Castleton Technology PLC Acquisition of Castleton India and Issue of Equity (4964Q)

TIDMCTP

RNS Number : 4964Q

Castleton Technology PLC

20 February 2019

Castleton Technology PLC

("Castleton " or the "Group")

Acquisition of Castleton India and Issue of Equity

Castleton Technology plc (AIM: CTP), the software and managed services provider to the public and not-for-profit sectors, is pleased to announce the acquisition of Castleton India (previously known as CarbonNV InfoLogic India Private Limited) for a total consideration of GBP350,000 comprising 200,331 ordinary shares of 2 pence in the capital of the Group ("Ordinary Shares") and GBP154,678 of cash (the "Acquisition").

Castleton India, which has offices in Bangalore and Vadodara, India, has provided additional development capability to the Group via a service agreement over the current financial year. The Acquisition will enable the Group to secure the additional development capability and skills of the 21 employees who have joined Castleton to date on a long term basis. The Acquisition will complete upon Admission of the new Ordinary Shares, expected to be on 22 February 2019.

Dean Dickinson, Chief Executive of Castleton, said:

"The acquisition of Castleton India follows a very successful working relationship between the UK and Indian teams over the past 11 months. This period has seen delivery of a number of products including Castleton.DIGITAL, allowing us to bring new solutions to the market quicker and at a reduced cost. I look forward to working closely with the combined onshore and offshore team to bring our product road map to market over the coming years."

Issue of Equity

Application has been made for 200,331 Ordinary Shares to be admitted to trading on AIM ("Admission"). The new Ordinary Shares will rank pari passu with the Group's existing Ordinary Shares and it is expected that Admission will become effective and dealings in the new Ordinary Shares will commence at 8.00 a.m. on 22 February 2019.

On Admission, the Company will have a total of 81,532,765 Ordinary Shares in issue with one voting right per share. The above figure may be used by shareholders in the Company 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 share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

 
Enquiries:Castleton Technology plc                        Tel. [phone] 
  Dean Dickinson, Chief Executive Officer 
  Haywood Chapman, Chief Financial Officer 
 finnCap Ltd                                     Tel. [phone] 
  Jonny Franklin-Adams / Simon Hicks (Corporate 
  Finance) Andrew Burdis (ECM) 
 Alma PR                                         Tel. [phone] 
  Rebecca Sanders-Hewett/ Helena Bogle/ 
  Josh Royston 
 

About Castleton Technology plc

Castleton Technology plc is a leading supplier of complementary software and managed services to the public and not-for-profit sectors. The Group is a 'one stop shop', providing integrated housing systems via the Cloud, working in partnership with its customers and resellers to help drive efficiencies whilst improving controls and customer service. www.castletonplc.com

The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014.

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February 20, 2019 02:00 ET (07:00 GMT)