MGP.L Regulatory News (MGP)

31 Mar 2008 16:51

Mercury Group PLC31 March 2008 31 March 2008 Mercury Group Plc (the "Company") Proposed Delisting from AIM Over the past year, the Directors have been seeking to make suitableacquisitions to increase the critical mass of the SMPA business. Some of theopportunities that have been considered by the Board would have required a fundraising at the same time. However, in spite of the demonstrable benefits thatwould accrue to the Company from these acquisitions, the Company's size andshare price has made it extremely difficult to raise the necessary funds. TheDirectors consider that one of the principal obstacles to the development of theGroup is the cost of being a public company, which they estimate amounts to£150,000 per annum. In addition, given the low market capitalisation of theCompany and the low liquidity of the Existing Ordinary Shares, the Directorsconsider that it would be in the best interests of the Company to seek adelisting of its shares on AIM. The Directors are aware that Shareholders may still wish to acquire further ordispose of New Ordinary Shares and, accordingly, intend to use reasonableendeavours to create and maintain a matched bargain settlement facility. Underthis facility shareholders or persons wishing to acquire shares will be able toleave an indication with the matched bargain settlement facility provider thatthey are prepared to buy or sell at an agreed price. In the event that thematched bargain settlement facility provider is able to match that order with anopposite sell or buy instruction, the matched bargain settlement facilityprovider will contact both parties and then effect the order. Shareholders whodo not have their own broker will need to register with the matched bargainsettlement facility provider as a new client. This can take some time to processand therefore shareholders who consider they are likely to avail themselves ofthis facility are encouraged to commence it at the earliest opportunity. Thecontact details of the matched bargain settlement facility provider oncearranged will be made available to Shareholders on the Company's website. Under the AIM Rules, it is a requirement that any delisting from AIM must beapproved by not less than 75 per cent. of shareholders voting in generalmeeting. Accordingly, a General Meeting has been convened for 1 May 2008 atwhich a special resolution to approve the application to the London StockExchange for cancellation of admission of the Company's shares on AIM will beproposed. If the resolution is approved, it is expected that cancellation ofdealings will take effect at 7.00 a.m. on 30 May 2008. A circular containing details of the capital reorganisation and the delistinghas been sent to shareholders today and copies will be available from theCompany's website www.mgplc.co.uk. Enquiries: Mercury Group PlcGeorge Kynoch - Chairman 020 7343 4000 John East & Partners LimitedDavid Worlidge 020 7628 2200 This information is provided by RNS The company news service from the London Stock Exchange