3 Nov 2011 07:30
03 November 2011
Global Brands S.A. ("Global Brands" or "the Company")
Update on Austria
Global Brands S.A. (AIM: GBR), an international business developing branded food operations in Europe, including being the master franchise owner of Domino's Pizza in Switzerland, Luxembourg and Liechtenstein, provides an update on key developments.
Austria:
In September 2011, the Company announced that it had signed a Letter of Intent ("LOI") with Domino's Pizza Overseas Franchising ("DPOF") to acquire the exclusive master franchise rights for Austria. The LOI provided 90 days within which the Company and DPOF would negotiate the Master Franchise Agreement (MFA) and the Company would demonstrate to DPOF that it was able to raise the capital necessary to pursue the Austrian market opportunity.
The terms and conditions of the MFA were negotiated and agreed with DPOF, however, the Company regrets to announce that it was unable to raise the capital required to fund the project.
The Directors and management worked extremely hard to secure initial funding from the market and other sources; however the response was not sufficient to provide the Directors and DPOF with sufficient confidence to proceed with signing the MFA. As a result the LOI has expired.
The Directors are considering alternative options that may be available to the Company to achieve its financing and expansion goals.
-Ends-
For further information:
Global Brands S.A.
Simon Bentley, Chairman Tel: (0) 20 7317 8022
Bruce Vandenberg, CEO www.globalbrands.ch
Libertas Capital
Thilo Hoffmann Tel: (0) 20 7569 9650
www.libertascapitalpartners.com
Alexander David Securities Ltd
Bill Sharp Tel: (0) 20 7448 9820
Fiona Kinghorn Tel: (0) 20 7448 9832
www.ad-securities.com
FTI Consulting
Jonathon Brill Tel: (0)20 7831 3113
Caroline Stewart www.fticonsulting.com
Notes to Editors:
Global Brands is a public company incorporated under the laws of Luxembourg and established in 1999. The company has been admitted to trading on the AIM of the London Stock Exchange since 2005.
The Company is the owner and operator of the exclusive master franchise of Domino's Pizza in Switzerland, Luxembourg and Liechtenstein. Domino's Pizza is the world's leading pizza delivery brand, with over 9000 stores in 63 markets.