The information contained
within this announcement is deemed to constitute inside information
as stipulated under the Market Abuse Regulation (EU) No. 596/2014.
Upon the publication of this announcement, this inside information
is now considered to be in the public domain.
2 October 2024
Minoan Group Plc
("Minoan" or the "Company")
Convertible loans and Company
update
The Company announces that agreement
has been reached to exchange certain outstanding loans to the
Company with a total value of £1,149,494 (the "Loans") into new
convertible loans (the "New Convertible Loans"). All but one
of the New Convertible Loans are interest free and will be
redeemable or converted together with a fee of 10% at either the
Company or holder's option. The Company will be allowed to exercise
the option to convert the New Convertible Loans only if the share
price exceeds 0.9p for a period of seven days. One of the New
Convertible Loans with a value of £190,000 and an interest rate of
10% per annum with no fee, is convertible at the holder's option
only.
All of these New Convertible Loans
have a redemption date which has been extended to 31 December 2025
and will be convertible by the issue of ordinary shares at 1p per
share in Minoan, a premium of approximately 90% to yesterday's
closing mid-price of 0.53p. If all of these New Convertible Loans
were to be converted, liabilities would be reduced by
£1,149,494.
The arrangement concerning the
settlement of certain creditors, as announced on 18 October 2023 is
nearing completion. Assuming conversion of the loans announced
today, together, these settlements, which have taken a considerable
time to negotiate and agree, will significantly de-lever Minoan's
balance sheet, an essential pre-cursor as the Company prepares for
the next steps towards starting development at Cavo
Sidero.
In addition, the Board is expecting
to be able to update shareholders shortly on significant commercial
progress and on our detailed negotiations, conducted through the
Greek Ministry of National Economy and Finance in relation to the
updated contract with the Public Welfare Ecclesiastical Foundation
Panagia Akrotiriani.
Related Party Transaction
Nicholas Day and Peter Raby are
directors of Minoan's 100% owned subsidiary Loyalward Limited and
are participating in the above transaction as follows:
|
Name of related party
|
Loan outstanding
|
|
Nicholas Day
|
£206,468
|
|
Peter Raby
|
£218,372
|
These directors are beneficiaries,
either individually or through connected parties, of the conversion
of the Loans into the interest free New Convertible Loans. The
agreements to exchange the Loans into the New Convertible Loans
constitute related party transactions under Rule 13 of the AIM
Rules for Companies. The Directors of Minoan consider, having
consulted with the Company's nominated adviser, Zeus Capital
Limited, that the terms of the agreements are fair and reasonable
insofar as its shareholders are concerned.
For further information visit
www.minoangroup.com or contact:
Minoan Group Plc
mail@minoangroup.com
Zeus Capital Limited
020 3829 5000
Antonio Bossi / Andrew Andrade
Peterhouse Capital Limited
020 7469 0930
Duncan Vasey