27 Jul 2011 07:00
27 July 2011 SureTrack Monitoring plc ("SureTrack" or "the Company") Subscription to raise £262,500 and trading update
Suretrack (AIM: STK), one of the UK's leading asset protection, cash security and crime deterrent companies specialising in covert tracking and recovery, announces that it has conditionally raised £262,500, before expenses, through a subscription (the "Subscription") of 75,000,000 ordinary shares of 0.05p in the capital of the Company (the "Subscription Shares") at a price of 0.35p per Subscription Share (the "Subscription Price").
The Subscription Shares were placed with institutional and retail investors by Merchant Securities Limited. The Subscription is conditional, inter alia, on admission of the Subscription Shares to trading on AIM. The Subscription Shares will rank pari passu with the existing issued ordinary shares of 0.05p in the capital of the Company ("Ordinary Shares").
The Company intends to use the net proceeds of the Subscription, amounting to approximately £250,000, primarily to fund the purchase of additional stock to fulfil ordersand for working capital generally.
Trading update
As set out in the chairman's statement dated 16 June 2011, the Company was awarded an official part number by International Motors Group through its subsidiary International Motors Parts and Service Limited ("IM"). The launch of the MT3 tracking device through IM's dealer network is expected to commence in August 2011, slightly later than we had originally anticipated, and the training of the IM distributors will commence shortly after the launch date.
Sales to the plant hire sector have also picked up in recent months and the Board is hopeful that this trend will continue for the remainder of the Company's current financial year.
The IBP business has continued its discussions and trials for its security products with a number of larger retailers and the board is delighted to announce that it has now received initial orders for its Smoke and Dye security solutions from two nationwide high street retailers, the first being a leading UK pharmacy-led health & beauty retailer and the second being a UK leading retailer specialising in bakery-related products, sandwiches and savouries.
Application has been made to AIM for the Subscription Shares to be admitted to trading. Admission and trading in the Subscription Shares are expected to commence on 1 August 2011.
On admission of the 75,000,000 Subscription Shares, the Company will have 736,347,670 Ordinary Shares in issue in total.
For further information contact:
SureTrack Monitoring plc Tel: 01926 863630 Will Hirons, Managing Director Merchant Securities Limited (Nominated Adviser and Broker) Simon Clements - Nominated Adviser Tel: 020 7628 2200
Graeme Cull - Corporate Broking
XLON