REMINDER: Our user survey closes on Friday, please submit your responses here

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksWAND.L Regulatory News (WAND)

  • There is currently no data for WAND

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

Turnaround Plan Momentum

26 Jun 2023 15:30

RNS Number : 9399D
WANdisco Plc
26 June 2023
 

26 June 2023

WANdisco plc

 

("WANdisco" or the "Company")

 

Turnaround Plan Momentum

 

· Interim Non-Executive Chair, Ken Lever, to engage in an open process to become permanent Non-Executive Chair upon successful completion of the fundraise.

· Stephen Kelly and Ijoma Maluza interim roles to become permanent, conditional on completion of a $30m issue of ordinary shares.

· Further cost savings achieved, improving visibility towards cash-flow break-even.

· New customer win with Accenture, supporting a leading Australian bank's data modernization program.

· Pipeline refresh provides increasing confidence in execution of the Turnaround Plan.

 

WANdisco (LSE: WAND), the data activation platform is pleased to confirm that, following the successful passing of both recent General Meeting resolutions with 97.8% shareholder support, it continues to make good progress towards the launch of a $30m issue of ordinary shares (the "Equity Issue"). A successful Equity Issue will be a key step towards lifting the current suspension of the Company's shares. The re-establishment of admission to trading on AIM will further help to restore partner, customer and employee confidence in the Company. Further updates on this process will be provided in due course but the Company is pleased to confirm the following today:

 

· Board Update

Conditional on the successful completion of an Equity Issue, the Board is delighted to announce that Stephen Kelly and Ijoma Maluza have agreed that their current interim roles will become permanent, upon which they will join the Board. In addition, Interim Non-Executive Chair Ken Lever will engage in a process to become permanent Non-Executive Chair on completion of the fundraise. The team is committed to seeing the Company through the Turnaround Plan and beyond. 

 

Furthermore, the Company is also encouraged by the progress it continues to make with its Turnaround Plan workstreams and in its commercial engagements. Of particular note:

 

· Further reduction in cost base

On 15 May, the Company announced that it had reduced WANdisco's annualized cost base from $41 million to circa $25 million. The Board now expects to bring down the annualized run rate overhead cost for 2024 to $22-23 million. Management believes this provides a realistic foundation for an accelerated path to cash-flow break-even. 

 

· Commercial momentum

The Board is pleased to confirm that commercial activities with customers, prospective customers and partners have resumed and returned to a level of engagement in line with the ambitions of its Turnaround Plan, giving the Company increasing confidence in its growth ambitions. This resumption follows the strong support customers and partners have expressed in the proposed governance and control changes as well as in the 'Equity Issue', 'FY22 Audit Completion' and 'Share Suspension Lifting' milestones of the Turnaround Plan.

As evidence of this, WANdisco has today announced a new two-year agreement valued at $113,125 with Accenture, which will use WANdisco Data Migrator to support the data modernization program for a leading Australian bank.

 

· Pipeline testing and confidence

As announced on 15 May, steps have been taken to review the existing pipeline as part of ensuring proper alignment with the Board's internal forecasts for funding and cashflow requirements. The cleansing of the pipeline combined with the re-engagement of commercial activity with customers, prospects and partners has given the Board improved visibility and confidence in the rebuild of the pipeline in H223, aligned with its Turnaround plan. The pipeline building during H223 will be a key milestone to support the Company's accelerated growth plans in FY24 as it progresses towards cash-flow break-even.

 

· Rebranding and change of company name

On 9 June 2023 the Company noted that it intended to commence work to propose a change of the Company's name at WANdisco's upcoming Annual General Meeting ("AGM"). This change is part of a broader update to the Company's overall brand to best reflect the values and vision embodied in the Turnaround Plan, including but not limited to improvements in disclosure, governance, and the Board's future ambitions for the Company. The Company is pleased to confirm that this rebranding workstream is progressing well and in-line with its anticipated AGM approval timeline. 

 

 

Ken Lever, Interim Non-Executive Chair of WANdisco said:

"I am pleased with the progress we continue to make across key parts of our Turnaround Plan. Our ability to further control costs, cleanse our pipeline and restore the faith, trust and engagement of our customers and partners are significant achievements and should enhance shareholder confidence in the Company's future. We have come a long way since the dark day of the 9th March and I want to thank every employee and stakeholder for the part they have played in delivering such concrete achievements.

 

Now, attention turns to the most significant of all milestones in our Turnaround Plan: the execution of an Equity Issue to underpin our future ambitions for the Company. Further announcements on this workstream will be made in due course. I hope shareholders share my delight that we now have a world class management team who have committed to lead the Turnaround Plan on successful completion of an Equity Issue."

