23 Feb 2024 07:00
23 February 2024
Verditek plc
("Verditek" or the "Company")
Update on the Proposed Disposal
The Company is pleased to announce that negotiations with the Bondholders (as announced on 7 of February 2024) in relation to the proposed disposal (the "Proposed Disposal") of certain Company's assets (as detailed in the 7 February 2024 announcement) are progressing positively.
The Directors have now implemented additional measures to reduce the Company's cash burn. This, in addition to some recent cash receipts at its Verditek Solar Italy srl subsidiary, mean that the Company has extended its current cash runway from the date indicated in the announcement of 7 February 2024 by approximately one week until the end of the week beginning 4 March 2024. Whilst the directors remain confident that negotiations with the Bondholders will conclude successfully, there is no certainty that the Company's Shareholders will approve the Proposed Disposal at the General Meeting, which has been convened for 29 February 2024, and therefore that the Proposed Disposal will complete and additional sources of finance will be made available to the Company.
Consequently, should the Proposed Transaction not complete, it remains the case that the directors will likely consider alternative routes including, potentially, a liquidation of the Company. It should be noted that should the Company, as a result, enter some form of administration, it is likely that its Nominated Adviser will resign from its role and, as a result, the Company's shares (the "Shares") will be suspended from trading on AIM. If within one month of suspension the Company fails to appoint a replacement nominated adviser, the admission of its Shares to AIM ("Admission") will be cancelled.
Upon completion of the Proposed Disposal, the Company will be regarded as an AIM Rule 15 cash shell, having ceased to own, control or conduct all or substantially all, of its existing trading business, activities or assets. The Company will therefore need to, within six months, make an acquisition or acquisitions which constitute a reverse takeover under AIM Rule 14, failing which trading of its Shares on AIM will be suspended. Should the Shares remain suspended from trading for six months, Admission of the Shares to AIM will be cancelled under AIM Rule 41.
For further information, please contact:
Verditek plc
Rob Richards (Chief Executive Officer) +44 (0) 20 7129 1110
Vicki Johnson (Interim Chief Financial Officer)
WH Ireland Limited (NOMAD and Broker)
Chris Hardie +44 (0) 20 7220 1666
Hugh Morgan
Antonio Bossi
Andrew de Andrade
This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.
About Verditek plc
AIM listed Verditek plc is a holding company of a business operating within the green technology sector. The Company is focused on commercialising our lightweight low-profile solar panel business. With manufacturing based in Italy, we have developed renewable power solutions for our customers, that drive solar energy into applications previously unachievable. The exceptional properties of our solar panels replace diesel fuel in business such as perishable goods transport, off-grid telecommunication towers, electric vehicle charging stations, residential and holiday home power solutions and solar roofing for light-weight industrial roofing. In addition to our current PV panels in production, we have partnered with an outstanding leader in graphene technology, Paragraf.
For more information please visit or contact the following: https://verditek.com/