Zinc Media Group PLC Result of General Meeting (3587W)

TIDMZIN

RNS Number : 3587W

Zinc Media Group PLC

13 November 2017

13 November 2017

Zinc Media Group plc

("Zinc Media" or the "Company")

Acquisition of Tern Television Limited

Result of General Meeting

The Board of Zinc Media Group plc, (AIM: ZIN), the TV and multimedia content producer, is pleased to announce that, further to its announcement on 25 October 2017, all resolutions proposed were duly passed at the General Meeting held by the Company earlier today.

The same definitions apply throughout this announcement as are applied in the Circular, published on 25 October 2017, copies of which are available on the Company's website, www.zincmedia.com.

The Company has agreed to acquire Tern Television Productions Limited ("Tern Television"), an independent TV production company specialising in factual production, for a total consideration of up to GBP5.45 million, comprising an initial consideration of GBP2.35 million in cash (which comprises GBP1.25 million plus GBP1.1 million for the surplus cash remaining in Tern) and GBP0.75 million satisfied by the issue of the Consideration Shares and earnout consideration of up to GBP2.35 million.

As previously announced, the Company has raised gross proceeds of GBP3.5 million (before expenses) by the issue of 389,603,280 new Ordinary Shares (Placing Shares) at 0.9 pence per share with certain of the Company's shareholders and new investors. The net proceeds of the Placing will be used by the Company principally to finance the initial cash consideration in respect of the Acquisition for Tern Television, together with associated transaction costs and to provide additional growth capital for the enlarged business.

The Consideration Shares are to be issued at the average of the Closing Price over the five dealing days prior to the date of the General Meeting, which has been determined to be 0.8 pence per Consideration Share. Therefore 93,750,000 New Ordinary Shares will be issued in respect of the GBP0.75 million of initial consideration to be satisfied in shares.

Accordingly, Herald and the John Booth Parties have converted GBP1,974,743.12 of Preference Shares and GBP303,374 of accrued dividends into 253,124,190 Conversion Shares. Following this conversion and Admission, Herald will hold 458,016,553 Ordinary Shares (comprising Herald's existing holding and the Conversion Shares) representing 33.69 per cent. of the Enlarged Share Capital and the John Booth Parties will hold 65,243,192 Ordinary Shares (comprising the John Booth Parties' existing holding, the Placing Shares to be issued in respect of its participation in the Placing and the Conversion Shares) representing 4.80 per cent. of the Enlarged Share Capital.

The Acquisition is expected to complete with effect from Admission on 14 November 2017.

Finally, the Company has also agreed to issue 3,333,333 new Ordinary Shares at a price of 0.9 pence per Ordinary Share (being the Placing Price) in lieu of certain adviser fees.

Peter Bertram, Chairman, said:

"This is an important acquisition for our business and one that will provide us with a strong position and platform on which we can build, as we continue to expand in the industry. We would like to welcome our new shareholders and thank our existing investors for their continued support. We are extremely pleased that they share our view and recognise the benefits that this acquisition will bring, both financially and strategically.

"Our focus now lies on integrating Tern Television into the enlarged business and maximising opportunities for expansion into new markets, establishing further strategic partnerships with domestic and international broadcasters and commissioners, whilst delivering value to shareholders."

Director Participation

Peter Bertram, David Galan and Nicholas Taylor; Chairman, Chief Operating and Financial Officer and Non-Executive Director of the Company, respectively, have each participated in the Placing. Their respective participations and resultant shareholdings following Admission are set out below.

 
                    Placing participation          Resultant        Percentage 
                                 (shares)         holding of        holding of 
                                             Ordinary Shares    Enlarged Share 
                                                                       Capital 
 
 Peter Bertram                  5,555,560          8,336,810              0.61 
 David Galan                    2,777,780          4,652,547              0.34 
 Nicholas Taylor                2,777,780          2,777,780              0.20 
 

Admission and Total Voting Rights

Application has been made to the London Stock Exchange for the 739,810,803 New Ordinary Shares to be admitted to trading on AIM. Admission is expected to take place at 8.00 a.m. on 14 November 2017.

Following Admission, the issued share capital of the Company will consist of 1,359,586,281 Ordinary Shares, with one voting right each. The Company does not hold any shares in treasury.

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 and Transparency Rules.

Enquiries:

 
                                            [phone] 
 Zinc Media Group plc                                  2311 
 Peter Bertram, Chairman 
 David Galan, Chief Operating 
  and Financial Officer 
 
 www.zincmedia.com 
 
 N+1 Singer (NOMAD and Broker               [phone] 
  to Zinc Media Group plc)                             3000 
 Shaun Dobson / Lauren Kettle 
  (Corporate Finance) 
  Michael Taylor (Corporate Broking) 
 
 Peterhouse Corporate Finance               [phone] 
  Limited (Joint Broker)                               0932 
 Martin Lampshire / Duncan Vasey 
  / Eran Zucker 
 
 Yellow Jersey                          [phone] 
 Georgia Colkin / Katie Bairsto 
 

Notes to Editors

Zinc Media Group plc

Zinc Media Group plc is a leading British based TV and multimedia content producer, specialising in factual production, and operates three divisions: television production, digital communications and publishing. The Group is currently engaged in progressing its 'buy and build' consolidation strategy within the fragmented UK independent TV production industry.

The core television production division comprises four award winning and critically acclaimed television production companies: Blakeway, Brook Lapping, Films of Record and Reef Television, whose brands produce television and radio programmes for both UK and international broadcasters. Recent recognition for the Company includes 2017 BAFTA nominations for 'Inside Obama's White House' and 'Born to Vlog', in addition to five awards at the EVCOM Screen Awards for short form film.

