Trading update, Issue of Equity and Total Voting Rights
MILESTONE GROUP PLC
(“Milestone” or the “Company”)
Trading update, Issue of Equity and Total Voting Rights
Trading update
AIM quoted Milestone Group PLC (AIM:MSG), the digital solutions and technology agency, provides the following trading update following its financial year end 30 September 2010.
The Company has continued to consolidate its offering following its repositioning as a digital solutions and technology agency. However, while the Company has developed a pipeline of opportunities, these are not being converted into sales as quickly as anticipated. As a result, the Company expects revenues in the second half of its financial year to be only slightly ahead of revenues achieved in the first half.
The Company has though seen increased interest in the JumpStart Wireless technology and is in early stage discussions with a number of interested parties with regard to the commencement of trials of the technology. Under the JumpStart agreement, Milestone receives a percentage of the gross revenue from all sales of the JumpStart Wireless technology made in the UK.
Issue of Equity
In addition, the Company also announces that it has agreed to issue 17,873,391 ordinary shares of 0.1 pence each in the capital of the Company (“Ordinary Shares”), at a price of 1.13 pence per Ordinary Share, raising £201,969.32. Of this, 16,988,435 Ordinary Shares will be issued to Mr. Cormac Crawford, representing 11.72 per cent of the enlarged issued share capital.
Mr. Crawford is a financier with wide ranging experience in international finance, having founded Shannon International Leasing, a successful international asset finance business in Ireland, which was subsequently sold to Credit Lyonnais in 1991. He then founded Ailesbury Corporate Finance Limited, a boutique financial services company, which engaged in client fund raising, consultancy, mergers & acquisitions, and corporate reconstruction in 1992. Subsequently, Mr. Crawford led a consortium of investors to purchase Olhausen Limited, a major Irish meat processing company.
The proceeds of the placing will be used to provide working capital and to reduce the Company’s liabilities which, as at the 30 September 2010, had reduced slightly from the interim period end. As previously announced, the Company continues to actively manage its liabilities and further fundraisings will be required in the short term to enable the Company to meet its liabilities and to provide additional working capital. The Company continues to be reliant on its ability to manage the timing of settlement of its liabilities and to raise further funds going forward in the short term.
Application will be made for, in aggregate, 17,873,391 new Ordinary Shares to be admitted to trading on AIM, which is expected to occur no later than 24 November 2010. The new Ordinary Shares, when fully paid and issued, will rank pari passu in all respects with the existing Ordinary Shares of Milestone.
Total Voting Rights
Following the issue, Milestone will have in issue 144,940,899 Ordinary Shares with voting rights. The Company does not hold any Ordinary Shares in treasury. The figure of 144,940,899 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA’s Disclosure and Transparency Rules.
So far as the Company is aware and subject to any new notifications received, the following persons will have a notifiable interest in the issued share capital of Milestone following this issue of Ordinary Shares:
(“Milestone” or the “Company”)
Trading update, Issue of Equity and Total Voting Rights
Trading update
AIM quoted Milestone Group PLC (AIM:MSG), the digital solutions and technology agency, provides the following trading update following its financial year end 30 September 2010.
The Company has continued to consolidate its offering following its repositioning as a digital solutions and technology agency. However, while the Company has developed a pipeline of opportunities, these are not being converted into sales as quickly as anticipated. As a result, the Company expects revenues in the second half of its financial year to be only slightly ahead of revenues achieved in the first half.
The Company has though seen increased interest in the JumpStart Wireless technology and is in early stage discussions with a number of interested parties with regard to the commencement of trials of the technology. Under the JumpStart agreement, Milestone receives a percentage of the gross revenue from all sales of the JumpStart Wireless technology made in the UK.
Issue of Equity
In addition, the Company also announces that it has agreed to issue 17,873,391 ordinary shares of 0.1 pence each in the capital of the Company (“Ordinary Shares”), at a price of 1.13 pence per Ordinary Share, raising £201,969.32. Of this, 16,988,435 Ordinary Shares will be issued to Mr. Cormac Crawford, representing 11.72 per cent of the enlarged issued share capital.
Mr. Crawford is a financier with wide ranging experience in international finance, having founded Shannon International Leasing, a successful international asset finance business in Ireland, which was subsequently sold to Credit Lyonnais in 1991. He then founded Ailesbury Corporate Finance Limited, a boutique financial services company, which engaged in client fund raising, consultancy, mergers & acquisitions, and corporate reconstruction in 1992. Subsequently, Mr. Crawford led a consortium of investors to purchase Olhausen Limited, a major Irish meat processing company.
The proceeds of the placing will be used to provide working capital and to reduce the Company’s liabilities which, as at the 30 September 2010, had reduced slightly from the interim period end. As previously announced, the Company continues to actively manage its liabilities and further fundraisings will be required in the short term to enable the Company to meet its liabilities and to provide additional working capital. The Company continues to be reliant on its ability to manage the timing of settlement of its liabilities and to raise further funds going forward in the short term.
Application will be made for, in aggregate, 17,873,391 new Ordinary Shares to be admitted to trading on AIM, which is expected to occur no later than 24 November 2010. The new Ordinary Shares, when fully paid and issued, will rank pari passu in all respects with the existing Ordinary Shares of Milestone.
Total Voting Rights
Following the issue, Milestone will have in issue 144,940,899 Ordinary Shares with voting rights. The Company does not hold any Ordinary Shares in treasury. The figure of 144,940,899 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA’s Disclosure and Transparency Rules.
So far as the Company is aware and subject to any new notifications received, the following persons will have a notifiable interest in the issued share capital of Milestone following this issue of Ordinary Shares:
For further information:
Milestone Group Plc
Deborah White, Chief Executive Tel: 020 7929 7826
Strand Hanson Limited
Richard Tulloch / David Altberg Tel: 020 7409 3494
Hybridan LLP
Claire Louise Noyce Tel: 020 7947 4004
Milestone Group Plc
Deborah White, Chief Executive Tel: 020 7929 7826
Strand Hanson Limited
Richard Tulloch / David Altberg Tel: 020 7409 3494
Hybridan LLP
Claire Louise Noyce Tel: 020 7947 4004
