Business
Partial sale of Device Authority holding
Partial sale of Device Authority holding.
About this update from Tern Plc
[{"type":"text","content":"\n\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE EUROPEAN UNION (WITHDRAWAL) ACT 2018). UPON THE PUBLICATION OF THIS ANNOUNCEMENT THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE WITHIN THE PUBLIC DOMAIN.\n9 August 2024\nTern Plc\n(\"Tern\" or the \"Company\")\nPartial sale of Device Authority holding\nTern Plc (AIM:TERN), the investment company specialising in supporting high growth, early-stage, disruptive Internet of Things (\"IoT\") technology businesses, announces that it has sold part of its shareholding in Device Authority Limited (\"Device Authority\") for a total cash consideration of £233,000. As a consequence, Tern's holding in Device Authority has reduced from 31.7% to 30.0% (before any dilution on the exercise of share options and the expected closing of Tranche Two (\"Tranche Two\") of the Device Authority Fundraising announced on 27 December 2023).\nThis sale of equity in Device Authority equated to approximately 5.3% of Tern's holding in Device Authority and has been undertaken at the same price as the Device Authority Fundraising announced by the Company on 27 December 2023 (the \"Device Authority Fundraising Issue Price\"). The buyer of Tern's equity in Device Authority is an independent family office who are not currently a shareholder in Device Authority and not related to Tern. The proceeds of this disposal will be used to invest further in one or more of Tern's portfolio companies and for general corporate purposes.\nTern's reduced holding of 30.0% in Device Authority (before any dilution on exercise of share options and the expected closing of Tranche Two) has an unaudited book valuation of approximately US$5.4 million (approximately £4.2 million) at the valuation implied by the Device Authority Fundraising Issue Price.\nThe remaining Tranche Two of the Device Authority Fundraising of US$3.3 million, by Ten Eleven Ventures remains, as previously announced, to be completed on or prior to 30 September 2024. On completion of Tranche Two, by Ten Eleven Ventures, Tern will hold 25.3% of Device Authority's equity (before any dilution on exercise of share options), which would be valued at approximately US$5.4 million (approximately £4.2 million) at the valuation implied by the Device Authority Fundraising...