17 Jul 2019 07:01
17 July 2019
Koovs plc
("Koovs" or the "Company")
Convertible Loan Notes Term Extended to February 2021
Koovs plc (AIM: KOOV), the Western fashion experts for online Indian consumers, announces that it has agreed with the Noteholders of the Secured Convertible Loan Notes due in August 2019 (the "SCLN") to amend the Convertible Loan Note Instrument ("The Instrument") to extend the term by a further 18 months. The Noteholders comprise the Company's Chairman, Lord Waheed Alli, and Michinoko Limited.
The Initial Expiry Term Date for the SCLN was 18 August 2019 and following the amendments to The Instrument this will be extended by a further 18 months to February 2021.
The amendment to The Instrument also provides that the Noteholders, acting by investor majority, will have the right to serve a Redemption Notice on the Company at any time following the Initial Expiry Term. All the other terms of The Instrument remain unchanged. As noted in the Company's 2019 annual results statement which was also released this morning, and whilst not legally binding, the Directors of the Company have received confirmation from Lord Alli (who can act as the investor majority) that he does not intend to serve a Redemption Notice on the Company for at least 12 months from the approval of the 2019 annual financial statements.
Related Party Transaction
The amendment of The Instrument constitutes a related party transaction pursuant to the AIM Rules for Companies (the "AIM Rules"). The Directors of the Company (excluding Lord Waheed Alli), having consulted with Strand Hanson Limited in its capacity as the Company's nominated adviser for the purposes of the AIM Rules, consider the terms of the amendment of The Instrument to be fair and reasonable insofar as shareholders are concerned.
End
For further information please contact:
Koovs plc |
Mary Turner / Robert Pursell Tel: +44 (0) 20 7151 0170 |
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Strand Hanson Limited (Nominated & Financial Adviser) |
James Harris / Ritchie Balmer / Georgie Langoulant |
Tel: +44 (0) 20 7409 3494 |
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Whitman Howard Limited (Corporate broker) |
Nick Lovering (Corporate) / Mark Murphy (Institutional Sales) |
Tel: +44 (0) 20 7659 1234 |
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Media enquiries |
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Newgate Communications |
Adam Lloyd / Fiona Norman |
Tel: +44 (0) 20 3757 6880 |
E: koovs@newgatecomms.com
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The information contained within this announcement is considered to be inside information prior to its release, as defined in Article 7 of the Market Abuse Regulation No.596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.
Notes to Editors:
About Koovs
· Koovs is a UK business that has built KOOVS.COM into India's leading online western fashion destination. Koovs' fashion brands are designed and developed in London exclusively for the young Indian fashion market where two thirds of the population are under the age of 35. It has 2.7m online social followers.
· The tremendous potential of the Indian fashion market has been further underlined by the Strategic Partnership with Future Lifestyle Fashions Limited (FLFL) which is part of Future Group - one of India's leading retail businesses and one of the top 10 fashion apparel companies in the world
· Koovs' proprietary online technology platform powers KOOVS.COM and is a proven market-leading success in India's rapidly expanding e-commerce market. The capability and scalability of the platform has been recognised by FLFL which has contracted Koovs to build and maintain the online platform for its Brand Factory retail format. For more information, please visit www.koovs.com and follow us on Facebook, LinkedIn, Twitter @mykoovs and Instagram @koovsfashion.