Business
£140m Tender Offer for at least £2.00 per Share
£140m Tender Offer for at least £2.00 per Share.
About this update from Zegona Communications Plc
[{"type":"text","content":"\n \nRNS Number : 2390P Zegona Communications PLC 30 August 2017 \n\n \n \nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN ANY \nJURISDICTION WHERE TO DO SO WOULD VIOLATE ANY APPLICABLE LAW\n \nZEGONA COMMUNICATIONS PLC\n \n \nZegona ANNOUNCES £140 million TENDER OFFER FOR AT LEAST £2.001 per share\n \nLondon, England, 30 August 2017 - Zegona Communications PLC (\"Zegona\" or the \"Company\") announces the publication of a circular (the \"Circular\") for a return of up to £140 million to shareholders by way of a tender offer (the \"Tender Offer\") at a price of at least £2.00 per share\n \nTender Offer delivers on Zegona's commitment to return capital to shareholders after selling Telecable2\n· On the completion of the Telecable sale, we announced our intention to return up to £140 million of capital to shareholders through a tender offer.\n· The Tender Offer is a straightforward mechanism to return this capital quickly and tax efficiently.\n· Today we are publishing the Circular detailing the Tender Offer and the required General Meeting.3\n \nTender Offer at a premium to Zegona's current share price\n· Under the Tender Offer, each qualifying holder of Zegona's ordinary shares (the \"Shares\") will have the option to sell approximately 36%4 of their Shares (their \"Tender Offer Entitlement\") at a price of at least £2.00 per Share. This Share price represents a premium of at least 19%to the current market price5 of the Shares.\n· The Tender Offer will close on 5 October 2017 with cash payments expected shortly thereafter.6 \n· Zegona's largest shareholder, Marwyn Asset Management Limited, has signed an irrevocable undertaking to tender its Tender Offer Entitlement and vote in favour of the required resolutions, and all members of Zegona's Board of Directors who hold Shares have indicated that they will also do the same.\n \nAttractive capital returns to Zegona shareholders\n· The Tender Offer will return up to 42% of Zegona's market capitalisation, equivalent to £0.71 per Share.4\n· Targeted 2017 dividend reconfirmed, £9.8 million ...