Business
Capitalisation issue and new
Capitalisation issue and new.
About this update from R.e.a. Holdings Plc
[{"type":"text","content":"\n RNS Number : 3619C R.E.A.Hldgs PLC 29 August 2008 \n \nR.E.A. Holdings plc\nProposals for capitalisation issue and adoption of new articles of association\nSummary\nThe company announced yesterday as part of the announcement of its half yearly report for the six months ended 30 June 2008 proposals for a capitalisation issue to ordinary shareholders and the adoption by the company of new articles of association. The company now further announces that it is despatching a circular (the 'circular') to shareholders providing information concerning these proposals.\nPursuant to the capitalisation issue, it is proposed that ordinary shareholders will be allotted new preference shares on the basis of one new preference share for every 25 ordinary shares held at 6.00 p.m. on 24 September 2008. The new preferences shares will be issued credited as fully paid by way of capitalisation of share premium account. \nTo avoid an allottee of 1,000 or fewer new preference shares being forced either to retain what that allottee may regard as a relatively small allotment or to incur disproportionately high selling costs in realising the allotment, it is further proposed that the company will (except to the extent that allottees otherwise elect) aggregate all new preference shares comprised in allotments of 1,000 or fewer new preference shares and sell the resultant aggregated holding on behalf of the relative allottees (subject to achievement of a minimum gross price of 100p per new preference share as specified below).\nAs a separate matter, the directors consider it desirable that the company's articles of association be changed to reflect certain provisions of the Companies Act 2006 that are now in force or will shortly come into force. As the changes will affect a number of the articles of the existing articles of association, and as there have been numerous other changes in company law and practice, including to the rules of the UK Listing Authority, since the company's existing articles of association were adopted in 1988, the directors believe that the changes can most conveniently be effected by replacing the existing articles of association in their entirety. The directors are therefore proposing that the company should adopt new articles of association.\nImplementation of the capitalisation issue and...