Surface Transforms PLC Result of Placing (3244K)

TIDMSCE

RNS Number : 3244K

Surface Transforms PLC

06 July 2017

THE INFORMATION COMMUNICATED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATIONS (EU) NO. 596/2014. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN, INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, SINGAPORE, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

FURTHER, THIS ANNOUNCEMENT IS MADE FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE AN OFFER TO SELL OR ISSUE OR SOLICITATION TO BUY, SUBSCRIBE FOR OR OTHERWISE ACQUIRE SHARES IN SURFACE TRANSFORMS PLC IN ANY JURISDICTION IN WHICH ANY SUCH OFFER OR SOLICITATION WOULD BE UNLAWFUL.

Surface Transforms plc

("Surface Transforms" or the "Company")

Results of Placing and Subscription

Pursuant to the announcement released this morning at 7.00 a.m. (the "Placing Announcement"), the Company is pleased to announce that Cantor Fitzgerald Europe and finnCap Ltd, on behalf of the Company, have successfully placed 17,419,500 new Ordinary Shares in the Company ("Ordinary Shares") (the "Placing Shares") at a price of 15.5 pence per share (the "Issue Price"), representing a discount of approximately 0.8 per cent. to the price of 15.625 pence per existing Ordinary Share, being the Closing Price on 5 July 2017, with new and existing institutional investors, raising gross proceeds, together with the Subscription, of approximately GBP3 million.

Cantor Fitzgerald is acting as Nominated Adviser and Joint Broker and finnCap is acting as Joint Broker in connection with the Placing.

All of the directors of the Company who indicated they intend to subscribe for New Ordinary Shares have now confirmed their subscription for a total of 1,935,500 new Ordinary Shares on the same terms as the Placing (the "Subscription" and the "Subscription Shares") raising gross proceeds of GBP300,000.

The issue and allotment of the Placing Shares and Subscription Shares would exceed the Company's existing authorities and therefore Shareholder approval will be required. Accordingly, a Circular will be posted today to Qualifying Shareholders, setting out the terms of the Open Offer and Notice of General Meeting.

Related Party Transactions

Hargreave Hale Limited, as a substantial shareholder of the Company, is subscribing for 6,361,300 Placing Shares, which constitutes a related party transaction under the AIM Rules for Companies.

Unicorn Asset Management Limited, as a substantial shareholder of the Company, is subscribing for 5,912,000 Placing Shares, which constitutes a related party transaction under the AIM Rules for Companies.

David Bundred, Richard Gledhill and Kevin D'Silva, all of whom are Directors, have confirmed they are subscribing for in aggregate 1,935,500 Subscription Shares pursuant to the Subscription (the "Directors' Participation") which constitutes a related party transaction under the AIM Rules for Companies.

Accordingly, only Kevin Johnson is considered to be an independent director of the Company for the purposes of AIM Rule 13. Having consulted with the Company's nominated adviser, Kevin Johnson considers that the terms of the Directors' Participation as well as the participation by Hargreave Hale Limited and Unicorn Asset Management Limited are fair and reasonable insofar as Shareholders are concerned.

The Directors' interests as at today and following completion of the Subscription and the Placing are as follows:

 
 Director           Existing      %   Subscription       Interest      %       Open      Beneficial      % 
                  beneficial                Shares    in Ordinary             Offer        Interest 
                    interest            subscribed         Shares            Shares     in Ordinary 
                          in                   for          after             to be          Shares 
                    Ordinary                              Placing           applied           after 
                      Shares                            Admission               for      Open Offer 
                                                                                       Admission(3) 
 David 
  Bundred            733,341    0.8        161,300        894,641   0.8           -         894,641   0.8 
 Kevin 
  Johnson            124,000    0.1              0        124,000   0.1           -         124,000   0.1 
 Richard 
  Gledhill(1)     11,818,853   13.1      1,612,900     13,431,753   11.9          -      13,431,753   11.9 
 Kevin 
  D'Silva(2)         970,818    1.1        161,300      1,132,118   1.0           -       1,132,118   1.0 
 

(1) Held as to 322,580 Ordinary Shares through his investment vehicle Group-14 LTD

(2) Held in his SIPPs.

