Further Investment Saxa Gres

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[{"type":"text","content":"\n \n16 November 2017\n\nLIMITLESS EARTH PLC\n\n(\"Limitless\" or the \"Company\")\n\nFurther Investment Saxa Gres S.p.A\n\nLimitless Earth plc (“Limitless”), an AIM quoted investing company, is pleased to announce that it has made a further investment in Saxa Gres S.p.A. (“Saxa Gres”), a private Italian company focused on waste recycling industrial waste into the production of porcelain stoneware tiles, of approximately EUR €75,000.  Saxa Gres is raising funds, via an increase in its share capital, in order to invest in a new production line it requires to meet a significant increase in orders. Limitless is participating alongside two sizable credit funds in order to maintain its interest in Saxa Gres.\n\nLimitless had previously made two investments in Saxa Gres in December 2015 and March 2017 by way of secured, 10 per cent. loan notes (“Notes”) with accompanying options. Following these investments, Limitless holds options to acquire approximately 2.5 per cent. of the equity share capital of Saxa Gres at an exercise price of EUR €1 per share.\n\nSaxa Gres has raised EUR €3,000,000 in this fundraising round and Limitless has subscribed for EUR €75,000, in line with its stake in Saxa Gres of 2.5 per cent. The funds raised by Saxa Gres will be used to meet capital expenditure requirements for a new production line which is considered necessary to fulfil orders received by Saxa Gres at the CERSAIE Fair in Bologna at which it was exhibiting its new products for 2018.\n\nThe board of Saxa Gres advises that, in its opinion, it is gradually establishing itself as a leader in the outdoor ceramic tile market in Europe in light of the innovative composition of its tiles which allows it to tender for public authority work under the European Unions’ Green Public Procurement programme.\n\nInvestment Terms\n\nLimitless will invest on the same terms as the credit funds. The investment will be made by way of a loan to Manufacturing Renaissance Italian Solutions plc (“MARIS plc”) holder of 61.5 per cent. of Saxa Gres shares, including Limitless’s existing options of 2.5 per cent., and will be secured by the shares of MARIS plc (“the Facility”). Under the terms of the Facility, investors will receive interest of 11 per cent. rising to 20 per cent. over the term of the loan and tag-along rights in the event t...

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