Symphony Environmental Technologies Plc (LON:SYM), a global science-based group that makes plastic and rubber products “smarter, safer and sustainable”, has announced an equity subscription for 2,500,000 new ordinary shares of 1 pence each in the Company by Vincel Investment Holdings Limited, at a price of 30 pence per Ordinary Share. Gross proceeds from the Subscription are £750,000.
The Subscription Price represents a premium of approximately 13 per cent. to the closing price of 26.50 pence per Ordinary Share on 23 September 2021, being the last business day prior to the date of this announcement.
In addition, 2.5 million warrants have been granted to Vincel at an exercise price of 40 pence per Ordinary Share and are exercisable for six months from completion of the Subscription.
Upon completion of the Subscription, Vincel will be interested in 14.8 per cent. of the enlarged issued share capital of the Company. Vincel is owned by Mrs Shruti Lohia, daughter of Mr S P Lohia. Mr Lohia is the Chairman of Indorama Corporation, Singapore.
The proceeds of the Subscription will be used for ongoing working capital purposes and Symphony’s continuing development and investment in a range of core complementary technologies.
Due to Vincel’s current interest in Symphony, the Subscription and grant of Warrants are considered to be a related party transaction under the AIM Rules for Companies.
Accordingly, the board of directors of the Company consider, having consulted with the Company’s nominated adviser, that the terms of the Subscription, and the grant of Warrants, are fair and reasonable insofar as the Company’s shareholders are concerned.
The Subscription is conditional upon admission of the new Ordinary Shares to trading on AIM which is expected to commence on 30 September 2021.
The new Ordinary Shares issued pursuant to the Subscription as well as the Ordinary Shares to be issued upon the exercise of the Warrants will rank in full for all dividends or other distributions hereafter declared, made or paid on the ordinary share capital of the Company and will rank pari passu in all other respects with all other Ordinary Shares in issue.
Total Voting Rights
Following Admission, the total issued share capital of Symphony Environmental Technologies will be 179,251,277 Ordinary Shares. The Company does not hold any shares in treasury and therefore the total number of voting rights in Symphony will be 179,251,277.
The above figure may be used by shareholders as the denominator for the calculations by which they will determine whether they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority’s Disclosure and Transparency Rules.