(3) Assuming Open Offer applications in total for the full number of Open Offer Shares available

Pursuant to the Placing and Subscription, application will be made for 19,355,000 New Ordinary Shares to be admitted to trading on AIM. Subject to the Placing Agreement not having been terminated in accordance with its terms, it is anticipated that admission of the Placing Shares and Subscription Shares will occur at 8.00 a.m. on 26 July 2017. The Placing Shares and the Subscription Shares will be credited as fully paid and rank pari passu with the Existing Ordinary Shares. Any Open Offer Shares subscribed for under the Open Offer are also expected to be admitted to trading on AIM on 26 July 2017 in accordance with the timetable set out in the Placing and Acquisition Announcement.

Offer and posting of Circular

Further to the Placing Announcement, the Company is pleased to announce that it will today post a Circular to Qualifying Shareholders regarding the Open Offer to raise up to approximately GBP0.5 million gross of expenses. The Circular will also be made available on the Company's website later today at www.surfacetransforms.com.

Details of the Open Offer are set out in the Circular.

Other than where defined, capitalised terms used in this announcement have the meanings given to them in the Placing Announcement.

For further information, please contact:

Surface Transforms plc

Kevin Johnson, CEO [phone]

David Bundred, Chairman

Cantor Fitzgerald Europe (Nomad & Joint Broker)

David Foreman, Michael Reynolds (Corporate Finance) [phone]

Mark Westcott, Alex Pollen (Sales)

finnCap Ltd (Joint Broker)

   Stephen Norcross, Richard Chambers (Corporate Broking)                           [phone] 

Ed Frisby, Giles Rolls (Corporate Finance)

David Bundred - PDMR Notification Form

 
 Notification of a Transaction pursuant to Article 
  19(1) of Regulation (EU) No. 596/2014 
------------------------------------------------------------------------- 
 1      Details of the person discharging managerial 
         responsibilities/person closely associated 
-----  ------------------------------------------------------------------ 
 a.     Name                           David Bundred 
-----  -----------------------------  ----------------------------------- 
 2      Reason for 
         notification 
-----  -----------------------------  ----------------------------------- 
 a.     Position/Status                Non-Executive Chairman 
-----  -----------------------------  ----------------------------------- 
 b.     Initial notification/          Initial Notification 
         Amendment 
-----  -----------------------------  ----------------------------------- 
 3      Details of the issuer, emission allowance 
         market participant, auction platform, auctioneer 
         or auction monitor 
-----  ------------------------------------------------------------------ 
 a.     Name                           Surface Transforms plc 
-----  -----------------------------  ----------------------------------- 
 b.     LEI 
-----  -----------------------------  ----------------------------------- 
 4      Details of the transaction(s): section to 
         be repeated for (i) each type of instrument; 
         (ii) each type of transaction; (iii) each 
         date; and (iv) each place where transactions 
         have been conducted 
-----  ------------------------------------------------------------------ 
 a.     Description                    Ordinary Shares of 1p each 
         of the financial 
         instrument,                    GB0002892528 
         type of instrument 
 
         Identification 
         Code 
-----  -----------------------------  ----------------------------------- 
 b.     Nature of the                  Purchase of ordinary shares 
         transaction 
-----  -----------------------------  ----------------------------------- 
 
 c.     Price(s) and                    Price(s)         Volume(s) 
         volume(s) 
-----  -----------------------------   ---------------  -------------- 
    GBP0.155                                             161,300 
   ---------------------------------------------------  -------------- 
 
 d.     Aggregated 
         information                     161,300 
         - Aggregated                    GBP25,001.50 
         Volume 
         - Price 
-----  -----------------------------  ----------------------------------- 
 e.     Date of the                    06 July 2017 
         transaction 
-----  -----------------------------  ----------------------------------- 
 f.     Place of the                   AIM 
         transaction 
-----  -----------------------------  ----------------------------------- 
 

