Nanoco Group plc (LON:NANO), a world leader in the development and manufacture of cadmium-free quantum dots and other specific nanomaterials emanating from its technology platform, has announced the confirmation by the High Court of the Capital Reduction.
On 7 July 2023, Resolutions for the Capital Reduction were approved by 99.8% of shareholders voting at the General Meeting held that day.
The Company is now pleased to announce that on 18 July 2023 the High Court of England and Wales sanctioned the cancellation of the amount standing to the credit of the Company’s share premium reserve and the capital redemption reserve. The Court order confirming the Capital Reduction, and a statement of capital approved by the Court in connection therewith, were sent to the Registrar of Companies who have now published on their website that the documents have been received and are being processed. The Capital Reduction will become fully effective upon the registration of these documents by the Registrar of Companies in the next ten days.
The purpose of the Capital Reduction is to create distributable reserves as described in the Circular and in accordance with the Company’s Articles of Association.
The Capital Reduction will facilitate the previously announced return of capital to Shareholders of between £33 million and £40 million (or approximately 10 pence to 12 pence per share) using the second tranche of the proceeds of the Samsung litigation ($75 million) which is expected to be received during February 2024. No decision has yet been taken as to the method of any such return of capital.
As set out in the Circular, Nanoco Group also intends to retain approximately £20 million of cash (following the return to shareholders) to support near term commercial production opportunities, continuing R&D work on new materials, a proactive IP licensing programme, and to make Nanoco debt free and self-funded through to the self-financing position that is expected to be achieved during 2025.
