27 Aug 2020 14:27
27 August 2020
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Vela Technologies plc
("Vela")
Update re. WeShop Limited
The Board of Vela (AIM: VELA) notes the announcement made today by Two Shields Investments plc regarding a shareholder update issued by聽WeShop Limited聽("WeShop") in relation to completion of a fundraise through the issue of a convertible loan note, and other matters.
Vela currently holds 71,429 shares in WeShop representing approximately 1.4% of WeShop's share capital. Vela originally subscribed for 拢100,000 in May 2014 as part of a 拢1 million seed funding round. The Board of Vela welcomes the new funding for WeShop, as detailed below, and continues to seek to dispose of part or all of its holding in WeShop, as announced on 3 December 2019.
Extracts from the shareholder update issued by WeShop are copied below:
WeShop Update聽
Highlights include:
路聽拢9,000,000 fundraise completed through the issue of a convertible loan note
路聽Option granted for a further 拢2,777,777 cash investment
路聽Board changes including appointment of Yoav Keren, CEO of BrandShield, to the Board.
Financing
The Convertible Loan Note:
WeShop has announced that terms have been agreed, and completion happened on a 拢9,000,000 convertible loan note. The terms of the loan note are:
路聽Interest rate of 8% per annum for a 36-month period
路聽Unsecured from any debenture
路聽Conversion triggers which include an IPO, an exit or further funding rounds
路聽Conversion would occur at a 20% discount to the price of the conversion event
Option to acquire 10% for 拢2,777,777
The lead investor on the convertible loan note has also taken a 6-month option whereby it allows them to invest a further 拢2,777,777 into the business at a 拢25m valuation as equity which would give them a 10% stake in WeShop. Details of the Lead investor shall be released in the coming days.
WeShop Board Changes;
On the 13 August, Yoav Keren was appointed to the board of WeShop as Non-Executive Director. Yoav is the founder and CEO of Brandshield. BrandShield is an online threat hunting company, specialized in monitoring, detection and removal of online threats such as phishing attempts, executive impersonation, counterfeit products, trademark infringements and more. BrandShield was established to revolutionize the way companies can protect their digital assets outside their security perimeter.
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For further information, please contact:
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Vela Technologies plc Brent Fitzpatrick, Non-Executive Chairman James Normand, Executive Director 聽 | Tel: +44 (0) 7421 728875 |
Allenby Capital Limited聽(Nominated Adviser and Joint Broker) | Tel: +44 (0) 20 3328 5656 |
Nick Athanas/Asha Chotai 聽 | |
Peterhouse Capital Limited聽(Joint Broker) | Tel: +44 (0) 20 7469 0930 |
Lucy Williams / Duncan Vasey / Eran Zucker聽 聽 |
About Vela Technologies聽
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Vela Technologies (AIM: VELA) is an investing company focused on early stage and pre-IPO long term disruptive technology investments.鈥疶here are currently 5 investments in the portfolio which either have developed ways of utilising technology or developing technology with a view to disrupting the businesses or sector in which they operate. More recently, Vela Technologies has also started to focus on existing listed companies where valuations may offer additional opportunities.
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