIM Rule 15.
As the Company is not currently in a position to be able to satisfy the requirements of Rule 15 its shares have been suspended with effect from 7.30am on Thursday 23 December 2010.
In the event that the Company does not complete an acquisition constituting a reverse takeover or otherwise implements its investing policy to the satisfaction of the Exchange, by 24 June 2011, the Company's shares will be cancelled from trading on AIM.
The Company expects to be able to make a further announcement shortly.
Enquiries:
Insetco plc
Clive Cooke 020 7887 7450
Charles Stanley Securities
Nominated Adviser
Russell Cook / Darren Vickers 020 7149 6000