 

 

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the company's obligations under Article 17 of MAR.

 

The person responsible for arranging the release of this announcement on behalf of WANdisco plc is Larry Webster, Company Secretary 

 

For further information, please contact:

 

FTI Consulting

Rob Mindell / Tom Blundell / Matt Dixon

+44 (0)20 3727 1137

 

Stifel (Nomad and Joint Broker)

Fred Walsh / Richard Short / Tom Marsh

 

+44 (0)20 7710 7600

 

 

Liberum (Joint Broker)

Max Jones / Ben Cryer 

+44 (0)20 3100 2000

 

About WANdisco

WANdisco is the data activation platform for accelerating digital transformation at scale. WANdisco makes infinite data actionable across clouds and enterprises in real time. WANdisco customers unleash the business value of the cloud with zero downtime, data loss, or disruption to fuel AI and machine learning, create new services, and transform businesses. For more information about WANdisco, visit www.wandisco.com

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
END
 
 
MSCBSGDLIDDDGXL
Date   Source Headline
27th Feb 20197:00 amRNSHolding(s) in Company
20th Feb 20192:42 pmRNSHolding(s) in Company
15th Feb 20193:11 pmRNSHolding(s) in Company
14th Feb 20197:00 amRNSAdvanced Technology Partner status with AWS
14th Feb 20197:00 amRNSSubscription for shares raising $17.5m
1st Feb 20197:00 amRNSTotal Voting Rights
10th Jan 20199:02 amRNSTotal Voting Rights
9th Jan 20194:35 pmRNSPrice Monitoring Extension
8th Jan 20197:00 amRNSSQL product launch with IBM
3rd Jan 20197:00 amRNSInaugural Multi-Cloud Contract Win
27th Dec 20187:00 amRNSHealthcare Contract Win
13th Dec 20187:00 amRNSSignificant health insurance contract win
10th Dec 20187:00 amRNSDirector Dealings and Issue of Equity
3rd Dec 20187:00 amRNSBlock admission notification
3rd Dec 20187:00 amRNSTotal Voting Rights
19th Nov 20187:00 amRNSHire of SVP of marketing
19th Nov 20187:00 amRNSBoard change
7th Nov 201810:29 amRNSTotal Voting Rights
5th Nov 20187:00 amRNSContract win
31st Oct 20187:00 amRNSDirector Dealings
24th Oct 201811:11 amRNSDirector Dealings and Issue of Equity
17th Oct 20187:00 amRNSWANdisco launches LiveData for Multicloud
16th Oct 20189:32 amRNSDirector Dealings and Issue of Equity
12th Oct 20187:00 amRNSDirector/PDMR Shareholding
3rd Oct 20185:34 pmRNSDirector Dealings and Issue of Equity
2nd Oct 20188:27 amRNSTotal Voting Rights
25th Sep 20187:01 amRNSAutomotive contract win
25th Sep 20187:00 amRNSHalf-year Report
3rd Sep 20187:30 amRNSTotal Voting Rights
3rd Sep 20187:00 amRNSWANdisco plc Trading Update
1st Aug 20187:00 amRNSWANdisco's Total Voting Rights
25th Jul 20187:00 amRNSNew blockchain patent filing and VP of Engineering
3rd Jul 20189:00 amRNSWANdisco Total Voting Rights
29th May 20184:55 pmRNSBlock Listing Six Monthly Return
23rd May 201811:27 amRNSResult of AGM
22nd May 201812:05 pmRNSHolding(s) in Company
2nd May 20186:19 pmRNSTotal Voting Rights
25th Apr 20182:54 pmRNSHolding(s) in Company
16th Apr 20184:02 pmRNSHolding(s) in Company
4th Apr 20183:11 pmRNSHolding(s) in Company
3rd Apr 20184:56 pmRNSTotal Voting Rights
27th Mar 20181:44 pmRNSHolding(s) in Company
14th Mar 20187:00 amRNSDirector/PDMR Dealing
12th Mar 20187:00 amRNSWANdisco announces Co-Sell status with Microsoft
7th Mar 20187:00 amRNSAppointment of Joint Corporate Broker
7th Mar 20187:00 amRNSOEM SALES PARTNERSHIP WITH ALIBABA CLOUD
7th Mar 20187:00 amRNSPreliminary Results
2nd Mar 20187:18 amRNSTotal Voting Rights
26th Feb 201810:02 amRNSNotice of Results
1st Feb 20185:07 pmRNSTotal Voting Rights

Due to London Stock Exchange licensing terms, we stipulate that you must be a private investor. We apologise for the inconvenience.

To access our Live RNS you must confirm you are a private investor by using the button below.

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.