Registered in England and Wales. Company registration number: 04034645
VAT registration number: 765 4893 78
This site complies with Rule 26 of the AIM Rules for Companies. This website is owned by Merchant House Group Plc and hosted by Tinderhouse Limited. This section was updated on 3 November 2008.
8 July 08
8 July 2008
Merchant House Group plc
('Merchant House' or the 'Company')
Director's participation in recent placing
Merchant House announced on 24 December 2007, 11 January & 18 January 2008 details of a placing (the 'Placing') of 37.6 million new ordinary shares in tranches raising in total £697,129. The Placing comprised 10.5 million shares at 2p per share, 17.1 million at an average price of 1.8059p per share and 10 million shares at 1.7832p per share.
In respect of the Placing, Merchant House, having more recently sought advice on AIM Rule 13, have notified Shore Capital and Corporate Limited, the Company's nominated adviser, that the new ordinary shares in the Placing were placed through two companies acting as nominees of which Martin Eberhardt, Chairman of Merchant House, was and remains a director. Martin Eberhardt did not participate in the Placing as a placee, directly or indirectly, nor was he actively involved in the nominee arrangements. In addition, Mr Eberhardt does not hold, and has not held, any interest in the ordinary shares of Merchant House.
The nominee companies, and their participation in the Placing, were as follows:
|
Nominee company |
No of new ordinary shares |
Placing price |
|
Merchant Corporate Limited |
8,100,000 |
1.8325p |
|
The C4E Group plc |
10,500,000 |
2.0p |
|
The C4E Group plc |
9,000,000 |
1.782p |
|
The C4E Group plc |
10,000,000 |
1.7832p |
|
Total |
37,600,000 |
|
Martin Eberhardt is beneficially interested in 17.5% of the issued share capital of The C4E Group plc but has no beneficial interest in Merchant Corporate Limited. Neither of the nominee companies participated in the Placing for their own benefit and the placees were experienced and professional investors who have settled in full with the nominee companies. None of the placees held 3 per cent or above of the Company's issued share capital as enlarged by the Placing.
The participation in the Placing of the nominee companies, of which Martin Eberhardt is a director, constitutes a related party transaction under AIM Rule 13.
James Holmes, as the other MHG Director, considers, having consulted with Shore Capital and Corporate Limited, the Company's nominated adviser, that the terms of the transaction are fair and reasonable insofar as shareholders are concerned.
The Directors recognise that the Company's Board should be strengthened in order to be able to maintain an appropriate level of corporate governance. They are currently in discussions with a number of candidates for the appointment of both executive and non-executive directors which they expect to conclude in the near future.
Enquiries
James Holmes
Merchant House Group plc
Tel: 020 7332 2200
Alex Borrelli
Shore Capital
Tel: 020 7408 4090