Sale of equity stake in DC Storm Ltd

RNS Number : 7832L
Asia Digital Holdings PLC
05 August 2011
 



Press Release

5 August 2011

 

Asia Digital Holdings Plc

("ADH" or the "Company")

 

Sale of equity stake in DC Storm Ltd

 

Asia Digital Holdings plc (AIM: ADH.L), an independent online marketing group announces that it has completed the sale of its 20.6% shareholding in DC Storm Ltd ("DCS"), a web and software development company in which it held a residual stake, to existing shareholders in DCS, pursuant to existing pre-emption rights.

 

The total consideration for the sale of the shareholding in DCS, which has been received by the Company, is £200,000 in cash which will provide additional working capital for the Group.

 

ADH acquired its interest in DCS through a series of share subscriptions in 2006 and 2007.  ADH's total investment was £231,460. For the year ended 31 December 2010 DCS had revenues of £1.28m (2009: £726,000), a profit after tax of £33,000 (2009: loss of £259,000) and net assets of £601,000.

 

In view of historical trading performance of DCS, an impairment review of the investment was carried out by ADH's management in 2009 and as a result the value was written down to Nil.  The transaction will, therefore, generate a profit in ADH's accounts (net of £5,500 costs) of £194,500.

 

- Ends -

  

 

For further information, please contact:

Asia Digital Holdings plc


Adrian Moss, Chief Executive

www.adhplc.asia

adrian.moss@dgm.asia

 

 

Northland Capital Partners Limited


Gavin Burnell / Rod Venables

Tel:  +44 (0) 20 7796 8800

Katie Shelton (Corporate Broking)

www.northlandcp.co.uk

 

Abchurch Communications


Julian Bosdet / Joanne Shears/

Oliver Baxendale

Tel: +44 (0) 20 7398 7720

oliver.baxendale@abchurch-group.com 

www.abchurch-group.com

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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