10 Dec 2019 11:55
10 December 2019
Koovs plc
("Koovs" or the "Company")
Intention to Appoint Administrators, Trading Suspension, Nomad Resignation
Further to the Company's announcement on 18 November 2019, Koovs plc (AIM: KOOV) is disappointed to announce that, as a result of the failure by its largest shareholder, Future Lifestyle Fashions Limited (part of Future Group, India's largest retail group), to fulfil a contractual commitment to invest a further £6.5 million into the Company, and the failure by the Company to secure alternative sources of funding, the Board of Koovs plc has resolved to apply to place Koovs plc into administration.
The Board expects that the business and assets of Koovs will be purchased from the administrator by a company connected to the Company's largest secured creditor, Waheed Alli, ensuring the continuation of the operating business.
A further announcement will be made in due course regarding the appointment of the administrator.
Suspension of trading and resignation of Nominated Adviser
Shares in the Company have been suspended from trading on AIM effective from 11.30 a.m. today.
Strand Hanson Limited has resigned as Nominated Adviser to the Company with immediate effect.
Pursuant to Rule 1 of the AIM Rules for Companies, if a replacement Nominated Adviser is not appointed within one month, the admission of the Company's securities will be cancelled on AIM. The Company has no current intention of appointing a replacement Nominated Adviser.
END
For further information please contact:
Koovs plc
Mary Turner / Robert Pursell
company.secretary@koovs.com
Media enquiries:
Newgate Communications
Clotilde Gros / Adam Lloyd
Tel: +44 (0)20 3757 6880
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.