Business
Acquisition of 40.0% of Unigel (UK) Limited
Acquisition of 40.0% of Unigel (UK) Limited.
About this update from Unigel Group Plc
[{"type":"text","content":"\n\n \n \n \n \n\n \nUnigel Group plc\n(the \"Group\" or the \"Company\")\nAcquisition of 40.0% of Unigel (UK) Limited\n \nUnigel Group plc (AQSE: UNX), the manufacturer and supplier of materials used in the manufacture of telecommunication fibre optic cables announces that its wholly owned subsidiary Unigel Technologies Limited (\"Unigel Technologies\"), has entered into a share purchase agreement (\"SPA\") with Unigel Compounds Sdn Bhd (\"Seller\") to acquire the Seller's 40% shareholding in Unigel (UK) Limited (\"Unigel\") for total consideration of £1.3 million (the \"Acquisition\").\n \nThe Company currently owns 60% of Unigel through its wholly owned subsidiary Unigel Technologies and the Acquisition will increase that shareholding to 100%. The Acquisition is conditional on (i) the execution and completion of a deed of termination terminating a contract manufacturing agreement between the Seller and Unigel, (ii) the approval of the Acquisition by the shareholder of the Seller, (iii) the approval of the Acquisition by the shareholders of Hextar Capital Berhad (formally known as Opcom Holdings Berhad), being the holding company of the Seller, (iv) the execution by the Seller and Unigel Limited (a company incorporated in Hong Kong) of a share purchase agreement relating to the purchase by Unigel Limited of 40% of the share capital of Unigel IP Ltd, and that share purchase agreement becoming unconditional in all respects, and (v) payment of the purchase price instalments as set out below.\n \nThe Acquisition is being funded from the Company's existing cash resources payable in instalments as follows:\n \n· £130,000 by 31 January 2024;\n· £260,000 by 31 March 2024; and\n· £910,000 by 31 May 2024.\n \n \nAs part of the Acquisition, Mohamed Sharil bin Mohamed Tarmizi and Magnus Kreuger will resign as directors of Unigel and Magnus Kreuger will also resign as a director of Unigel Inc.\n \nThe Acquisition consolidates ownership control of Unigel to 100% within the Group, to support the Company's growth strategy whilst simplifying the Group's corporate structure.\n \nFor the year ended 31 December 2022, Unigel had revenue of approximately £15.2 million and made a profit of approxi...