TILS.L Regulatory News (TILS)

26 Mar 2008 09:00

ReGen Therapeutics PLC26 March 2008 26 March 2008 ReGen Therapeutics Plc • Appointment of Alexander David Securities as new Broker • Placing to raise £204,648 through placing of new ordinary shares • An equity financing facility to raise up to £2m ReGen Therapeutics Plc ("ReGen" or the "Company", AIM: RGT) is pleased toannounce that it has today appointed Alexander David Securities Limited ("ADSL")as the Company's new broker, with immediate effect. ReGen also announces that it has today placed, directly and through its newbroker, 629,685 new ordinary shares of 10p each at 32.5p per share with existinginvestors ("the Placing") and as a result has raised £204,648 before expenses ofthe issue. The new ordinary shares, which will represent 5.78 per cent of theenlarged issued share capital of the Company, will rank pari passu in allrespects with the existing ordinary shares in the Company. Application will be made to the London Stock Exchange for the 629,685 newordinary shares to be admitted to trading on AIM and dealings in the newordinary shares are expected to commence on 31 March 2008. Five of the Company's directors are subscribing for new ordinary shares in theplacing: Mr Percy Lomax is subscribing for 15,300 new ordinary shares making histotal holding 53,787 shares, representing 0.49 per cent of the new enlargedshare capital. Mr Martin Small is subscribing for 12,500 new ordinary sharesmaking his total holding 58,320 ordinary shares, representing 0.54 per cent ofthe enlarged share capital. Mr Timothy Shilton is subscribing for 15,300 newordinary shares making his total holding 26,966 ordinary shares, representing0.25 per cent of the new enlarged share capital. Mr Keith Corbin is subscribingfor 15,385 new ordinary shares making his total holding 46,435 ordinary shares,representing 0.43 per cent of the enlarged share capital. Dr Peter Garrod issubscribing for 125,000 new ordinary shares making his total holding 882,500ordinary shares representing 8.10 per cent of the enlarged share capital. In addition ReGen has entered into a equity credit facility agreement with DukeHoldings Corporation Limited ("Duke") to provide a drawdown of capital inexchange for shares in the Company. Duke has offered ReGen an initial facilityof £2m which is available in two tranches of £1m. Pursuant to this agreementReGen has now issued a notice of an initial drawdown of up to £400,000 ofshares, which may be split over a number of allotments to Duke. Further detailsas to the amount of shares to be issued under this initial drawdown will bereleased in due course. Executive Chairman Percy Lomax commented, "We are pleased with the placing andactivation of the drawdown facility which will provide funding of £604,648 invery uncertain financial market conditions. As sales of CogniSureTM build up,ultimately the Directors believe the Company will become self financing; howeverthe Company is not yet at this point. This funding the Company is receiving willbe used to continue the development of the exciting opportunities we have in thepharmaceutical sector." For further information, please contact: Percy LomaxReGen Therapeutics PlcTel: 020 7153 4920 Roland Cornish/Felicity GeidtBeaumont Cornish LimitedTel No 020 7628 3396 David Scott/Nick BealerAlexander David Securities LimitedTel: 020 7448 9800 This information is provided by RNS The company news service from the London Stock Exchange