Tavistock Investments PLC Result of £1.25m Fundraise (3011H)

TIDMTAVI

RNS Number : 3011H

Tavistock Investments PLC

14 November 2018

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATIONS (EU) NO. 596/2014 ("MAR"). IN ADDITION, MARKET SOUNDINGS WERE TAKEN IN RESPECT OF THE MATTERS CONTAINED IN THIS ANNOUNCEMENT, WITH THE RESULT THAT CERTAIN PERSONS BECAME AWARE OF SUCH INSIDE INFORMATION. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN AND SUCH PERSONS SHALL THEREFORE CEASE TO BE IN POSSESSION OF INSIDE INFORMATION.

Tavistock Investments Plc

("Tavistock" or the "Company")

Raising of GBP1.25 million of additional equity capital

14 November 2018

Tavistock Investments plc (AIM:TAVI) is pleased to announce the successful completion of the proposed fundraising announced earlier today. As a consequence, the Company has raised GBP1.25 million of additional working capital, before costs, through the issue of 38,109,756 new ordinary shares of 1p each at a subscription price of 3.28 pence per share.

The largest participant in the fundraising was Lighthouse Group plc which has agreed to subscribe GBP1 million to acquire 30,487,805 shares, representing a 5.30% holding in the enlarged share capital of the Company.

The remainder of the new shares will be subscribed for by existing shareholders in, and management of, the Company.

An application has been submitted for the new shares to be admitted to trading on AIM and it is anticipated that trading of the new shares will commence at 8.00am on Monday, 19 November 2018 ("Admission").

Total Voting Rights:

Following Admission, the Company's issued share capital will comprise 575,295,801 ordinary shares with each share carrying the right to one vote. No shares are held in treasury. The figure of 575,295,801 ordinary shares may therefore 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.

Use of funds:

As referred to by the Company in its earlier announcement today, the fundraising will enable the Company to replace an existing, and relatively expensive, GBP2 million debt facility with a new GBP2 million five-year facility from NatWest Bank at a lower rate of interest. It is estimated that the Company will save some GBP100,000 per annum in interest as a consequence of the change. The fundraising also strengthens the Company's regulatory capital position as the business continues to grow.

Brian Raven, Tavistock's Chief Executive, said:

"I am delighted to welcome Lighthouse as a shareholder and look forward to the development of a close working relationship between our two groups."

ENQUIRIES

Tavistock Investment Plc

Oliver Cooke / Brian Raven

[phone]

Arden Partners Plc - Nominated Adviser

Paul Shackleton

[phone]

Allenby Capital Limited - Broker

Nick Naylor / Nick Athanas

[phone]

Vested - PR Partner

Elspeth Rothwell

[phone]

The notification set out below are provided in accordance with the requirements of the EU Market Abuse Regulation.

 
 1     Details of the person discharging managerial responsibilities 
        / person closely associated 
 a)    Name                                Ben Raven 
      ----------------------------------  ----------------------------------------------- 
 2     Reason for the notification 
      ----------------------------------------------------------------------------------- 
 a)    Position/status                     PDMR (non board) 
      ----------------------------------  ----------------------------------------------- 
 b)    Initial notification                Initial notification 
        /Amendment 
      ----------------------------------  ----------------------------------------------- 
 3     Details of the issuer, emission allowance market participant, 
        auction platform, auctioneer or auction monitor 
      ----------------------------------------------------------------------------------- 
 a)    Name                                Tavistock Investments plc 
      ----------------------------------  ----------------------------------------------- 
 b)    LEI                                 21380078QEA6BEGTVT16 
      ----------------------------------  ----------------------------------------------- 
 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 of the                  Ordinary shares of 1 pence each 
        financial instrument, 
        type of instrument 
 
       Identification code                 Identification code (ISIN) for Tavistock 
                                            Investments plc ordinary shares: 
                                            GB00BLNMLS43 
 
 b)    Nature of the transaction           Subscription 
      ----------------------------------  ----------------------------------------------- 
 c)    Price(s) and volume(s) 
                                           ---------------------------  --------------- 
                                            Price(s)                     Volume(s) 
                                           ---------------------------  --------------- 
    3.28p per share                                                      2,439,024 
   -------------------------------------------------------------------  --------------- 
 
 d)    Aggregated information              n/a 
 
  - Aggregated volume 
 
  - Price 
 
 e)    Date of the transaction             14 November 2018 
      ----------------------------------  ----------------------------------------------- 
 f)    Place of the transaction            London Stock Exchange, AIM 
      ----------------------------------  ----------------------------------------------- 
 

Information for Distributors

Solely for the purposes of the product governance requirements contained within: (a) EU Directive 2014/65/EU on markets in financial instruments, as amended ("MiFID II"); (b) Articles 9 and 10 of Commission Delegated Directive (EU) 2017/593 supplementing MiFID II; and (c) local implementing measures (together, the "Product Governance Requirements"), and disclaiming all and any liability, whether arising in tort, contract or otherwise, which any "manufacturer" (for the purposes of the Product Governance Requirements) may otherwise have with respect thereto, the Subscription Shares have been subject to a product approval process, which has determined that the Subscription Shares are: (i) compatible with an end target market of retail investors and investors who meet the criteria of professional clients and eligible counterparties, each as defined in MiFID II; and (ii) eligible for distribution through all distribution channels as are permitted by MiFID II (the "Target Market Assessment"). Notwithstanding the Target Market Assessment, investors should note that: the price of the Subscription Shares may decline and investors could lose all or part of their investment; Subscription Shares offer no guaranteed income and no capital protection; and an investment in Subscription Shares is compatible only with investors who do not need a guaranteed income or capital protection, who (either alone or in conjunction with an appropriate financial or other adviser) are capable of evaluating the merits and risks of such an investment and who have sufficient resources to be able to bear any losses that may result therefrom. The Target Market Assessment is without prejudice to the requirements of any contractual, legal or regulatory selling restrictions in relation to the Subscription. Furthermore, it is noted that, notwithstanding the Target Market Assessment, only investors who have met the criteria of professional clients and eligible counterparties have been procured. For the avoidance of doubt, the Target Market Assessment does not constitute: (a) an assessment of suitability or appropriateness for the purposes of MiFID II; or (b) a recommendation to any investor or group of investors to invest in, or purchase, or take any other action whatsoever with respect to Subscription Shares.

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.

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November 14, 2018 02:30 ET (07:30 GMT)