Business
Proposed Acquisition
Proposed Acquisition.
About this update from Parkmead Group Plc
[{"type":"text","content":"\n Interregnum PLC\n16 February 2006\n\n16th February 2006\n\n Interregnum plc\n ('Interregnum')\n\n Proposed Acquisition and Capital Raising\n\nFurther to its announcement on the 30th January 2006, the Board of Interregnum\nplc is updating shareholders on progress made in connection with a potential\nacquisition and proposed fundraising.\n\nThis update is ahead of an EGM on Tuesday 21 February that is seeking, inter\nalia, approval from shareholders to increase the authorised share capital of the\nCompany and to empower the Directors to issue shares.\n\nProposed capital raising\n\nSubject, amongst other things, to obtaining shareholder approval at the EGM, the\nBoard has raised a total of £10 million (before expenses) via a placing of\n151,515,152 shares ('Placing') with institutional investors at a share price of\n6.6 pence to increase the capital base of the company.\n\nTerms have been agreed to acquire Quayside Ltd\n\nThe Board has agreed the terms on which it proposes to acquire 100 percent of\nthe issued share capital of Quayside Corporate Services Limited ('Quayside') in\nconsideration for the issue of 90,909,091 new Interregnum shares and a cash\namount equal to the net assets of Quayside at 28 February 2006. The\nconsideration shares would represent 27.1 per cent. of the enlarged issued share\ncapital of Interregnum following completion of the Placing and the acquisition.\nThe acquisition of Quayside will be conditional, amongst other things, on the\napproval by shareholders of the resolutions to be proposed at the EGM and upon\ncompletion of the Placing. The Board expects the sale and purchase contract to\nbe signed prior to the EGM taking place.\n\nFor the year ended 31 December 2005, Quayside generated revenues of £2.0 million\nand profit after tax of £0.66 million.\n\nQuayside was established in 1999. It specializes in the restructuring and\nturnaround of businesses. To date it has worked on over 120 cases and has 33\nlive programmes underway at the moment with over £250 million of funds managed.\n\nQuayside is led by David Mills, Managing Director (who will join the Board of\nInterregnum following completion of the acquisition) supported by Sandra\nThomson, Head of Leisure, Michael Bancroft, Head of Media & Fashion, Chris\nLangridge, Head of Finance and Audit and Chris Marks, Head of Engineering/\nManufactu...