Starcom PLC Placing (5914C)

TIDMSTAR

RNS Number : 5914C

Starcom PLC

23 January 2018

23 January 2018

Starcom Plc

("Starcom" or the "Company")

Placing

Starcom (AIM: STAR), which specialises in the development of wireless solutions for the remote tracking, monitoring and protection of a variety of assets and people, is pleased to announce that the Company has conditionally raised GBP315,000 before expenses through a placing of 14,000,000 new Ordinary Shares of no par value (the "Placing Shares") at a price of 2.25p per Placing Share (the "Placing").

The net proceeds of the Placing will be used to strengthen the Company's working capital and to satisfy the increased demand for its products.

Application for Admission

Application has been made for the Placing Shares, which will rank pari passu with the Company's existing Ordinary Shares, to be admitted to trading on AIM ("Admission"). It is anticipated that Admission will become effective at 8.00 am on 29 January 2018.

Total voting rights

Following Admission, the Company's enlarged issued share capital will comprise 254,409,513 Ordinary Shares. The Company does not hold any shares in treasury. Therefore, the total number of Ordinary Shares with voting rights will be 254,409,513. This 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 in their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

The interests of the Directors and co-founders in the Ordinary Shares of the Company following the Placing are as stated in the table below:

 
                       Ordinary Shares   % of voting 
                                              rights 
 Avi Hartmann               22,197,936           8.7 
 Avi Engel                     498,334           0.2 
 Michael Rosenberg*          1,728,334           0.7 
 Uri Hartmann               23,597,934           9.3 
 Doron Kedem                23,597,934           9.3 
 

* Mr Rosenberg's shares are held through his personal pension plan of which he is the sole beneficiary.

Michael Rosenberg, Chairman of Starcom, commented:

"As reported in our recent trading update, the Company has experienced a record number of orders for its products mainly for delivery in the first half of 2018 and is also pursuing a number of other potential orders. The additional funds will greatly assist our ability to meet these growing demands.

"The Placing was initiated following a direct approach to the Company by an investor seeking to subscribe for 11 million shares at 2.25p per share, equivalent to the midmarket price of the shares at the time of the approach. It was agreed to proceed with the issue of a total of 14,000,000 shares by placing the balance with other investors at the same price under the existing shareholders authority."

This announcement contains inside information for the purposes of Article 7 of Regulation 596/2014.

The Market Abuse Regulation (MAR) became effective from 3 July 2016. Market soundings, as defined in MAR, were taken in respect of the Placing with the result that certain persons became aware of inside information, as permitted by MAR. That inside information is set out in this announcement and has been disclosed as soon as possible in accordance with paragraph 7 of article 17 of MAR. Therefore, those persons that received inside information in a market sounding are no longer in possession of inside information relating to the Company and its securities.

-ends-

For further information, please contact:

Starcom Plc

Michael Rosenberg, Chairman 07785 727 595

Avi Hartmann, CEO [phone]

   Northland Capital Partners Limited (Nominated Adviser and Broker)      020 3861 6625 

Edward Hutton / David Hignell (Corporate Finance)

John Howes (Sales and Broking)

   Peterhouse Corporate Finance (Joint Broker)                                           020 7469 0930 

Lucy Williams / Charles Goodfellow / Eran Zucker

Leander PR (Financial PR) 07795 168 157

Christian Taylor-Wilkinson

This information is provided by RNS

The company news service from the London Stock Exchange

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January 23, 2018 02:00 ET (07:00 GMT)