SMRT.L Regulatory News (SMRT)

26 Oct 2009 14:32

COMS PLC

ISSUE OF EQUITY AND DIRECTORS' DEALINGS

The Board of Coms plc ("Coms" or the "Company"), a provider of internet telephony services to business customers, announces that, on 26 October 2009, it issued and allotted 5,750,000 new ordinary shares of 1p each ("New Ordinary Shares") (representing approximately 15.8 per cent. of the current issued share capital of the Company) at a price of 4p per share (the "Placing Price"), to directors and private investors raising £230,000 (before expenses) pursuant to a placing. The net placing proceeds will be used for additional working capital purposes.

The New Ordinary Shares are being placed under existing authorities to issue and allot shares.

Application has been made to the London Stock Exchange for the 5,750,000 New Ordinary Shares to be admitted to trading on AIM and it is expected that dealings will commence on or around 30 October 2009.

DIRECTORS' DEALINGS AND RELATED PARTY TRANSACTIONS

In the placing, Jason Drummond, a director of the Company, has subscribed for 1,250,000 New Ordinary Shares at the Placing Price. Following this transaction, Jason Drummond's beneficial interest in the Company is 17,519,041 ordinary shares, representing approximately 41.6 per cent. of the enlarged issued share capital of the Company.

Furthermore, Justin Drummond, a director of the Company, has subscribed for 125,000 New Ordinary Shares at the Placing Price pursuant to the placing. Following this transaction, Justin Drummond's beneficial interest in the Company is 1,867,230 ordinary shares, representing approximately 4.4 per cent. of the enlarged issued share capital of the Company.

The issue of New Ordinary Shares to Jason Drummond (Executive Chairman of the Company and a substantial shareholder) and Justin Drummond (a non-executive director of the Company) are Related Party Transactions for the purpose of AIM Rule 13.

Pursuant to AIM Rule 13, the directors (excluding Jason Drummond and Justin Drummond) consider, having consulted with Astaire Securities plc, the Company's Nominated Adviser, that the terms of the related party transactions with each of Jason Drummond and Justin Drummond are fair and reasonable insofar as the Company's shareholders are concerned.

Following the placing, the enlarged issued share capital of the Company will be 42,143,832 ordinary shares.

For further information, please see the Company's web site, www.coms.com, or contact:

Notes to editors:

Coms plc

Coms was founded by Jason Drummond in 2000 with the vision of enabling businesses to communicate by voice and video over the internet. Voice over IP (VoIP) is changing the way consumers and businesses communicate.

Coms offers a low-cost hosted communications service delivered over broadband. Coms customers can make high quality voice and video calls over the internet wherever a high-speed internet connection is available, including wireless hotspots, as they are allocated their own location-free unique user telephone number. Subscription is available in a range of packages.

Coms is an Ofcom authorised Public Electronic Communications Network (PECN) and a member of the Internet Telephony Service Providers Association (ITSPA).

Coms is listed on the London Stock Exchange AIM Market (LSE:COMS).

Copyright Business Wire 2009