Placing and Issue of Shares

RNS Number : 6213R

Deltex Medical Group PLC

10 March 2016

 

10 March 2016

Deltex Medical Group plc

("Deltex Medical" or "the Company")

Placing and Issue of Shares

Deltex Medical Group plc (AIM: DEMG), the global leader in oesophageal Doppler monitoring ("ODM"), today announces that it has raised £516,000 by means of a placing (the "Placing"). The Company has also issued shares to certain advisers as payment for services.

Highlights

·      A placing of 12,900,000 new ordinary shares of 1p each in the Company ("New Ordinary Shares") at a price of 4 pence per share (the "Placing Price")

·      The Placing proceeds will be applied to working capital and to accelerate the US roll-out; and

·      The issue of a further 1,566,150 New Ordinary Shares to certain advisors in settlement of fees for services supplied to the Company, at the Placing Price.

Application has been made for the 14,466,150 Ordinary Shares to be admitted to trading on AIM. The shares will rank pari passu with the existing issued shares of the Company and dealings are expected to commence on 15 March 2016.

Upon Admission, the 14,466,150 New Ordinary Shares will represent 5.3% of the Company's enlarged issued share capital, being 272,619,544 Ordinary Shares ("Enlarged Issued Share Capital") and the Company does not hold any shares in treasury.

This figure may be used by shareholders as the denominator for calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA's Disclosure and Transparency Rules.

Confirmation of Directors shareholdings

In the placing that was announced on 3 February 2016 (the "February Placing") certain directors (or their family interests) subscribed for 14,750,000 Ordinary Shares.

Confirmation of the Directors' beneficial interests, following participation in the February Placing, are as follows:

Director	Number of Ordinary Shares subscribed for in the February Placing	Current holding of shares	% of Enlarged Issued Share Capital
Nigel Keen	12,500,000	21,222,524	7.8
Julian Cazalet	1,250,000	6,126,123	2.2
Chris Jones	250,000	250,000	0.1
Mark Wippell	625,000	751,247	0.3
Jonathan D Shaw	125,000	125,000	0.05

Deltex Medical's chairman, Nigel Keen, commented:

"This additional finance supplements the recent issue of Loan Notes, Placing and Open Offer approved at the Company's General Meeting on 25 February and provides additional funds to allow the Company to accelerate its US expansion plans and additional working capital."

For further information, please contact:-

Deltex Medical Group plc	01243 774 837 [e-mail]
Nigel Keen, Chairman
Ewan Phillips, Chief Executive
Jonathan Shaw, Group Finance Director Barry Curtis, Company Secretary
Nominated Adviser & Broker
Arden Partners plc	020 7614 5900
Chris Hardie
Joint Broker Zeus Capital Limited Phil Walker Dominic Wilson	020 3829 5000
Financial Public Relations
IFC Advisory	0203 053 8671
Tim Metcalfe Graham Herring Heather Armstrong

Notes for Editors

Deltex Medical manufactures and markets haemodynamic monitoring technologies. Deltex Medical's ODM is the only technology to measure blood flow in the central circulation in real time. Minimally invasive, easy to set up and quick to focus, the technology generates a low-frequency ultrasound signal, which is highly sensitive to changes in flow and measures them immediately. Deltex has been the only company in the enhanced haemodynamic space to build a robust and credible evidence base proving the clinical and economic benefits of its core technology, ODM. Randomised, controlled trials using Doppler have demonstrated that early fluid management intervention will reduce post-operative complications, reduce intensive care admissions, and reduce the length of hospital stay.

During 2013, the Company launched the CardioQ-ODM+ monitor that offers clinicians both of the two best-established technologies, Deltex Medical's ODM technology as well as Pulse Pressure Waveform Analysis ('PPWA') in one monitor. This allows clinicians to have unique real time insights into each of flow, pressure and resistance, the three pillars of haemodynamics.

Company goal

ODM is increasingly recognised as a standard of care for patients undergoing major surgery and in critical care. The broader clinical area of haemodynamic management of which ODM is a core constituent is also now becoming widely accepted as an important major new medical modality. Consequently, the Company's focus is on maximising value from the opportunities presented as enhanced haemodynamic management is adopted into routine clinical practice around the world.

The Company is currently in the implementation phase of achieving this goal in a number of territories worldwide, operating directly in the UK, USA, Spain and Canada and through distribution arrangements in a further 30 countries.

There are over 3,200 monitors installed in hospitals around the world and over 600,000 patients have been treated to date using Deltex Medical's single patient disposable probes.

 

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