Deltex Med Grp PLC Share placing

Deltex Med Grp PLC Share placing

Deltex Medical Group plc (AIM: DEMG), the global leader in Oesophageal Doppler Monitoring (“ODM”), today announces that it has raised £550,000 by means of a placing of 16,296,296 new Ordinary shares of 1p each in the Company (“Ordinary Shares”) (the “Placing”) with existing and new private shareholders.

Highlights

  • The Placing of 16,296,296 new Ordinary Shares at a price of 3.375 pence per share, a discount of 10% from the closing mid-market price on 20 July, raising £550,000
  • The Placing proceeds will be applied to working capital
  • The Company released today a trading update for the six months ended 30 June 2017 showing a return to growth with revenues 7% ahead of the first half of 2016
  • In the last year, the Company has significantly reduced its rate of cash consumption and enters the second half of the year with traction in export markets driving overall sales growth, higher margins and lower costs
  • The Company is also positioned for incremental returns from investments made or substantially complete in new product development. Two new products were released in the first half of 2017.

Application will be made for the 16,296,296 new Ordinary Shares to be admitted to trading on AIM. The new Ordinary Shares will rank pari passu with the existing issued shares of the Company and dealings are expected to commence on 27 July 2017.

Upon Admission, the 16,296,296 new Ordinary Shares will represent 5% of the Company’s enlarged issued share capital, being 313,115,807 Ordinary Shares (the “Enlarged Issued Share Capital”) and the Company does not hold any shares in treasury.

This figure may be used by shareholders as the denominator for 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 FCA’s Disclosure and Transparency Rules.

Turner Pope Investments (TPI) Ltd (“TPI”) acted as placing agent for the Placing and will be appointed as Joint Broker to the Company on admission of the new Ordinary Shares to trading on AIM.

Confirmation of Director’s shareholdings

Nigel Keen, Chairman, (or interests associated with him) has subscribed for 1,629,630 new Ordinary Shares.

Nigel Keen’s beneficial interests, following this subscription is as follows:

Director

Number of Ordinary Shares subscribed for

Shareholding following Subscription

 

% of Enlarged Issued Share Capital

Nigel Keen

1,629,630

27,823,410

8.89

Deltex Medical’s Chairman, Nigel Keen, commented:

“This fundraising will provide the Company with additional working capital as it moves to the operating cash break-even point.

Over the last year, the Company has made substantial progress towards moving the business through the operating cash break-even point. Sales traction in the USA and other export markets have pulled the Company back into growth after a challenging period in the UK market. We are benefiting from investments made over the last three years in manufacturing efficiencies, US expansion and new product development.

We are positioned to benefit further going forward from substantially complete investments in further new product developments which will complete our transition from a single technology business to a provider of high quality, multi-technology platforms.”

Notification and public disclosure of transactions by persons discharging managerial responsibilities and persons closely associated with them.

The following notifications are made in accordance with Article 19 of the EU Market Abuse Regulation.

1

Details of the person discharging managerial responsibilities / person closely associated

a)

Name

Nigel Keen

2

Reason for the notification

a)

Position/status

Chairman

b)

 

Initial notification /Amendment

Initial

3

 

Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor

a)

Name

Deltex Medical Group plc

b)

LEI

N/A

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 1p each in Deltex Medical Group plc

 

Identification code (ISIN) for Deltex Medical Group plc ordinary shares: GB0059337583

b)

Nature of the transaction

 Share subscription

c)

Price(s) and volume(s)

 Price(s)

Volume(s)

3.375p

1,629,630

d)

Aggregated information

– Aggregated volume

– Price

 

1,629,630

3.375p

e)

Date of the transaction

21 July 2017

f)

Place of the transaction

London Stock Exchange, AIM Market (XLON)

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