Iomart Regulatory News (IOM)

THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES OR ANY OTHER JURISDICTION IN WHICH SUCH PUBLICATION, RELEASE OR DISTRIBUTION WOULD BE UNLAWFUL

iomart Group plc

("iomart" or the "Group" or the "Company")

PROPOSED PLACING OF ORDINARY SHARES

iomart Group plc (AIM: IOM, the "Group" or the "Company"), the cloud computing company, has been advised by Angus MacSween, Richard Logan and Sarah Haran (the "Selling Directors") of their intention to sell in aggregate up to £11.8 million of existing Ordinary Shares in the Company (the "Placing Shares") via an accelerated bookbuild placing (the "Placing"). Angus MacSween intends to sell up to £10 million worth of Ordinary Shares, Sarah Haran intends to sell up to £1,050,000 worth of Ordinary Shares and Richard Logan intends to sell up to £750,000 of Ordinary Shares.

The Placing is subject to pricing acceptable to the Selling Directors. The principal purpose of the Placing is to allow Mr MacSween to rebalance his portfolio and utilise his entrepreneurs' relief. Mr MacSween has agreed not to sell any further shares for the foreseeable future and no earlier than the release of the publication of the final results for the year ended 31 March 2015. The Company believes that the Placing will have the additional and material benefit of increasing both the free float and the liquidity of the Company's shares.

The Placing is being managed by Peel Hunt LLP as sole Broker. The number of Shares in the Placing and the Placing price will be decided at the close of the accelerated bookbuilding period. 

The book for the Placing will open with immediate effect. Pricing is expected to be announced as soon as practicable following the closing of the books. The timing of closing of the books will be at the absolute discretion of Peel Hunt.

The Ordinary Shares referred to above are the ordinary shares of 1 pence each in the Company.

Peel Hunt LLP is acting on the Placing and will not be responsible to anyone other than its client for providing the protections afforded to its clients, nor for providing advice in relation to the Placing, the contents of this announcement, or any transaction or arrangement referred to herein.

This announcement is for information purposes only and does not constitute or form part of an offer or invitation to acquire or dispose of any securities of iomart, or constitute a solicitation of any offer to purchase or subscribe for securities in any jurisdiction, including the United States, Canada, Australia or Japan. iomart's shares have not been, and will not be, registered under the United States Securities Act of 1933, as amended, or under the securities legislation of any state of the United States and may not be offered or sold in the United States absent registration or an exemption from registration.

iomart's shares may not, directly or indirectly, be offered or sold within the United States, Canada, Australia or Japan or offered or sold to a resident of Canada, Australia or Japan. No public offering of securities is being made in the United States.

This announcement is not for publication or distribution to persons in the United States of America, its territories or possessions or to any US person (within the meaning of Regulation S under the US Securities Act of 1933, as amended). Neither this announcement nor any copy of it may be taken or transmitted into Australia, Canada or Japan or to Canadian persons or to any securities analyst or other person in any of those jurisdictions. Any failure to comply with this restriction may constitute a violation of United States, Australian, Canadian or Japanese securities law. The distribution of this announcement in certain other jurisdictions may be restricted by law and persons into whose possession this announcement comes should inform themselves about, and observe, any such restrictions.

This announcement and any offer of securities to which it relates are only addressed to and directed at persons who are (1) qualified investors within the meaning of directive 2003/71/ec and any relevant implementing measures (the prospectus directive) and (2) who have professional experience in matters relating to investments who fall within article 19(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or are persons falling within article 49(2)(a) to (d) ("High Net Worth Companies, Unincorporated Associations, etc") of the Order (all such persons together being referred to as "relevant persons"). The information regarding the Placing set out in this announcement must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this announcement relates is available only to relevant persons and will be engaged in only with relevant persons.