Business
Related Party Funding
Related Party Funding.
About this update from Sabien Technology Group Plc
[{"type":"text","content":"\n\n20 August 2024\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.\nSabien Technology Group plc\n(\"Sabien\" or the \"Company\" or the \"Group\")\nRelated Party Funding\nSabien Technology Group plc (AIM: SNT), a leader in Green Aggregation Strategy, today provides an update regarding the related party funding announced in the trading update on 8 July 2024.\nThe Board of Sabien have agreed the following funding arrangements with Richard Parris' family office - Parris Group Limited (\"PGL\") - which will ensure that the Group has sufficient working capital for the next 12 months without the need for a placing, based on current sales forecasts.\n1. Remainder of PGL Loan facility announced 19 February 2024\nThe loan facility announced on 19 February 2024 has £100,000 remaining available to be drawn down. It is expected this will be required within the next 12 months.\n2. PGL wholesale stock facility\nPGL has agreed to provide a facility whereby it will buy Sabien M2G and M2G Cloud Connect and related stock in bulk. PGL will then resell that stock to Sabien in the smaller quantities required to meet Sabien customer demand. PGL will take a 20% wholesaler mark up on the stock and be paid by Sabien once cash is collected from the end customer.\n3. PGL R&D and IT support agreement\nPGL has agreed to take over responsibility for the remaining software and hardware development required to commercialise the final stage in the M2G Cloud Connect development and for the Group IT support function. PGL will provide these services via its digital trust solution subsidiary: Aretiico Group Plc. PGL will take a 5% royalty on M2G sales and be paid by Sabien once cash is collected from the end customer.\n4. Issue of equity to settle outstanding Board remuneration, broker fees and other liabilities\nRichard Parris and Ed Sutcliffe in their capacity as directors of Sabien have agreed to accept settlement of £61,936 outstanding Director remuneration (the \"Director Remuneration\"); the Company's broker has agreed to accept settlement for £40,000 of broker fees; and £25,000 of other liabilities will be settled via the issue of new ordinary shares (\"New Sh...