Richard Gledhill- PDMR Notification Form

 
 Notification of a Transaction pursuant to Article 
  19(1) of Regulation (EU) No. 596/2014 
------------------------------------------------------------------------- 
 1      Details of the person discharging managerial 
         responsibilities/person closely associated 
-----  ------------------------------------------------------------------ 
 a.     Name                           Richard Gledhill 
-----  -----------------------------  ----------------------------------- 
 2      Reason for 
         notification 
-----  -----------------------------  ----------------------------------- 
 a.     Position/Status                Non-Executive Director 
-----  -----------------------------  ----------------------------------- 
 b.     Initial notification/          Initial Notification 
         Amendment 
-----  -----------------------------  ----------------------------------- 
 3      Details of the issuer, emission allowance 
         market participant, auction platform, auctioneer 
         or auction monitor 
-----  ------------------------------------------------------------------ 
 a.     Name                           Surface Transforms plc 
-----  -----------------------------  ----------------------------------- 
 b.     LEI 
-----  -----------------------------  ----------------------------------- 
 4      Details of the transaction(s): section to 
         be repeated for (i) each type of instrument; 
         (ii) each type of transaction; (iii) each 
         date; and (iv) each place where transactions 
         have been conducted 
-----  ------------------------------------------------------------------ 
 a.     Description                    Ordinary Shares of 1p each 
         of the financial 
         instrument,                    GB0002892528 
         type of instrument 
 
         Identification 
         Code 
-----  -----------------------------  ----------------------------------- 
 b.     Nature of the                  Purchase of ordinary shares 
         transaction 
-----  -----------------------------  ----------------------------------- 
 
 c.     Price(s) and                    Price(s)         Volume(s) 
         volume(s) 
-----  -----------------------------   ---------------  -------------- 
    GBP0.155                                             1,612,900 
   ---------------------------------------------------  -------------- 
 
 d.     Aggregated 
         information                     1,612,900 
         - Aggregated                    GBP249,999.50 
         Volume 
         - Price 
-----  -----------------------------  ----------------------------------- 
 e.     Date of the                    06 July 2017 
         transaction 
-----  -----------------------------  ----------------------------------- 
 f.     Place of the                   AIM 
         transaction 
-----  -----------------------------  ----------------------------------- 
 

Kevin D'Silva - PDMR Notification Form

 
 Notification of a Transaction pursuant to Article 
  19(1) of Regulation (EU) No. 596/2014 
------------------------------------------------------------------------- 
 1      Details of the person discharging managerial 
         responsibilities/person closely associated 
-----  ------------------------------------------------------------------ 
 a.     Name                           Kevin D'Silva 
-----  -----------------------------  ----------------------------------- 
 2      Reason for 
         notification 
-----  -----------------------------  ----------------------------------- 
 a.     Position/Status                Non-Executive Director 
-----  -----------------------------  ----------------------------------- 
 b.     Initial notification/          Initial Notification 
         Amendment 
-----  -----------------------------  ----------------------------------- 
 3      Details of the issuer, emission allowance 
         market participant, auction platform, auctioneer 
         or auction monitor 
-----  ------------------------------------------------------------------ 
 a.     Name                           Surface Transforms plc 
-----  -----------------------------  ----------------------------------- 
 b.     LEI 
-----  -----------------------------  ----------------------------------- 
 4      Details of the transaction(s): section to 
         be repeated for (i) each type of instrument; 
         (ii) each type of transaction; (iii) each 
         date; and (iv) each place where transactions 
         have been conducted 
-----  ------------------------------------------------------------------ 
 a.     Description                    Ordinary Shares of 1p each 
         of the financial 
         instrument,                    GB0002892528 
         type of instrument 
 
         Identification 
         Code 
-----  -----------------------------  ----------------------------------- 
 b.     Nature of the                  Purchase of ordinary shares 
         transaction 
-----  -----------------------------  ----------------------------------- 
 
 c.     Price(s) and                    Price(s)         Volume(s) 
         volume(s) 
-----  -----------------------------   ---------------  -------------- 
    GBP0.155                                             161,300 
   ---------------------------------------------------  -------------- 
 
 d.     Aggregated 
         information                     161,300 
         - Aggregated                    GBP25,001.50 
         Volume 
         - Price 
-----  -----------------------------  ----------------------------------- 
 e.     Date of the                    06 July 2017 
         transaction 
-----  -----------------------------  ----------------------------------- 
 f.     Place of the                   AIM 
         transaction 
-----  -----------------------------  ----------------------------------- 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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July 06, 2017 06:45 ET (10:45 GMT)