Parkmead Regulatory News (PMG)

26 Apr 2006 13:54

Interregnum PLC26 April 2006 26 April 2006 Interregnum plc ("Interregnum" or the "Company") CORRECTION TO RNS UK NEWS RELEASE DATED 19 APRIL 2006 The announcement of the Company's proposed change of name and revised reductionof capital resolution released on 19 April 2006 incorrectly stated the amountstanding on the Company's share premium account as at 21 February 2006 as being£19,430,946 and at 19 April 2006 as being £21,604,738 and the amount standing onthe Company's share capital account as at 19 April as being £12,197,352. Thecorrect amount standing to the credit of the Company's share premium account asat 21 February 2006 was £19,430,496 and at 19 April 2006 was (and as at today'sdate remains) £23,059,284 and the amount standing on the Company's sharecapital account as at 19 April was (and as at today's date remains) £16,742,809.Consequently, cancellation of the Company's share premium account will resultin reserves of £1,018,156 which, subject to such protections as the Court mayrequire in respect of the Company's creditors, will be distributable. Please find below the full amended announcement: Interregnum plc Proposed Change of Name and Revised Reduction of Capital Resolution Interregnum plc was created and is known as a technology bank. Over recentmonths the business has been significantly restructured and its focussignificantly broadened so that it is now working - and intends to work - in arange of sectors. After due consideration the Board has concluded that the current corporate nameis no longer reflective of the Group's new business which is focused onbusiness turnaround, principal finance and corporate finance across sectorswhich include leisure, manufacturing, aerospace, energy and technology. Accordingly, subject to shareholders' approval at an Extraordinary GeneralMeeting to be held on 12th May 2006 at 11.00am at the offices of the Company,22-23 Old Burlington Street, London, the Group Board intends to adopt the name:'The Parkmead Group plc.' Reduction in Capital In addition, a new resolution will be put to shareholders relating to a revisionof the planned reduction in capital. Shareholders will be aware that on 21 February 2006 a special resolution wasapproved to cancel £17,600,000 of the amount standing to the credit of theCompany's share premium account (then standing at £19,430,496). However, beforethe Court process was commenced to obtain the requisite sanction of the HighCourt to the proposed reduction, the Company underwent a restructuring, whichresulted in material changes to the Company's balance sheet (both in terms ofthe level of the Company's share capital and the accumulated losses). The interim results for the period to 31 December 2005 now show aggregateretained losses in the Company of £22,041,128. As at today's date the Company'sshare capital and share premium accounts stand at £16,742,809 and £23,059,284respectively. It is therefore proposed to replace the 21 February resolutionwith a new resolution which seeks the approval of shareholders to a cancellationof the entire share premium account so as to ensure that (subject to thesanction of the High Court) the Company's losses will be eliminated in theirentirety and result in reserves of £1,018,156 which, subject to such protectionsas the Court may require in respect of the Company's creditors, will bedistributable. Before it will sanction the reduction of share premium account, the High Courtwill want to be satisfied that the interests of creditors will not be prejudicedby the reduction and may require that the Company provide protection forcreditors. If such protection is required, it is likely to take the form of anundertaking to credit sums representing profits of the Company or itssubsidiaries made prior to the reduction of share premium account taking effectto be credited to a non-distributable reserve until such time as all liabilitiesof the Company at the date when the reduction takes effect have been dischargedor the persons to whom they are due agree that it may be distributed. The issueof appropriate creditor protection is for the Court to determine and the Companywill put in place such creditor protection as the Company considers appropriatefollowing professional advice and so as to meet the Court's requirements. The Board believes that the implementation of this proposal will assist theCompany in bringing about a return to ongoing profitability, and firmly believethat the Company should take this action so as to enable it to be able to paydividends in the future, if and when it is deemed to be appropriate. Ends For further enquiries: Interregnum plc 020 7494 3080 Niall Doran (Chief Executive) Madano Partnership (PR to Interregnum) 020 7593 4000 Toby Wilkinson/Matthew Moth This information is provided by RNS The company news service from the London Stock Exchange