AssetCo plc ("the Company")
Completion of placing
Further to this morning's announcement confirming all the resolutions were passed at the General Meeting today, the placing of 160,000,000 shares at a price of 10 pence each ("the Placing") has been completed, subject to admission to trading on AIM, raising gross proceeds of £16million. The Placing was underwritten and placed with a range of institutional shareholders by the Company's NOMAD and Broker Arden Partners.
The net proceeds will be used to address the Company's short term liquidity and funding issues, to assist in the restructuring of the Group's indebtedness and to provide working capital for the future development of the Group.
In order to avoid the shares in the Placing ("the Placing Shares") being issued at a discount to their nominal value, shareholders at the General Meeting approved a resolution to reduce the nominal value of the ordinary shares in the Company to one pence each by subdividing each of the existing 25 pence shares into one ordinary share of one pence and one deferred share of 24 pence.
The number of issued ordinary shares immediately following this reorganisation will be the same as the number of ordinary shares prior to this re-organisation.
Application has been made for the Placing Shares to be admitted to trading on AIM. The Placing shares rank pari passu with the existing issued ordinary shares of the Company and dealings are expected to commence at 8.00am on 23 March 2011.
AssetCo plc +44 (0) 20 8515 3999
Tim Wightman, Chairman
Arden Partners plc +44 (0) 20 7614 5917
Cadogan PR +44 (0) 207 839 9260
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