Premier Veterinary Group PLC Confirmation of Funding (2164B)

TIDMPVG

RNS Number : 2164B

Premier Veterinary Group PLC

29 January 2020

Premier Veterinary Group PLC

("PVG", the "Company" or the "Group")

Confirmation of Funding

London, UK, 29 January 2020 - Premier Veterinary Group PLC (LSE: PVG) confirms that as set out in the announcement made on 23 December 2019 it has agreed with Bybrook Finance Solutions Limited ("BFSL" a company of which Rajan Uppal, a director of PVG, is the sole director and Shareholder) to amend the facility agreement dated 25 January 2019 relating to a loan of GBP3.85m by (i) rolling up the monthly interest payments due to BFSL and applying interest on a compound basis calculated at the end of each month; and (ii) extending the repayment date of the loan (and accrued interest) from 25 January 2021 to 31 July 2021.

On 28 January 2020 PVG entered into a further agreement with BFSL to provide an additional secured loan facility of GBP1.1m. The first tranche of GBP0.6m was drawn on 29 January 2020 with two further tranches of GBP0.25m each available for draw down at PVG's request on 22 May 2020 and 24 July 2020. These further tranches can only be drawn by PVG if on or before 30 April 2020 it has issued BFSL with warrants to subscribe for up to 383,673 new PVG ordinary shares of 10p each at an exercise price of 10p per share within 5 years of the issue of any such warrants.

Interest of 1% per month accrues on the loan facility on a monthly compound basis and is added to the total loan amount.

The total loan together with accrued interest is repayable on 30 April 2020 with an option for PVG to extend the repayment date to 31 July 2021 by issuing the warrants referred to above.

The loan will be utilised by PVG to fund the Group's working capital requirements including the payment of a GBP100,000 arrangement fee payable to BFSL.

As disclosed at the time of the reverse acquisition of Ark Therapeutics Group plc by Premier Vet Group Limited, which completed in February 2015, Rajan Uppal, Dominic Tonner (Chief Executive Officer of PVG) and BFSL were deemed to be acting in concert for the purposes of the Takeover Code. Should the warrants be issued and subsequently exercised, this may trigger the requirement for a mandatory offer to be made to all shareholders in PVG under Rule 9 of the Takeover Code. As a consequence, PVG may apply to the Takeover Panel to seek shareholder approval for a Rule 9 waiver prior to the date on which any warrants would be issued.

Full Year Results year ended 30 September 2019

As announced on 23 December 2019 full year results for year ended 30th September 2019 will be released on 31st January 2020.

For further information, please contact:

 
 Premier Veterinary Group           Tel: [phone] 
  plc 
  Dominic Tonner, Chief Executive 
  Officer 
  Andy Paull, Chief Financial 
  Officer 
 

The information contained within this announcement is deemed by the Company to constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.

This announcement includes "forward-looking statements" which include all statements other than statements of historical facts, including, without limitation, those regarding the Company's financial position, business strategy, plans and objectives of management for future operations, and any statements preceded by, followed by or that include forward-looking terminology such as the words "targets", "believes", "estimates", "expects", "aims", "intends", "will", "can", "may", "anticipates", "would", "should", "could" or similar expressions or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company's control that could cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which the Company will operate in the future. These forward-looking statements speak only as at the date of this announcement. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this announcement to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based. As a result of these factors, readers are cautioned not to rely on any forward-looking statement.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

END

MSCUWSBRRRUAUAR

(END) Dow Jones Newswires

January 29, 2020 02:00 ET (07:00 GMT)