16 Feb 2017 12:03
Management Resource Solutions plc
Payment of Deferred Consideration
16 February 2017
In accordance with the Bachmann Plant Hire ("Bachmann") share sale agreement, the voluntary administration of Management Resource Solutions Pty Ltd, announced on 8 February 2017, has triggered a contractual requirement for Management Resource Solutions Plc ("MRS" or "Company") to pay the second and third deferred payments due on the acquisition of Bachmann immediately. The aggregate sum due is A$2,666,666 and, given the need to focus the Company's cash resources in the continuing businesses, the directors of MRS have elected to satisfy the consideration in accordance with the Bachmann share sale agreement by way of an issue of 11,051,261 new ordinary shares of €0.01 each ("Ordinary Shares") at a price of 14.7125 pence per share.
The Bachmann vendors already hold 3,610,226 Ordinary Shares and as a result of this issue will be interested in 14,661,487 Ordinary Shares, representing 17.1 per cent. of the enlarged issued share capital of the Company. These new Ordinary Shares are being issued immediately and will be admitted to trading on AIM as soon as possible upon resumption of trading in the Ordinary Shares.
As announced on 16 December 2016, a further A$500,000 due as deferred consideration will be satisfied by the issue of further new Ordinary Shares, to be issued at the 10 day mid-market closing price per share following resumption of trading of the Ordinary Shares on AIM.
As a result of the issue of these Ordinary Shares, the Company's issued share capital now comprises 85,897,138 Ordinary Shares with each share carrying the right to one vote. No Ordinary Shares are held in treasury and accordingly, the figure of 85,897,138 Ordinary Shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority's Disclosure and Transparency Rules.
For further information:
Management Resource Solutions PLC c/o FTI +44 (0)20 3727 1000
Murray d'Almeida, Chairman
Joe Clayton, Chief Executive
Northland Capital Partners Limited +44 (0)203 861 6625
(Nominated Adviser and Joint Broker)
William Vandyk
Gerry Beaney
Tom Price
Peterhouse Corporate Finance Limited +44 (0)20 7469 0932
(Joint Broker)
Charles Goodfellow
Lucy Williams
FTI Consulting +44 (0)20 3727 1000
Edward Westropp
Emilie O'Herne
Management Resource Solutions (MRS), through its subsidiaries Bachmann and MRS Services Group, offers plant hire, equipment repair, refurbishment and fabrication, mine rehabilitation, earthmoving, road construction and other support services to a wide base of private and public sector clients in Australia. MRS caters predominately to the mining, civil engineering, construction and infrastructure industries.