Result of Placing

RNS Number : 2197H

Immotion Group PLC

30 July 2019

 

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN ARE RESTRICTED AND ARE NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, SOUTH AFRICA OR ANY JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL.

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE AN OFFER TO SELL OR ISSUE OR A SOLICITATION TO BUY, SUBSCRIBE FOR OR OTHERWISE ACQUIRE ANY SECURITIES IN ANY JURISDICTION IN WHICH ANY SUCH OFFER OR SOLICITATION WOULD BE UNLAWFUL, INCLUDING THE UNITED STATES, CANADA, AUSTRALIA, JAPAN OR THE REPUBLIC OF SOUTH AFRICA. NEITHER THIS ANNOUNCEMENT NOR ANYTHING CONTAINED HEREIN SHALL FORM THE BASIS OF, OR BE RELIED UPON IN CONNECTION WITH, ANY SUCH OFFER, SOLICITATION OR COMMITMENT WHATSOEVER IN ANY OF THOSE JURISDICTIONS.

30 July 2019

Immotion Group plc

("Immotion Group", "Immotion", the "Company" or the "Group")

Result of Placing

Immotion Group, the UK-based immersive virtual reality ("VR") out-of-home entertainment group, is pleased to announce the successful completion of the placing announced earlier today (the "Placing").

A total of 29,629,626 New Ordinary Shares in the Company ("Placing Shares") have been conditionally placed by WH Ireland Limited and Alvarium Capital Partners Limited (the "Brokers") with new and existing investors at a price of 6.75 pence per share (the "Placing Price") raising gross proceeds of approximately £2.0 million for the Company.

Additionally, the Company has authorised the Brokers to raise up to £0.5 million through a broker option (the "Broker Option"). New Ordinary Shares issued under the Broker Option will also be issued at the Placing Price and will therefore be limited to approximately 7.4 million Ordinary Shares (the "Broker Option Shares").  The Broker Option is expected to close by 5.00 p.m. today.

Capitalised terms used but not defined in this announcement have the meanings given to them in the Company's announcement released earlier today in respect of the Placing unless the context provides otherwise.

The Placing Shares will represent approximately 10.3 per cent. of the Company's issued share capital following completion of the Placing and Broker Option ("Enlarged Share Capital") assuming full take-up of the Broker Option and 10.6 per cent. of the Enlarged Share Capital assuming no take-up of the Broker Option. The Placing Price represents a discount of approximately 14 per cent. to the closing mid-market price of Immotion's existing ordinary shares of 7.85 pence on 29 July 2019 (being the last business day prior to the announcement of the Placing).

Application will be made for the New Ordinary Shares (including the Broker Option Shares (if any)) to be admitted to trading on AIM Admission. Settlement for the New Ordinary Shares and Admission is expected to take place at 8 a.m. on 5 August 2019. The Placing and Broker Option are conditional upon, inter alia, Admission becoming effective and the Placing Agreement becoming unconditional and not being terminated in accordance with its terms.

Following the issue of the Placing Shares, the Company's issued share capital will comprise 279,981,210 Ordinary Shares. Details of the results of the Broker Option and an update on total voting rights for Broker Option Shares will be made following closing of the Broker Option, which is expected to close by 5.00 p.m. today.

Martin Higginson, CEO of Immotion Group, said:

"We are delighted to have successfully completed this fundraise and for the strong support received following consultation with our major shareholders. The Directors believe that the funds raised will be sufficient to enable the Company to deliver its growth plans as outlined in this morning's announcement. This will allow it to achieve EBITDA breakeven, expected Q1 2020, and to accelerate Partner roll-out through 2020."

Enquiries:

Immotion Group	Martin Higginson	Tel: [phone]
WH Ireland Limited (Nomad and Joint Broker)	Corporate Finance: Adrian Hadden Jessica Cave Sales / Corporate Broking: Hayley Richardson David Kilbourn	Tel: [phone]
Alvarium Capital Partners Limited (Joint Broker)	Alex Davies Hugh Kingsmill Moore	Tel: [phone]
Shard Capital Partners LLP (Joint Broker)	Damon Heath Erik Woolgar	Tel: [phone]

 

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