Catenae Innovation Plc: Placing, Appointment of Joint Broker, Issue of Warrants and Related Party Transaction
CATENAE INNOVATION PLC
("Catenae" or the "Company")
Placing, Appointment of Joint Broker,
Issue of Warrants and Related Party Transaction
Catenae (AIM: CTEA), the AIM-quoted provider of digital media and technology, is pleased to announce a placing and subscription for a total of 575,000,000 new ordinary shares of 0.10 pence per share in the Company at a price of 0.10 pence per share (“Placing Shares”) for gross proceeds of £575,000 (“the Placing”).
The Placing Shares have been issued at the prevailing market mid-price and the Placing includes further investment from an existing institutional investor to maintain its percentage holding.
Certain directors and senior managers have participated in the Placing, which is a related party transaction, further details of which is set out below.
Issue of Warrants
The Company is also issuing one warrant for every one Placing Share issued at an exercise price of 0.125p which may be exercised up to three years from the date of issue. If exercised, the warrant holder will be entitled to receive a further warrant exercisable at 0.15p which may be exercised for a further two-year period (together, the "Placing Warrants").
The Placing Warrants will not be listed and will be part-issued (approximately 50 per cent.) on Admission of the Placing Shares and part subject to approval of authorities being granted at an Extraordinary General Meeting, notice of which is provided supplementary to this statement.
Appointment of Joint Broker
The Company is pleased to announce that Turner Pope Investments Limited (“TPI”) has been appointed Joint Broker with immediate effect.
The Placing was undertaken by TPI which has agreed to receive the majority of their broking fee in shares at the Placing Price and, accordingly, a further 20,000,000 ordinary shares (“Fee Shares”) will be issued.
Admission
Application will be made for the 595,000,000 new ordinary shares to be admitted to trading on AIM, which is expected to occur on or around 5 March 2019. The 595,000,000 new ordinary shares will rank pari passu with the existing ordinary shares of Catenae.
Following Admission of the Placing Shares and Fee Shares, the Company will have in issue 3,173,601,652 ordinary shares with voting rights. The Company holds 83,333,332 ordinary shares in treasury. The above figure of 3,173,601,652 may be used by shareholders 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 Company under the Disclosure and Transparency Rules.
Related Party Transaction
| Name | Title | Number of shares subscribed for in the Placing | Number of ordinary shares held following the Placing |
| Tony Sanders | Director | 75,000,000 | 107,287,499 |
| Guy Meyer | Director | 15,000,000 | 110,458,292 |
| Alan Simpson | Chief Technology Officer | 10,000,000 | 26,667,667 |
| John Farthing | Chief Financial Officer | 10,000,000 | 18,333,334 |
| Total | 110,000,000 | 262,746,792 |
The issue of shares to Tony Sanders, Guy Meyer, Alan Simpson and John Farthing is a related party transaction pursuant to AIM Rule 13 (the “Transaction”). Kevin Everett, a director of the Company who is independent of the Transaction, having consulted with Cairn Financial Advisers LLP, the Company's nominated adviser, believes that the terms of the transaction are fair and reasonable insofar as shareholders are concerned.
Tony Sanders – CEO
“We are pleased to receive this additional support at an important time for the Company’s development strategy and Catenae will invest a substantial proportion of the Placing funds in sales and marketing initiatives to help secure existing opportunities and develop the sales pipeline.”
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014. The person who arranged for release of this announcement on behalf of the Company was Tony Sanders (Chief Executive Officer).
For further information:
| Catenae Innovation Plc Tony Sanders | Tel: 020 7929 7826 |
| Cairn Financial Advisers LLP, Nominated Adviser Liam Murray / Jo Turner | Tel: 020 7213 0880 |
| Alexander David Securities Limited, Joint Broker David Scott / James Dewhurst | Tel: 020 7448 9820 |
Turner Pope Investments Limited, Joint Broker Andy Thacker | Tel: 020 3621 4120 |
| Notification of a Transaction pursuant to Article 19(1) of Regulation (EU) No. 596/2014 | |||||||
| 1 | Details of the person discharging managerial responsibilities/person closely associated | ||||||
| a. | Name |
| |||||
| 2 | Reason for notification | ||||||
| a. | Position/Status |
| |||||
| b. | Initial notification/ Amendment | Initial notification | |||||
| 3 | Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor | ||||||
| a. | Name | Catenae Innovation plc | |||||
| b. | LEI | 2138007I2D8YWPMSP544 | |||||
| 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 financial instrument, type of instrument Identification Code | Ordinary shares of 0.10 pence per share ISIN: GB0033127910 | |||||
| b. | Nature of the transaction | Issue of shares in the Placing | |||||
| c. | Price(s) and volume(s) | ||||||
| Price(s) per share | Volume(s) | ||||||
| 0.10p | a) 75,000,000 b) 15,000,000 c) 10,000,000 d) 10,000,000 | ||||||
| d. | Aggregated information - Aggregated Volume - Price | 110,000,000 0.10p | |||||
| e. | Date of the transaction | 27 February 2019 | |||||
| f. | Place of the transaction | AIM, London Stock Exchange | |||||
