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Additional Listing
Additional Listing.
About this update from Surface Transforms Plc
[{"type":"text","content":"\n \n To be embargoed until 7.05am\n\n 31 July 2007\n\n Surface Transforms Plc \n\n (\"Surface Transforms\" or \"the Company\") \n\n Proposed placing of 5,000,000 new ordinary shares of 1p each at 20p per share \n\nThe Company announces that John East & Partners Limited (\"John East &\nPartners\"), on behalf of the Company, has placed 5,000,000 new ordinary shares\n(\"the Placing Shares\") at 20p per Placing Shares with institutional and other\ninvestors (\"the Placing\"). The Placing is conditional, inter alia, on\nshareholders approval at an extraordinary general meeting of the Company to be\nheld at 12.00p.m. on 24 August 2007 and admission of AIM of the Placing Shares.\n\nBackground to and reasons for the Placing\n\nIn my Chairman's Statement that accompanied the interim results for the six\nmonths ended 30 November 2006, I highlighted that the Company had made\nsignificant financial and operational progress within the automotive ceramic\nbrake market and in completing the ST Tech 2 production process.\n\nThe Company has made further progress in the second half of the financial year,\nin particular, within the automotive aftermarket where, alongside Stop Tech Inc\nof the US, the Company recently signed an agreement with Mov' it GmBH for the\nEuropean Market. As we start the current financial year, the Company has supply\nrelationships with three automotive customers which can be relied upon to\nincrease substantially the demand for ceramic discs in future years. A\ncomprehensive update of the current trading position of the Company is\ncontained in my Chairman's Statement which accompanies the preliminary results\nfor the year ended 31 May 2007.\n\nThe Company's cash resources as at 31 May 2007 were £878,971, which provides\nsufficient working capital for at least the next 12 months. However, to build\non the progress made by the Company in the last financial year, accelerate the\nadoption of the Company's carbon ceramic discs in the wider automotive brake\nmarket and reduce the direct cost of manufacturing the discs, the Company is\nproposing to effect the Placing.\n\nThe proceeds of the Placing, which amount to approximately £895,000 after\nexpenses, will allow the Company to make the necessary capital investments to\ncontinue and accelerate its product development and provide additional working\ncapital.\n\nIt i...