24 Feb 2023 07:33
MJ Hudson Group plc
(the "Company", "Group" or "MJ Hudson")
Loan Agreement
MJ Hudson Group plc (AIM:MJH), the specialist service provider to the asset management industry, announces that, on 23 February 2023, the Company reached an agreement with its existing Senior Lender to provide a short term overdraft facility in total of £1.5m in order to provide the Company with working capital while it undertakes the current sales process. The short term facility will bear 5% interest plus the Bank of England's base rate per annum, plus additional fees as agreed with the Senior Lender.
As part of the arrangement the Company's former CEO and founder, Matthew Hudson, has agreed to provide the Company with a shareholder loan of £100,000. The loan is subordinate to the Senior Lender and carries the same interest rate. The loan and interest can only be repaid when Santander has agreed to its repayment in writing.
As Mr Hudson is a substantial shareholder, his loan represents a related party transaction. The directors consider, having consulted with the Company's Nominated Adviser, Cenkos Securities, that the terms of the loan are fair and reasonable insofar as its shareholders are concerned.
For further information, please contact:
MJ Hudson Group plc
Geoff Miller, Executive Chairman
Cenkos Securities plc (Nomad and Broker)
Giles Balleny
Stephen Keys
Callum Davidson
+44 20 7397 8900
Buchanan (PR Adviser)
Chris Lane
Jack Devoy
George Cleary