Line of Credit and Grant of Security

Line of Credit and Grant of Security

Clear Leisure plc

18 March 2014

Clear Leisure Plc
(“Clear Leisure” or “the Company”)

Line of Credit and Grant of Security

Clear Leisure (AIM: CLP), the leisure investment company, is pleased to announce that on 17 March 2014 it signed a £10 million equity line of credit, for a period of 2 years, with GEM Global Yield Fund Limited (“GEM”).

GEM is a member of a $3.4 billion alternative investment group with offices in London, New York, Paris and Hong Kong which manages a diverse set of investment vehicles, primarily focused on emerging markets across the world. To date, the GEM group has invested in over 300 companies across 65 countries, including a number of AIM listed companies. Further information of the fund is available at www.gemny.com

The Company has put in place the credit facility to provide funds for working capital and to further explore potential acquisition targets. The Company further envisages that it may also use the facility to support the debt restructuring proposal for Mediapolis which the board believes may significantly increase the Company’s negotiating power with potential investors or buyers of its Mediapolis project.

The cost of the credit line is £135,000 which is to be paid on the earlier of a) the sale of a material asset, b) the first drawing of credit under the equity line and c) 6 months after the date of the agreement whereby 50 per cent. becomes payable with the balance falling due 12 months after the date of the agreement. The Company will also provide GEM with 11.5 million, five year warrants at a price of 4.4 pence per ordinary share.

DIRECTOR’S DEALING AND RELATED PARTY TRANSACTION

As part of the agreement, Alfredo Villa, a director of the Company, has provided security for the drawn down period over his shares in Clear Leisure Plc. The granting of such security is considered to be director’s dealing and, pursuant to Rule 13 of the AIM Rules, a related party transaction. Accordingly, with the exception of Mr Villa, the directors of the Company, having consulted with the Company's Nominated Adviser, Cairn Financial Advisers LLP, consider the terms of the transaction to be fair and reasonable insofar as the Company's shareholders are concerned.

As a result of the granting of the security, there is no change to Mr Villa’s overall shareholding of 28,279,039 ordinary shares, representing 14.2 per cent. of the issued share capital of the Company. The issued share capital of the Company comprises 199,409,377 ordinary shares of 2.5p per share.

-ends-

For further information please visit www.clearleisure.com or contact:

Clear Leisure Plc [phone]
Alfredo Villa, CEO

Cairn Financial Advisers LLP (Nominated Adviser) [phone]
Jo Turner

Peterhouse Corporate Finance (Joint Broker) [phone]
Jon Levinson / Heena Karani

Leander (Financial PR) [phone]
Christian Taylor-Wilkinson

About Clear Leisure Plc

Clear Leisure Plc (AIM: CLP) is an AIM listed investment company pursuing a dynamic strategy to create a comprehensive portfolio of companies primarily encompassing the leisure and real estate sectors mainly in Italy but also other European countries. The Company may be either a passive or active investor and Clear Leisure’s investment rationale ranges from acquiring minority positions with strategic influence through to larger controlling positions. For further information, please visit, www.clearleisure.com