7 Feb 2024 15:30
7 February 2024
The 600 Group PLC
("600 Group", the "Group" of or the "Company")
Trading Update
Update regarding Annual Report and Debt Facilities
600 Group plc, the diversified industrial engineering company (AIM: SIXH), announced on 7 December 2023 that the US Group companies had received a notice from Bank of America of default and demanding for payment in full of the Group's now expired and fully drawn US$5.5 million (the "Facility") by 15 December 2023 (the "Default Notice"). As previously announced, the Company has not been able to repay the Facility, which remains in default.
Since December, trading conditions for the Group have remained challenging, with demand for capital goods remaining subdued and the Company has continued to be loss making at an operating level. The Company has therefore been seeking to manage its existing resources accordingly.
As at 31 December 2023 the Group had unaudited trade payables balances, in addition to the Facility, of US$5.5 million and unaudited gross cash balances of US$0.8 million.
The Group remains in discussions with other parties in respect of potential funding options, including in respect of potential asset sales. However, there can be no certainty as to whether any additional funding will be available to the Group to secure its financial position or as to the terms upon which funding may be available to the Group.
Until such time as additional funding is secured and available to the Group, the audit process in respect of the Company's Annual Report for the year ended 31 March 2023 (the "2023 Annual Report") cannot be concluded. As a result, the Board of Directors of the Company has now concluded that the 2023 Annual Report will not be published prior to 31 March 2024.
As a result, trading in the Company's ordinary shares on AIM will continue to be suspended pending, inter alia, publication of the 2023 Annual Report and the Company's interim results for the six months ended 30 September 2023. Pursuant to Rule 41 of the AIM Rules for Companies, the admission of the Company's ordinary shares to trading on the AIM market of the London Stock Exchange is currently due to be cancelled with effect from the date falling six months from the date of suspension of trading in the Company's ordinary shares on 2 October 2023 ("Cancellation").
Prior to Cancellation, and notwithstanding the prevailing suspension of trading in the Company's ordinary shares, the Company will continue to make announcements as and when there are any developments that require announcement in accordance with its obligations under the AIM Rules for Companies.
Enquiries:
The 600 Group PLC Paul Dupee, Executive Chairman
| Tel: +1 407 818 1123 |
Cavendish Capital Markets Ltd (Nominated Adviser and Broker) Ben Jeynes / Dan Hodkinson (Corporate Finance) Henry Nicol (Sales)
| Tel: 020 7220 0500 |
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the UK version of the EU Market Abuse Regulation 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended and supplemented from time to time. Upon the publication of this announcement, this inside information is now considered to be in the public domain