The communications division specialises in creating communications strategies and behaviour change programmes, campaigns and resources for corporates, charities and government departments. This division runs a contract for Transport for London.

The publishing division publishes homeowner-planning guidelines for local authorities across the UK and sells trader advertising in those guidelines.

For further information on Zinc Media please visit: http://www.zincmedia.com/

 
 1     Details of the person discharging managerial 
        responsibilities / person closely associated 
----  ------------------------------------------------------------ 
 a)    Name                           Peter Bertram 
----  -----------------------------  ----------------------------- 
 2     Reason for the notification 
----  ------------------------------------------------------------ 
 a)    Position/status                Chairman 
----  -----------------------------  ----------------------------- 
 b)    Initial notification           Initial 
        /Amendment 
----  -----------------------------  ----------------------------- 
 3     Details of the issuer, emission allowance 
        market participant, auction platform, auctioneer 
        or auction monitor 
----  ------------------------------------------------------------ 
 a)    Name                           Zinc Media Group plc 
----  -----------------------------  ----------------------------- 
 b)    LEI                            21380038V6N4I4P38D74 
----  -----------------------------  ----------------------------- 
 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                 Ordinary shares of 0.00025 
        the financial                  pence each 
        instrument, type 
        of instrument 
                                       GB00BX7RGN99 
        Identification 
        code 
----  -----------------------------  ----------------------------- 
 b)    Nature of the                  Participation in a placing 
        transaction 
----  -----------------------------  ----------------------------- 
 c)    Price(s) and volume(s)             Price          Volume 
----  -----------------------------  --------------  ------------- 
                                        0.9 pence      5,555,560 
 ----------------------------------  --------------  ------------- 
 d)    Aggregated information 
 
        - Aggregated volume             N/A 
 
        - Price                         N/A 
----  -----------------------------  ----------------------------- 
 e)    Date of the transaction        14 November 2017 
----  -----------------------------  ----------------------------- 
 f)    Place of the transaction       Off-market transaction 
----  -----------------------------  ----------------------------- 
 
 
 1     Details of the person discharging managerial 

        responsibilities / person closely associated 
----  --------------------------------------------------------------- 
 a)    Name                           David Galan 
----  -----------------------------  -------------------------------- 
 2     Reason for the notification 
----  --------------------------------------------------------------- 
 a)    Position/status                Chief Operating and Financial 
                                       Officer 
----  -----------------------------  -------------------------------- 
 b)    Initial notification           Initial 
        /Amendment 
----  -----------------------------  -------------------------------- 
 3     Details of the issuer, emission allowance 
        market participant, auction platform, auctioneer 
        or auction monitor 
----  --------------------------------------------------------------- 
 a)    Name                           Zinc Media Group plc 
----  -----------------------------  -------------------------------- 
 b)    LEI                            21380038V6N4I4P38D74 
----  -----------------------------  -------------------------------- 
 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                 Ordinary shares of 0.00025 
        the financial                  pence each 
        instrument, type 
        of instrument 
                                       GB00BX7RGN99 
        Identification 
        code 
----  -----------------------------  -------------------------------- 
 b)    Nature of the                  Participation in a placing 
        transaction 
----  -----------------------------  -------------------------------- 
 c)    Price(s) and volume(s)             Price            Volume 
----  -----------------------------  ---------------  --------------- 
                                        0.9 pence        2,777,780 
 ----------------------------------  ---------------  --------------- 
 d)    Aggregated information 
 
        - Aggregated volume             N/A 
 
        - Price                         N/A 
----  -----------------------------  -------------------------------- 
 e)    Date of the transaction        14 November 2017 
----  -----------------------------  -------------------------------- 
 f)    Place of the transaction       Off-market transaction 
----  -----------------------------  -------------------------------- 
 
 
 1     Details of the person discharging managerial 
        responsibilities / person closely associated 
----  ------------------------------------------------------------ 
 a)    Name                           Nicholas Taylor 
----  -----------------------------  ----------------------------- 
 2     Reason for the notification 
----  ------------------------------------------------------------ 
 a)    Position/status                Non-Executive Director 
----  -----------------------------  ----------------------------- 
 b)    Initial notification           Initial 
        /Amendment 
----  -----------------------------  ----------------------------- 
 3     Details of the issuer, emission allowance 
        market participant, auction platform, auctioneer 
        or auction monitor 
----  ------------------------------------------------------------ 
 a)    Name                           Zinc Media Group plc 
----  -----------------------------  ----------------------------- 
 b)    LEI                            21380038V6N4I4P38D74 
----  -----------------------------  ----------------------------- 
 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                 Ordinary shares of 0.00025 
        the financial                  pence each 
        instrument, type 
        of instrument 
                                       GB00BX7RGN99 
        Identification 
        code 
----  -----------------------------  ----------------------------- 
 b)    Nature of the                  Participation in a placing 
        transaction 
----  -----------------------------  ----------------------------- 
 c)    Price(s) and volume(s)             Price          Volume 
----  -----------------------------  --------------  ------------- 
                                        0.9 pence      2,777,780 
 ----------------------------------  --------------  ------------- 
 d)    Aggregated information 
 
        - Aggregated volume             N/A 
 
        - Price                         N/A 
----  -----------------------------  ----------------------------- 
 e)    Date of the transaction        14 November 2017 
----  -----------------------------  ----------------------------- 
 f)    Place of the transaction       Off-market transaction 
----  -----------------------------  ----------------------------- 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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November 13, 2017 10:49 ET (15:49 GMT)