Capital for Colleagues plc Investment and Portfolio Update; Director's Interest

 
TIDMCFCP 
 
Capital for Colleagues plc / EPIC: CFCP / Market: ISDX / Sector: Investment 
 
5 September 2016 
 
CAPITAL FOR COLLEAGUES PLC 
 
('Capital for Colleagues' or the 'Company') 
 
INVESTMENT IN 2C SERVICES LIMITED AND PORTFOLIO UPDATE; DIRECTOR'S INTEREST 
 
Capital for Colleagues, the investment vehicle focused on opportunities in the 
Employee Owned Business ('EOB') sector, is pleased to announce that the Company 
has invested GBP 50,000 in a new portfolio company, 2C Services Limited, and 
restructured its investment in an existing investee company, The Homebuilding 
Centre (Holdings) Ltd. 
 
2C Services Limited ('2C') 
 
2C is a recently established information technology service provider, based in 
the South West of England, with its own state of the art private cloud hosting 
infrastructure. It offers flexible and customised hosting solutions, with 
offsite backup and replication and virtual disaster recovery. 2C is itself 
employee owned and provides services to a number of employee owned customers. 
 
Capital for Colleagues has subscribed GBP 50,000 for A Ordinary Shares of GBP 1 
each in 2C. The 'A' Ordinary Shares have preferential rights with respect to 
capital value in the event of the occurrence of certain exit events. In 
addition, the Company has subscribed for ordinary shares of GBP 1 each in 2C, 
equivalent to 20 per cent of its issued ordinary share capital, on payment of a 
nominal sum. 
 
The proceeds of the subscription by Capital for Colleagues will be used by 2C 
in financing the recent acquisition of a customer base and for general working 
capital purposes. 
 
The Homebuilding Centre (Holdings) Ltd ('HBC') 
 
HBC owns the trade and certain assets of the National Self Build and Renovation 
Centre ('NSBRC'), which comprises a substantial permanent exhibition and 
trading venue, based at Swindon. The NSBRC promotes the opportunities available 
to consumers who want to build their own home or renovate an existing property. 
NSBRC also generates trade with builders' merchants and providers of affordable 
housing. 
 
In accordance with its strategy of aligning its interests more directly with 
that of the employee owners of investee companies, Capital for Colleagues has 
converted its GBP 250,000 fixed term loan to HBC into 250,000 A Ordinary Shares 
of GBP 1 each in HBC. The 'A' Ordinary Shares have preferential rights with 
respect to ongoing dividends and with respect to capital value in the event of 
the occurrence of certain exit events. In addition, certain existing short term 
loans from the Company to HBC, amounting to GBP 97,000 in aggregate, have been 
consolidated into a single 3-year loan. The loan bears interest at an 
appropriate commercial rate and is repayable within 3 years. 
 
Director's Interest 
 
Following his appointment as a Trustee in relation to his late father's estate, 
Alistair Currie, a Director of the Company, is now deemed to be interested in a 
further 3,390 ordinary shares of 40p each in the Company ('Ordinary Shares'), 
taking his total interest in the Company to 230,342 Ordinary Shares, 
representing 2.4 per cent of the Company's issued share capital. 
 
The Directors of the Company are responsible for the contents of this 
announcement. 
 
**ENDS** 
 
For further information, please visit www.capitalforcolleagues.com or contact: 
 
 
CAPITAL FOR COLLEAGUES PLC                                        0161 233 4891 
Richard Bailey, Chairman 
John Eckersley, Chief Executive 
 
PETERHOUSE CORPORATE FINANCE LIMITED                              020 7469 0930 
Mark Anwyl 
Duncan Vasey 
 
Notes 
 
Capital for Colleagues is an investment company focused on the Employee Owned 
Business ('EOB') sector.  The Company has a clear strategy aimed at investing 
in, advising and growing established, mainly UK-based, EOBs as well as 
assisting companies which are looking to launch employee ownership schemes, 
providing the capital and advice to help them achieve their objectives. 
 
Capital for Colleagues has a proven management team, with a wide network of 
contacts and affiliates, as well as established access to investment 
opportunities, enabling the Company to execute its strategy and identify and 
capitalise on EOB-focused investment opportunities. 
 
 
 
END 
 

(END) Dow Jones Newswires

September 05, 2016 02:00 ET (06:00 GMT)