13 Jul 2009 15:48
13 July 2009
Origo Sino-India PLC ("the Company")
Result of AGM
The Company announces that all the resolutions proposed at the Company's annual general meeting held today were duly passed.
The Company's investment policy as approved at the annual general meeting is as follows:
"Origo Sino-India Plc ("Origo") and its subsidiaries (together "the Group") invest in private companies across various sectors of the Chinese and Indian economies, and in companies and assets with connections to these two markets, with Origo's objective being to provide shareholders with above market returns, primarily through capital appreciation.
In terms of stage, Origo generally pursues three kinds of opportunities: investments in pre-IPO opportunities, where the Group can add value through providing assistance in relation to restructuring, international expansion and the listing on a domestic or foreign stock exchange; (ii) profitable, expansion stage companies requiring financing to meet working capital requirements, expansion capital and/or as capital to finance merger and acquisition opportunities; and (iii) selected earlier-stage companies, which demonstrate compelling prospects for fast-growth and paths to profitability.
At its present level of capitalisation, the Group is unlikely to commit in excess of USD 10 million to any single investee company. For early-stage opportunities, initial commitments may be less than USD 1 million. While Origo does not have any set gearing policy (although it does not expect to be highly geared at a Group level) investee companies, directly or indirectly, may themselves have outstanding borrowings.
While the Group primarily invests in privately owned companies, it may, in its total discretion, hold or invest in publicly traded shares, quasi-equity and/or debt instruments, including convertible or non-convertible debt securities coupled with warrants and/or options, which may or may not represent shareholding or management control.
Origo seeks to be an active investor. To the extent possible, minority investments are structured so as to ensure adequate minority protection rights, including but not limited to board participation (via a board director/observer), membership of supervisory, audit and oversight committees, as well as specific veto rights over key corporate decisions. In addition, the Group generally dedicates at least one other Origo nominee who, together with the board director/observer, is responsible for assisting the investee company on matters such as building and augmenting the management team, implementing relevant corporate governance and financial control procedures, defining and executing a growth and financing strategy, introducing suitable partners and business opportunities and matters related to future fund-raisings, acquisitions or exit considerations.
The holding period for investments is expected to vary depending on the type of investment, the particular circumstances of the relevant investee company, and the intended exit route. The holding period for pre-IPO and expansion stage investments is targeted at between 9 and 24 months and for earlier stage investments at between 24 and 48 months."
Further information:
| Origo Sino-India PLC Chris Rynning (chris@origoplc.com) Niklas Ponnert (niklas@origoplc.com) | +86 1390 124 6417 +86 1351 106 1672 |
| Nominated Adviser: Smith & Williamson Corporate Finance Limited Azhic Basirov / Jo Royden-Turner | +44 (0)20 7131 4000 |
| Broker: Liberum Capital Limited Simon Atkinson | +44 (0)20 3100 2222 |
| Public Relations: Aura Financial Andy Mills / Nina Legge | +44 (0)20 7321 0000 |