RNS Number : 8369A
Location Sciences Group PLC
25 January 2024
 

25 January 2024

 

This announcement contains inside information for the purposes of Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations 2019/310.  With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

 

 

Location Sciences Group PLC

("Location Sciences" or the "Company" or the "Group")

 

Term loan facility entered into with Bidco 3 Limited

and

Holding in Company

 

Location Sciences (AIM: LSAI) announces that the Company has entered into an unsecured term loan facility agreement with Bidco 3 Limited (the "Lender" or "Bidco 3") for a total principal amount of up to £3.0 million (the "Facility"). Bidco 3 is a special purpose holding company focused on making appropriate strategic investments.

 

Background to and reasons for the Facility

 

As most recently announced by the Company on 20 December 2023, a considerable amount of work has been carried out in relation to the Company's proposed acquisition of the entire issued share capital of Sorted Holdings Limited ("Sorted") (the "Proposed Acquisition"). As the Company continues to work towards the finalisation of the Proposed Acquisition, the Company is cognisant of its existing overheads and working capital requirements, and those of the Company following completion of the Proposed Acquisition. In this respect, the Facility, subject to the satisfaction of certain customary conditions precedent, will be available for drawdown to be used for, inter alia, providing the Company with general working capital.

 

Key terms and conditions of the Facility

 

The Company may utilise the Facility in one or more tranches, provided that any utilisation of the Facility is for a minimum amount of £0.5 million, with the aggregate amount of funds drawn pursuant to the Facility not exceeding £3.0 million.

 

Borrowings under the Facility will accrue interest daily at 1.5 per cent. per month and shall be repayable on 31 January 2026. The Facility is subject to customary events of default and an arrangement fee of £125,000 is payable to the Lender, which can be satisfied in cash or by the issuance of ordinary shares in the Company at the Lender's option.

 

Holding in Company

 

Separate to the above, Location Sciences was informed on 24 January 2024 that Daron Lee now holds 75,000,000 ordinary shares in the Company, representing approximately 2.83 per cent of the issued share capital of the Company.

 

For further information please contact:

 

Location Sciences Group PLC                                                                           via Allenby Capital

Simon Wilkinson, Chairman

 

Allenby Capital Limited (Nominated Adviser)                                            Tel: +44 (0)20 3328 5656

David Hart

Vivek Bhardwaj

 

 

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