Posting of shareholder circular

7 Nov 2011 14:21

LMS CAPITAL PLC POSTING OF SHAREHOLDER CIRCULAR with TIMING OF GENERAL MEETING and RESOLUTIONS FOR SHAREHOLDER VOTE

London, 7 November 2011: LMS Capital plc ("LMS Capital" or the "Company") announces that, following earlier announcements, a shareholder circular (the "Circular") with resolutions to be voted on at the Company's forthcoming General Meeting has today been filed with the UKLA and posted to shareholders.

In summary, the resolutions to be proposed are:

1. That a revised investment policy with the objective of conducting an

orderly realisation of the assets of the Company be effected in a manner

that seeks to achieve a balance between an efficient return of cash to

shareholders and maximising the value of the Company's investments.

2. That:

i. the Company distribute surplus cash periodically to shareholders in a tax efficient manner with due regard to shareholders' tax circumstances; ii. the Company manage its affairs such that existing capital commitments are ultimately eliminated; iii. the Company pursue a policy of asset realisation with a view to returning capital to members over as short a time period as practicable, having due regard to the maximisation of shareholder value; iv. the Company refrain from committing capital to any new investments; and v. the Board have discretion to make additional investments in existing assets in order to protect shareholder value.

3. That Robert Rayne remain on the Board as a director of the Company.

Further details of the resolutions are set out in the Circular, together with the background to and reasons for the general meeting of the Company to be held on 30 November 2011. The Circular also sets out the recommendations of the Board that shareholders vote IN FAVOUR of the first and second resolutions and AGAINST the third resolution to be proposed at the General Meeting.

The General Meeting of the Company will be held at One Vine Street, London, W1J 0AH at 11.00a.m. on 30 November 2011.

The Circular is available in the Investor Relations section of the LMS Capital website, www.lmscapital.com

In compliance with 9.6.1 of the Listing Rules the Company has submitted to the UK Listing Authority, via the National Storage Mechanism, copies of the Circular.

A further announcement will be made following the General Meeting.

ENDS EnquiriesQuayle Munro:

Andrew Tuckey / Colin La Fontaine Jackson 020 7907 4200

Matrix Corporate Capital LLP:

Paul Fincham / Rob Naylor 020 3206 7175

Brunswick Group:

Simon Sporborg / Fiona Micallef-Eynaud 020 7404 5959

About LMS

Under its current strategy, LMS is an investment company focused on investing in profitable and growing private companies where our involvement is additive to the value and performance of the company. Our focus is on small to medium sized companies in our preferred sectors of consumer, energy and business services. We partner with experienced managers in profitable, growing companies where we believe we can add value.