Management Resource Solutions PLC Payment of Deferred Consideration (0922X)

TIDMMRS

RNS Number : 0922X

Management Resource Solutions PLC

16 February 2017

Management Resource Solutions plc

Payment of Deferred Consideration

16 February 2017

In accordance with the Bachmann Plant Hire ("Bachmann") share sale agreement, the voluntary administration of Management Resource Solutions Pty Ltd, announced on 8 February 2017, has triggered a contractual requirement for Management Resource Solutions Plc ("MRS" or "Company") to pay the second and third deferred payments due on the acquisition of Bachmann immediately. The aggregate sum due is A$2,666,666 and, given the need to focus the Company's cash resources in the continuing businesses, the directors of MRS have elected to satisfy the consideration in accordance with the Bachmann share sale agreement by way of an issue of 11,051,261 new ordinary shares of EUR0.01 each ("Ordinary Shares") at a price of 14.7125 pence per share.

The Bachmann vendors already hold 3,610,226 Ordinary Shares and as a result of this issue will be interested in 14,661,487 Ordinary Shares, representing 17.1 per cent. of the enlarged issued share capital of the Company. These new Ordinary Shares are being issued immediately and will be admitted to trading on AIM as soon as possible upon resumption of trading in the Ordinary Shares.

As announced on 16 December 2016, a further A$500,000 due as deferred consideration will be satisfied by the issue of further new Ordinary Shares, to be issued at the 10 day mid-market closing price per share following resumption of trading of the Ordinary Shares on AIM.

As a result of the issue of these Ordinary Shares, the Company's issued share capital now comprises 85,897,138 Ordinary Shares with each share carrying the right to one vote. No Ordinary Shares are held in treasury and accordingly, the figure of 85,897,138 Ordinary Shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority's Disclosure and Transparency Rules.

For further information:

Management Resource Solutions PLC c/o FTI [phone]

Murray d'Almeida, Chairman

Joe Clayton, Chief Executive

Northland Capital Partners Limited [phone]

(Nominated Adviser and Joint Broker)

William Vandyk

Gerry Beaney

Tom Price

Peterhouse Corporate Finance Limited [phone]

(Joint Broker)

Charles Goodfellow

Lucy Williams

FTI Consulting [phone]

Edward Westropp

Emilie O'Herne

Management Resource Solutions (MRS), through its subsidiaries Bachmann and MRS Services Group, offers plant hire, equipment repair, refurbishment and fabrication, mine rehabilitation, earthmoving, road construction and other support services to a wide base of private and public sector clients in Australia. MRS caters predominately to the mining, civil engineering, construction and infrastructure industries.

This information is provided by RNS

The company news service from the London Stock Exchange

END

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February 16, 2017 07:03 ET (12:03 GMT)