Marwyn Value Investors Limited B Share Redemption & Trading Suspension (1403V)

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RNS Number : 1403V

Marwyn Value Investors Limited

23 October 2014

23 October 2014

MARWYN VALUE INVESTORS

CANCELLATION OF THE LISTING OF THE B SHARES ON THE SFM AND IN SPECIE REDEMPTION TO B SHAREHOLDERS

The Company announces its intention to redeem 5,008,870 B Ordinary shares (the "B Shares") in the Company (being all of the B Shares in issue) on 21 November 2014.

The assets attributable to the B Shares are Class B1 interests ("Class B1 Interests") in Marwyn Value Investors L.P. (the "Master Fund"). The Class B1 Interests were issued in 2009 with a fixed investment period and a mandatory liquidation period, the latter of which expires on 30 November 2014.

The Master Fund will liquidate the Class B1 Interests by means of an in specie distribution of its investments and cash attributable to those interests to the Company, after retaining sufficient assets to settle the liabilities attributable to the Class B1 Interests. Accordingly, the Board has resolved that the redemption proceeds for the B Shares will be paid by way of an in specie distribution consisting of depository interests ("DIs") representing shares issued by Fulcrum Utility Services Limited and Paragon Entertainment Limited (together, the "Investments"), being all of the investments in the Master Fund attributable to the Class B1 Interests, and a small amount of cash attributable to the Class B1 Interests. Fulcrum Utility Services Limited and Paragon Entertainment Limited are both incorporated in the Cayman Islands and traded on AIM, a London Stock Exchange market.

The actual number of DIs representing the Investments and amount of cash that will be returned as part of the in specie distribution is expected to be announced by the Company on or around Thursday, 30 October 2014, following publication of the 24 October 2014 net asset value on the same date. The number of DIs and amount of cash to be returned will be calculated by reference to the net asset value per B Share as at 24 October 2014. Fractions of DIs will not be distributed, and so the number of DIs distributed to each B Shareholder will be rounded down to the nearest whole number. DIs representing fractional entitlements will be aggregated and sold in due course and the net sale proceeds will be donated by the Company to charity.

The record date for the in specie redemption is 5.00 p.m. on 31 October 2014. Therefore, the last day for dealings in the B Shares for normal settlement (to enable settlement prior to the record date) will be 29 October 2014. It is expected that the redemption proceeds will be transferred into the CREST account in which shareholders currently hold their DIs issued in respect of the B Shares on 21 November 2014.

Following the redemption, there will be no B Shares outstanding. Therefore, the Company will apply to the London Stock Exchange to suspend trading in the B Shares on its Specialist Fund Market (the "SFM") with effect from 7.30 a.m. on 30 October 2014 and, subject to the in specie redemption taking place, cancel trading in the B Shares on the SFM with effect from 8.00 a.m. on 24 November 2014.

The expected timetable for the redemption of the B Shares will be as follows:

 
 Last day for dealings in the B Shares for normal settlement (to enable 
 settlement prior to 
 the record date)                                                                           Wednesday, 29 October 2014 
 Trading in B shares on SFM suspended                                           7.30 a.m. on Thursday, 30 October 2014 
 B Share NAV as at 24 October and the number of DIs and amount of cash to be                 Thursday, 30 October 2014 
 returned as part 
 of the in specie distribution to be announced by the Company 
 Ex-date in respect of the B Share redemption                                                Thursday, 30 October 2014 
 Record date for the B Share redemption                                           5.00 p.m. on Friday, 31 October 2014 
 Settlement date for in specie redemption                                                     Friday, 21 November 2014 
 Cancellation of trading in the B shares effective                               8.00 a.m. on Monday, 24 November 2014 
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Robert Ware, Chairman of the Company, said, "We announce today that the B Shares will be redeemed in November 2014 in accordance with the terms on which the B Shares were issued in 2009. The redemption proceeds will be settled by distributing the Company's interests in Fulcrum Utility Services and Paragon Entertainment, the remaining investments attributable to the B Shares, and cash to the B Shareholders. We share investors' disappointment that the performance of the B Shares has not been as we would have hoped, although it has broadly been in line with general negative market sentiment towards smaller companies. We wish Fulcrum and Paragon every success for the future."

Enquiries:

 
 Robert Ware, Chairman   Marwyn Value Investors     T: 44 (0) 20 7258 
                          Limited                    8670 
 Sue Inglis              Cantor Fitzgerald Europe   T: [phone] 
                                                     8016 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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