MXC Capital Limited Subscription for Loan Notes in IDE Group Holdings (1788Y)

TIDMMXCP

RNS Number : 1788Y

MXC Capital Limited

30 December 2019

MXC Capital Limited

("MXC" or the "Company")

Subscription for Loan Notes in IDE Group Holdings plc

MXC (AIM: MXCP), the technology focused adviser and investor, announces that it has subscribed for GBP1.23 million of secured loan notes in IDE ("IDE Loan Notes") as part of a total GBP1.5 million issue. The proceeds of the IDE Loan Notes will be used by IDE to fully repay its finance leases and provide additional working capital. The terms of the IDE Loan Notes are the same as those issued in January and March this year and can be found below. Following this subscription, MXC holds GBP9.23 million of the GBP11.5 million IDE Loan Notes and 43.1 per cent. of the issued share capital of IDE.

IDE is a mid-market network, cloud and IT managed services provider. Ian Smith, CEO of MXC, is an Executive Director of IDE and MXC Capital Markets LLP acts as financial adviser to IDE. Further details about IDE (including latest announcements and financial reports) are available at www.idegroup.com.

Terms of the IDE Loan Notes

The IDE Loan Notes have a term of six years (the "Term") and an annual coupon of 12 per cent., which is rolled up, compounded annually and payable at the end of the Term. The IDE Loan Notes carry an arrangement fee of 2.5 per cent., payable at the end of Term, and an exit fee of 2.5 per cent., also payable at the end of the Term, both payable pro-rata to the subscribers of IDE Loan Notes. The IDE Loan Notes are secured on IDE's assets. The IDE Loan Notes can be redeemed at any time at IDE's option, however, should IDE opt to redeem them prior to the end of the Term, all interest due until the end of the Term will become payable, together with the arrangement and exit fees, upon such early redemption.

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement

MXC Capital Limited

Ian Smith

[phone]

Zeus Capital Limited (Nominated adviser and broker)

Nick Cowles, Dan Bate

[phone]

   About MXC Capital Limited                www.mxccapital.com 

MXC is a specialist technology adviser and investor with a track record of investing in and advising companies in the TMT sector. MXC brings together a deep knowledge of technology, first-hand experience of managing companies in the sector, an ability to make meaningful investments and a highly experienced corporate advisory team in support, all of which combine to grow shareholder value.

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December 30, 2019 02:00 ET (07:00 GMT)